Opinion ID: 781798
Heading Depth: 2
Heading Rank: 4

Heading: The Commission's Authority to Bar Association with Unregistered Advisers.

Text: 45 Vernazza argues that the Commission lacks the authority to bar him from associating with unregistered, in addition to registered, investment advisers. This argument challenges the unambiguous language of the statute, which allows the Commission to bar violators from being associated with an investment adviser, 15 U.S.C. § 80b-3(f), where investment adviser is defined as  any person who ... engages in the business of advising others about securities. Id. § 80b-2(a)(11) (emphasis added). 46 We decline to consider this issue because Vernazza did not raise it before the Commission. As noted above, the judicial review provision of the Securities Act requires issues to be raised before the Commission, see id. § 77i(a); the judicial review provisions of the other acts include the same requirement, but allow exception if reasonable grounds are shown for failing to raise the issue before the Commission. See id. §§ 78y(c)(1), 80b-13(a). In his brief before the Commission, Vernazza argued only that the Commission had no authority to suspend him because he was no longer a registered adviser, an argument he does not repeat here; he did not argue that the Commission lacked authority to suspend him from associating with unregistered advisers. In his briefs before this Court, Vernazza has offered no reasonable grounds for failing to make this argument before the Commission. Thus, we lack jurisdiction to hear this argument. 47 PETITION DENIED.