The no-knowledge provision of § 32(a) of the Securities Exchange Act of 1934 (15 U.S.C. § 78ff(a)) can be used to thwart imprisonment for violating the securities laws, according to a ruling by the 8th Circuit. The defendant, who pleaded guilty to violating §10(b) of the Securities Exchange Act of 1934 (15 U.S.C. § 78j(b)) and Rule 10b-5, was sentenced to a prison term even though he claimed to have no knowledge of Rule 10b-5, which the sentencing court refused to consider. The appeals court disagreed and remanded his case for resentencing.