This state law is a powerful one (and beloved of Mr Cuomo's predecessor as attorney-general, Eliot Spitzer), since it does not require proof of any intenttodefraud.
Whether criminal charges ultimately emerge is usually a function of intenttodefraud and whether the charges can be proven to the far higher criminal standard of beyond a reasonable doubt.
The Supreme Court has held that scienter the intenttodefraud is required under section 10b of the Securities and Exchange Act and Rule 10b-5, but is not required under 17(a)(2) and 17(a)(3).