On November 12, 2020, President Donald Trump signed Executive Order 13959. The executive order prohibits all U.S. Investors (institutional and retail alike) from purchasing or investing in securities of companies identified by the U.S. government as “Communist Chinese military companies.” The prohibition went into effect on January 11, 2021, and immediately resulted in its first casualties, with 3 listed stocks being delisted and several OTC stocks having their symbols deleted.
Category: Blog Posts Tags: 13959, Advanced Micro-Fabrication Equipment Inc, Aero Engine Corporation of China, aerospace, Aviation Industry Corporation of China, Beijing Zhongguancun Development Investment Center, CCCGF, CCCGY, CCOHF, CCOHY, ChemChina, China, China Academy of Launch Vehicle Technology, China Communications Construction Company, China Construction Technology, China Electronics Corporation, China Electronics Technology Group, China General Nuclear Power Group, China International Engineering Consulting Corporation, China Mobile, China National Aviation Holding Co Ltd, China National Chemical Corporation, China National Chemical Engineering, China National Nuclear Corporation, China National Offshore Oil Corporation, China North Industries Group Corporation, China Nuclear Engineering & Construction Corporation, China Railway Construction Corporation, China Shipbuilding Industry Corporation, China South Industries Group, China Spacesat, China State Construction Engineering, China State Shipbuilding Corporation, China Telecommunications Corporation, China Three Gorges Corporation, China Unicom, China United Network Communications Group, Chinese Government, CHJHF, CHL, CHLKF, CHTEF, CHU, CHUFF, Commercial Aircraft Corporation of China Ltd, communications, Communist, construction, CRCCY, CRRC Corporation, CRRRF, CWYCF, CWYCY, Dawning Information Industry Co, Depart of Defense, Donald Trump, exchange-listed stocks, Executive Order, Executive Order 13959, FINRA, Global Tone Communication Technology Co Ltd, GOWIN Semiconductor Corp, Grand China Air Ltd, Hikvision, Huawei, INPRF, Inspur, LKCO, Luokong Technology Corporation, military, nasdaq, nyse, OTC Markets, Panda Electronics NJGPF, Semiconductor Manufacturing International Corporation, shipbuilding, Sinochem, SIUIF, SMICY, technology, U.S. Law, US Investors, XIACF, XIACY, Xiaomi Corporation
On December 22, 2020, the Securities and Exchange Commission (“SEC”) voted to propose amendments to Rule 144 to eliminate tacking for shares acquired upon exercise or conversion of market-adjustable securities. Market adjustable securities are most often promissory notes, warrants, or preferred stock convertible into common or other shares at a dramatic discount to the issuer’s trading price. These types of market adjustable securities are known as “toxic financings” or “death spirals” for a reason. These financings are typically provided by persons acting as unregistered dealers, and they have crippling effects on small businesses and investors.
Category: Blog Posts Tags: 3(a)10 exemption, broker-dealer, Convertible Note, convertible note lender, Convertible Notes, death spiral, Dilution, discounted stock, Edgar, Form 4, Legal Opinion, Legend Removal, Legend Removal Opinion, Market-adjustable securities, market-adjusted security, Penny stocks, preferred stock, promissory notes, proposed rule change, restricted stock, Rule 101(a), Rule 101(b), Rule 144, Rule 144 Legal Opinion, Rule 144 legal Opinions, Rule 144 Legend, Rule 144 Legend Opinion, Rule 144 Legend Removal, Rule 144 Legend Removal OTC Markets, Rule 144 Opinion, SEC, Section 15(a), Section 5, Securities Act Section 4(a)(1), Securities and Exchange Commission, Securities Exchange Act, tacking, Toxic Convertible Note, toxic financier, toxic financing, Toxic Financings, toxic funding, Toxic Lender, toxic lenders, Tradability Opinion, Transfer Agent Opinion, Unregistered Dealer, unregistered dealers, warrants
On December 17, 2020, the US Department of Justice unsealed an Indictment against nine individuals charged in a “pump and dump” stock manipulation scheme involving Global Resource Energy Inc (GBEN) filed in the Northern District of Ohio, Eastern Division.
Category: Blog Posts Tags: Alberta Securities Commission, Avila P&H LLC, Belize, BLUF, BluForest Inc, Brian Kingsfield, Cathy Collins, CBDX, Cem Can, Charles Michael Miller, Christopher Joseph Bongiorno, Christopher Neumann, Complaint, Conspiracy to Commit Securities, Curative Biosciences Inc, Dale Pearlman, Dale Scott Pearlman, Damon Durante, David Michael Naylor, David Naylor, doj, Donald Lee Howard, Expert Market, fbi, fraud, Gary Kouletas, GBEN, Global Resource Energy Inc, Grey Market, Gulf Coast M&A Ltd, Healthient Inc, Hughe Duwayne Graham, Indictment, Intertech Solutions Inc, ITEC, Jason Allan Arthur, Jim Can, Larry Louis Matyas, Luxorious Travel Corp, LXRT, Mail Fraud, match trading, Money Laundering, NuBasalt International Inc, otc, OTC Markets Group, PAG Group LLC, paint the tape, Patrick Thomas, Paul Giarmoleo, Paul Spivak, Penny Stock, Petroteq Energy Inc, PQEFF, Private Resources LLC, pump and dump, Richard Andrew Mallion, Richard Eden, SEC, SEC suspensionMichael Strong, Securities Fraud, Sims Investment Holdings, SNAX, stock manipulation, Streamworx Consulting LLC, SYAI, Sycamore Ventures Inc, Systems America Inc, SYVN, Thomas Collins, Tyler Paulson, United States Department of Justice, United States Securities Commission, US Lighting Group Inc, USLG, Verde Asset Management LLC, View Point Health Investments LLC, Virtual MediClinic USA LLC, William Scott Marshall, wire fraud
On Tuesday, the US Securities and Exchange Commission (SEC) approved a proposed plan by the New York Stock Exchange (NYSE) to let companies raise capital through direction listing.
Category: Blog Posts Tags: broker-dealer, Capital, Direct Offering, initial public offering, IPO, nasdaq, New York Stock Exchange, nyse, NYSE Listing, SEC, SPAC, stocks, underwriters, US Securities and Exchange Commission
On Friday, the Securities and Exchange Commission (the “SEC”) announced that it had settled charges against The Cheesecake Factory Incorporated (CAKE) for making misleading disclosures about the impact of the COVID-19 pandemic on its business operations and financial condition.
Category: Blog Posts Tags: CAKE, Cheesecake Factory, County, COVID-19, David Overton, dodd-frank, FBI sting, FBI Undercover, FINRA Halt, Form 8-K, fraud, Investor Loss, Investor Victims, misleading, nasdaq, nyse, Officer Director Bar, OTC Markets, pandemic, Penny Stock, Penny Stock Bar, penny stock scam, penny stock scheme, penny stock sting, ponzi scheme, press release, Rule 12b-20, Rule 13a-11, Sarbanes-Oxley, Scalping, scam, SEC, SEC Action, SEC Actions, SEC Administrative Proceeding, SEC anti-fraud, SEC Attorney, sec bar, SEC Bounty, SEC Charge, SEC Charges, SEC Claim, SEC Complaint, SEC Defendant, SEC Defense, SEC Defense Attorney, SEC Defense Lawyer, SEC Division of Enforcement, SEC enforcement, SEC enforcement action, SEC Fraud, SEC Halt, SEC Injunction, SEC Investigation, SEC Law Firm, SEC Lawsuit, SEC Lawyer, SEC Litigation, SEC Order, SEC Penny Stock Bar, SEC Reporting Requirements, SEC Section 17(b), SEC Subpoena, SEC Suit, SEC Trading Suspension, Section 13(a), Section 17(b), Section 5 violation, Securities Act, Securities Act Section 17(b), Securities and Exchange Commission, Securities Attorney, Securities Fraud, Securities Indictment, Securities Law Defense, Securities Lawyer, securities violation, SPAC, stock manipulation, Stock Scalping, stock scheme, The Cheesecake Factory Incorporated, Toxic Lender, trading suspension, Unregistered Dealer, Wells Notice
On Friday, the U.S. House of Representatives passed a historic bill that would end the federal prohibition of marijuana. The Marijuana Opportunity, Reinvestment and Expungement (MORE) Act passed by a 228 to 164 margin.
Category: Blog Posts Tags: Arizona, Cannabis, cannabis stocks, CBD Denver Inc, CBD Life Sciences Inc, CBDD, CBDL, congress, Democrats, Jerry Nadler, marijuana, Marijuana Company of America Inc, Matt Gaetz, MCOA, Mississippi, Montana, MORE act, new jersey, Penny stocks, Reinvestment and Expungement (MORE) Act, Republicans, Social Life Network Inc, South Dakota, The Marijuana Opportunity, U.S. House of Representatives, U.S. Senate, WDLF
On December 1, 2020, the Nasdaq Stock Market LLC filed a proposal with the U.S. Securities and Exchange Commission (“SEC”) to adopt new listing rules related to board diversity and disclosure.
Category: Blog Posts Tags: African American, Alaska Native, Allakos Inc, Alliance for Board Diversity, Array Technologies Inc, Baidu Inc, bisexual, Black, board diversity, board of directors, Deloitte, diversity, ethic diversity, Ethnicities, exchange listing rulesNasdaq Global Select Market, Fortune 500, gay, hispanic, Jay Clayton, JD.com Inc, Joe Biden, LaCroix, Latinx, lesbian, LGBTQ, Mary Jo White, minorities, nasdaq, Nasdaq Capital Market, Nasdaq Global Market, Nasdaq Inc, NASDAQ stock market, Nasdaq stocks, National Beverage Corp, Native American, Native Hawaiian, nyse, Pacific Islander, Pinduoduo Inc, queer, SEC, SEC chair, transgender, U.S. Securities and Exchange Commission, White, woman
The U.S. House of Representatives unanimously passed legislation on Wednesday that would kick Chinese companies off U.S. stock exchanges if they do not fully comply with the U.S. auditing rules.
Category: Blog Posts Tags: Accounting Fraud, Alibaba, BABA, Baudu Inc, BIDU, Chinese Stocks, congress, Donald Trump, fake sales, foreign stocks, fraud, FUTU, Futu Holdings, Hindenburg Research, Holding Foreign Companies Accountable Act, Janet Yellen, Jay Clayton, JD, JD.com, Joe Biden, Kandi Technologies, KNDI, legislation, LK, LKNCY, Luckin Coffee, nasdaq, NIO, Nio Inc, nyse, PCAOB, PDD, Pinduoduo, Public Company Accounting Oversight Board, regulators, sales fraud, scam, scrutiny, SEC, Securities and Exchange Commission, self-dealing, Senate, SINA, Sina Corp, Steven Mnuchin, Treasury Secretary, US House of Representatives, US listed stocks, US Treasury, VIPS, Vipshop
Securities Lawyer, Thomas Craft And Disbarred Attorney, Richard Rubin Charged by SEC for Fraudulent Legal Opinions
Category: Blog Posts Tags: Administrative Action, Administrative Order, AFGC, Africa Growth Corp, American International Industries Inc, AMIH, attorney, attorney letters, AXXA, Bar Complaint, Citrine Global Corp, civil penalty, CTGL, DCLT, disbarred attorney, disgorgement, doj, E-Qure Corp, ECDC, ECMT, Ecomat Inc, EQUR, eWellness Healthcare Corporation, EWLL, Exxe Group Inc, fraud, Fraudulent Legal Opinion, Global Technologies Corp, Icoa Inc (ICOA), Indictment, Ivo Heiden, Jeffrey O Friedland, judgment, KinerjaPay Corp, KPAY, Legal Opinion, legal opinion letter scheme, Nexien BioPharma Inc, NXEN, opinion letters, OTC Markets, OTC Markets Group, OWC Pharmaceutical Research Corporation, OWCP, penny stock ban, Peregrine Industries Inc, PGID, prohibited attorney, registration statements, Richard J Rubin, S-1, S-8, SAML, Samsara Luggage Inc, scam, SEC, SEC Complaint, Securities and Exchange Commission, Securities Attorney, Securities Fraud, Smart Energy Solutions Inc, Suspect Detection Systems Inc (SDSS), Thomas Craft, Thomas J Craft, Thomas J Craft Jr, Tom Craft, Triumph Ventures Corp, USA Equities Corp (USAQ, VBIX, ViewBix Inc
OTC Markets Group Inc. operates the OTCQX® Best Market, the OTCQB® Venture Market, and the Pink® Open Market for 11,606 U.S. and global securities. Securities are placed into one of these three tiers based on the level of disclosure provided and the listing fees paid by the issuer.
Category: Blog Posts Tags: 15c211, ADRs, annual fees, Application fees, applying for OTCQX, broker-dealer, community banks, Corporate governance standards, disclosure standards, dividend-paying companies, Eligibility standards, fees, financial standards, FINRA, foreign Issuers, foreign ordinaries, Form 211, global securities, Going Public, International companies, large-cap companies, Market Maker, micro-cap companies, mid-cap companies, OTC Link, OTC Link ATS, OTC Link Lawyer, OTC Markets, OTC Markets Attorney, OTC Markets Group, OTC Markets Lawyer, OTC Markets Lawyers, OTC Pink, OTC PINK Lawyer, OTC Pink Market, OTC Pink Market lawyer, OTCQB, OTCQB Attorney, OTCQB Venture Market, OTCQX, OTCQX Attorney, OTCQX Best Market, OTCQX Eligibility, OTCQX fees, OTCQX Listing, OTCQX Sponsor, OTCQX Sponsor Attorney, Penny stocks, Pink, Pink Open Market, SEC, SEC reporting companies, Securities and Exchange Commission, small-cap companies, stocks, trading, U.S. community banks, U.S. companies
SPACs, which stand for special purpose acquisition companies, are similar to blank check companies. The SPAC does an Initial Public Offering (an “IPO”) as a shell company with no commercial operations to raise money from the public for the purpose of acquiring an existing private company with real operations.
Category: Blog Posts Tags: Bill Ackman, blank check company, capital raise, COVID-19, Diamond Eagle Acquisition Corp, DKNG, DraftKings Inc, Going Public, initial public offering, investors, IPO, Jay Clayton, merger, Nikola Corp, NKLA, Pershing Square Tontine Holdings, Renaissance Capital, SEC, SEC Chairman, Shell Company, Social Capital Hedosophia Holdings, SPAC, SPCE, Special Purpose Acquisition Company, VectolQ Acquisition, Virgin Holdings Inc
With Jay Clayton stepping down as the Chairman of the Securities and Exchange Commission at the end of the year, president-elect Joe Biden will have an opportunity to pick his replacement. Who are some of the top candidates as a full-time replacement for SEC chief?
Category: Blog Posts Tags: African American SEC Chair, Allison Herren Lee, Allison Lee, Annette L Nazareth, Annette Nazareth, Barack Obama, CFTC, Chris Brummer, Commodity Futures Trading Commission, crime, Department of Justice, dodd-frank, doj, Donald J Trump, federal prosector, Financial Industry Regulatory Authority, FINRA, Gary Gensler, George W Bush, hedge funds, Jay Clayton, Joe Biden, Kara Marlene Stein, Kara Stein, Keir Gumbs, law professor, Michael Barr, Michael S Barr, moderates, Preet Bharara, president, progressives, Robert J Jackson Jr, Robert Jackson, SEC, SEC chair, SEC Chairman, SEC chief, Securities and Exchange Commission, Securities Fraud, Steven Cohen, Timothy Geithner, Treasury, uber, wall street, Wall Street Reform
On November 16, 2020, Jay Clayton, Chairman of the Securities and Exchange Commission, announced that he would be stepping down at the end of the year after 3 years and 238 days on the job.
Category: Blog Posts Tags: 10b5-1, alternative trading systems, blank-check companies, blockchain, broker-dealer, CNBC, COVID-19, Cyber Unit, cybersecurity, Digital Assets, Division of Enforcement, Harold M Williams, ICO, Initial Coin Offerings, insider trading, investors, Jay Clayton, jobs act, Joe Biden, John Shad, Main Street Investors, Manuel F Cohen, Mary Jo White, municipal bond market, OCIE, regulations, SEC, SEC Chairman, SEC enforcement actions, sec rules, Securities and Exchange Commission, SPACs, special purpose acquisition companies, startups, whistleblower
On November 19, 2020, the United States Attorney William M. McSwain filed a superseded Indictment against Jeffrey D Martin, 61, of Orlando, FL. Martin was charged with conspiracy and multiple counts of securities fraud and wire fraud, related to his manipulation of several publicly-traded securities in a “pump and dump” scheme in which Martin and his co-schemers allegedly defrauded investors out of over $19 million.
Category: Blog Posts Tags: ACAP Financial Inc, aiding and abetting securities fraud, AIOM. QEBR, Am-Pac International Inc, Axiom Holdings Inc, Beaufort Capital Partners LLC, British Virgin Islands, Christian T Tedrow, co-conspirators, conspiracy to commit securities and wire fraud, conspiracy to commit securities fraud, Criminal Indictment, Department of Justice, disgorgement. fines, doj, fbi, FINRA, First Power and Light, fraud, fraudulent press releases, fraudulent securities disclosures, Gary Hume, Harold J Swart Jr, Hong Kong, Inc, Indictment, Jeffrey D Martin, Karen F Aalders, Kirk Lynn Ferguson, Mainstream Entertainment Inc, MSEI, OTC Markets William M McSwain, Penny Stock, pump and dump, Resort Savers Inc, Robert P Marino, RSSV, SEC, Sterling Craig Barton, stock manipulation, Superseded Indictment, Swart Baumruk & Co. LLP, Thomas L Tedrow, Tyler T Tedrow, UGHL, Union Bridge Holdings LTD, United States Attorney, United States Attorney's Office Eastern District of Pennsylvania, United States Securities and Exchange Commission, Virtual medical International Inc, VOLT, Volt Solar Systems Inc, wire fraud
Today, the Securities and Exchange Commission (the “SEC”) charged a San Francisco-based e-commerce startup and its chief executive officer with misleading investors about purported contracts with well-known consumer brands.
Category: Blog Posts Tags: Andrew J Chapin, Backcountry.com, Benja Incorporated, criminal charges, doctored bank statements, doj, falsified documents, Fanatics, forged contracts, fraud, impersonated customers, Indictment, investors, Nike, Patagonia, scam, SEC, SEC Complaint, Securities and Exchange Commission, Startup, US Attorney's Office for the Northern District of California, venture capital, Zappos
Last week, the SEC Division of Trading and Markets published a staff bulletin highlighting various risks for broker-dealers arising from certain transactions in “penny stocks” and other low-priced securities. The Commission emphasized that these risks are heightened when the identities of a foreign financial institution’s underlying customer and/or the ultimate beneficial owner of the funds and securities are unknown to a broker-dealer because of the omnibus account structure.
Category: Blog Posts Tags: AML, AML Program, Bank Secrecy Act, broker-dealers, BSA, enforcement actions, federal securities laws, FINRA, foreign accounts, fraud, illegal stock sales, illicit activities, Jay Clayton, Money Laundering, omnibus accounts, OTC Markets, Penny stocks, SAR, SEC, SEC Division of Trading and Marketing, securities, Special Due Diligence Program, Stock Promotion, Suspicious Activity Report, unregistered securities offering, US Securities and Exchange Commission
According to the annual report published by the Division of Enforcement of the U.S. Securities and Exchange Commission (the “SEC”), there were 715 overall enforcement actions in fiscal 2020, down 17% from the previous year.
Despite the slow down, financial remedies ordered “set a new high,” according to Stephanie Avakian, the agency’s enforcement chief. The Commission obtained judgments and orders totaling approximately $4.68 billion in disgorgement and penalties – the highest amount on record.
Category: Blog Posts Tags: 2020, administrative proceedings, Aethlon Medical Inc, Applied BioSciences Corp, Arrayit Corporation, BioElife Corp, BioXyTran Inc, Blackhawk Growth Corp, Bravatek Solutions Inc, CNS Pharmaceuticals Inc, complaints, Cornerstone Research, coronavirus, COVID-19, Covid-19 Pandemic, criminal authorities, Custom Protection Services Inc, Decision Diagnostics Corp, delinquent SEC filers, disgorgements, Division of Enforcement, Douglas Roe, Eastgate Biotech, EastWest Bioscience Inc, enforcement actions, Jason C. Nielsen, Kelly Warawa, Key Capital Corporation, Kleangas energy Technologies Inc, Lord Global Corp, Mark Schena, Michael Luckhoo-Bouche, Microcap, Micron Waste Technologies Inc, Moleculin Biotech Inc, Nano Magic Inc, Nelson Gomes, No Borders Inc, NYU Pollack Center for Law & Business, OTC Markets, Parallax Health Sciences Inc, penalties, Penny Stock, Praxsyn Corporation, PreCheck Health Services Inc, Predictive Technologies Group Inc, Prestige Capital Corp, public companies, referrals, regulators, Roadman Investments Corp, Sandy Steele Unlimited Inc, SCWorx Corp, SEC, SEC Issuers, Securities Exchange Commission, SEED, Signpath Pharma Inc, Solei Systems Inc, Solutions Inc, SpectrumDNA Inc, Stephanie Avakian, TCRs, tips, tradings suspension, Turbo Global Partners Inc, US Lithium Corp, US Securities and Exchange Commission, Wellness Matrix Group Inc, whistleblower, WOD Retail, WPD Pharmaceuticals Inc, Zoom Technologies Inc
Last week, E*TRADE, a subsidiary of Morgan Stanley, which offers an electronic trading platform to trade financial assets including common stocks, announced that effective November 21, 2020, customers will no longer be able to open positions in Caveat Emptor securities due to the risks associated with trading shares in these companies.
Category: Blog Posts Tags: Caveat Emptor, E-Trade, E*TRADE, Expert Market, fraud, Grey Market, OTC Markets, OTC Markets Group, Penny stocks, Promotion, Public Interest Concerns, Risk, SEC, Securities Exchange Commission, Suspension/Halt
On November 13, 2020, the Securities and Exchange Commission (the “SEC”) announced an award of over $1.1 million to a whistleblower whose independent analysis led the staff to look at new conduct during an ongoing investigation.
Category: Blog Posts Tags: Dodd-Frank Act, fraud, Jane Norberg, OTC Markets, Overseas, Penny Stock, SEC, SEC Action, SEC Investigation, SEC Issuer, SEC tips, Securities Exchange Commission, Securities Laws, Securities Laws Violations, Whistlerblower
The SEC adopted amendments to: (1) establish a new integration framework for issuers to move from one securities offering exemption to another; (2) increase the current offering and investment limits for Regulation A Offerings, Regulation Crowdfunding – Regulation CF and Rule 504 offerings; and (3) amend “Test-the-Waters” and “Demo Day” offering communications rules.
Category: Blog Posts Tags: Direct Offering, Form C-AR, Going Public, Ongoing Reporting, OTC Markets, Regulation A, Regulation A Attorney, Regulation A Lawyer, Regulation D, Rule 504, Rule 504 Exemption, SEC Reporting Requirements, Securities Offering
A sometimes overlooked aspect of Regulation A+ is the impact of state blue sky laws on liquidity and resales also known as secondary sales. State blue sky laws are applicable to resales by purchasers in Regulation A Offerings and vary… Read More
Category: Blog Posts Tags: 1-SA, 1-SA Report, Accredited Crowdfunding, Accredited Investor, Annual Reports on Form 1-K, BackerKit, Blue Sky, Brenda Hamilton, coronavirus, COVID-19, Covid-19 Pandemic, COVID-19 SEC, Crowdfunding, Crowdfunding Exemption, Form 1-K, Form 1-K Annual Reports, Form 1-K Report, Form 1-SA; Form 1-SA Reports, Form 1-U, Form 1-U Report, Form 1-U Reporting, Form 1-Z Report, Form C, Form c-AR Annual Report, Form C-TR Termination of Reporting, Form C-U Reports, Form C/A, Form ID, Kickstarter, laws, Michael Williams, nasdaq, Regulation 1-SA, Regulation A, Regulation A Filings, Regulation A Form 1-k, Regulation A Reporting, Regulation A Reporting Requirement, Regulation A Reports, Regulation A Rule, Regulation CF, Regulation Crowdfunding, Regulation Crowdfunding Reporting, Regulation Crowdfunding reporting Requirement, Report on Form 1-SA, Rule 506, Rule 506-c, Rule 506(c), SEC, SEC COVID-19, SEC Final Rule, SEC Registration, SEC Reporting, SEC Reporting Requirement, SEC Reporting Requirements, SEC Reports, SEC Rule, SEC Temporary Rule, secondary trading, securities, Securities Act, Securities Offering, Semi-annual reports on Form 1-SA
On October 6, 2020, the Securities and Exchange Commission (the “SEC”) charged businessman and computer programmer, John McAfee, for promoting investments in initial coin offerings (ICOs) to his Twitter followers without disclosing that he was paid to do so. McAfee’s bodyguard, Jimmy Watson, Jr., was also charged for his role in the alleged scheme.
Category: Blog Posts Tags: Jimmy Watson, John McAfee, Jr., microcap securities, Microcap Stock, OTC Markets, Penny Stock, Penny Stock Bars, Penny Stock Investor, Penny Stock Issuer, ponzi scheme, regulation, SEC, SEC Action, SEC Administrative Proceeding, SEC Attorney, SEC Claim, SEC Defendant, SEC Defense, SEC Defense Attorney, SEC enforcement, SEC Fraud, SEC Injunction, SEC Law Firm, SEC Lawsuit, SEC Lawyer, SEC Litigation, SEC Penny Stock Bar, SEC Subpoena, Securities Fraud, Securities Law Defense, stock scheme
Edward T. Kelly, Aceto Corporation, Insider Trading, Lakewood Ranch Florida
Category: Blog Posts Tags: Aceto, Aceto Corporation, Edward Kelly, Edward T. Kelly, Florida, Lakewood Ranch Floirda, microcap securities, Microcap Stock, OTC Markets, Penny Stock, Penny Stock Bars, Penny Stock Investor, Penny Stock Issuer, ponzi scheme, regulation, SEC, SEC Action, SEC Administrative Proceeding, SEC Attorney, SEC Claim, SEC Defendant, SEC Defense, SEC Defense Attorney, SEC enforcement, SEC Fraud, SEC Injunction, SEC Law Firm, SEC Lawsuit, SEC Lawyer, SEC Litigation, SEC Penny Stock Bar, SEC Subpoena, Securities Fraud, Securities Law Defense, stock scheme
On October 1, 2020, the U.S. District Court for the Eastern District of Pennsylvania entered a final consent judgment against Nicholas Tornello, a former senior accountant at Hill International, Inc.
Category: Blog Posts Tags: Hill International Inc, microcap securities, Microcap Stock, Nicholas Tornello, OTC Markets, Pennsylvania, Penny Stock, Penny Stock Bars, Penny Stock Investor, Penny Stock Issuer, ponzi scheme, regulation, SEC, SEC Action, SEC Administrative Proceeding, SEC Attorney, SEC Claim, SEC Defendant, SEC Defense, SEC Defense Attorney, SEC enforcement, SEC Fraud, SEC Injunction, SEC Law Firm, SEC Lawsuit, SEC Lawyer, SEC Litigation, SEC Penny Stock Bar, SEC Subpoena, Securities Fraud, Securities Law Defense, stock scheme
At its October 7, 2020 open meeting, the Securities and Exchange Commission (the “SEC”) voted to propose exemptive relief for certain finders engaged in raising capital from accredited investors. If the proposal is adopted, it would allow them to receive commissions and other transaction-based compensation without registration as a broker-dealer under Section 15 of the Securities Exchange Act of 1934 (the “Exchange Act”).
Category: Blog Posts Tags: broker-dealer, Dealer, Finder, Finders, Finders Exemption, Finders Exemption from Registration, registered representative, SEC Proposal, SEC Reporting Company, SEC Reporting Requirements, The Exchange Act, The Securities Act, Tier 1 Finder, Tier 1 Finders, Tier 2 Finder, Toxic Lender, Unregistered Dealer
On September 16, 2020, SEC amended Exchange Act Rule 15c2-11 and Form 211. Changes to Rule 15c2-11 were proposed last year. The OTC Markets will be impacted by the changes as will penny stock issuers on the OTCQB and OTC Pink tiers.
Category: Blog Posts Tags: 15c-211, 15c2-11, Blue Sky, broker-dealers, FINRA, FINRA Rule 15c2-11, Form 211, Form 211 and Amended 15c-211, Form 211 Attorney, Form 211 Attorneys, Form 211 Lawyer, Form 211 Lawyers, Form F-1, Form S-1, Going Public, Grey Sheets, Market Maker, otc, OTC Markets, OTC Markets and Sponsoring Market Maker, OTC Markets Pink, Penny Stock, Piggyback Exception, Regulation A, Regulation A Secondary Sales, Regulation A Tier 2, Regulation A+. Tier 1, Reporting Company, rule 15c-211, Rule 15c2-11, SEC, SEC 15c-211, SEC Administrative Proceeding, SEC Attorney, SEC Injunction, SEC Law Firm, SEC Lawsuit, SEC Lawyer, SEC Litigation, SEC Penny Stock Bar, SEC Reporting, SEC Reporting Requirements, SEC Rule 15c2-11, SEC Trading Suspension, Securities Attorney, Securities Fraud, Securities Law Defense, Securities Lawyer, Sponsoring Market Maker, trading suspension, Unregistered Dealer, Unsolicited quotes
Online Platforms for Rule 506(c) Offerings The most common exemption from SEC Registration is Rule 506(c) of Regulation D which provides for two unique exemptions from SEC registration that allow the issuer to raise unlimited amounts of capital… Read More
Category: Blog Posts Tags: Accredited Crowdfunding, Accredited Investor, Accredited Investor Verification, Accredited Investor Verification Provider, Accredited Investors, Brenda Hamilton, Crowdfund, Crowdfunding, Crowdfunding Capital Raise, Crowdfunding Financing, Crowdfunding Lawyer, Direct Listing, Direct Listing Lawyer, Equity, Equity Offering, Exempt Offering, FINRA, Form C, Form D, offering circular, PPM, Private Placement, Private Placement Memorandum, Regulation CF, Regulation CF Attorney, Regulation CF Attorneys, Regulation CF Capital Raise, Regulation CF Crowdfunding, Regulation CF Funding, Regulation CF Law Firm, Regulation CF Lawyer, Regulation CF Lawyers, Regulation CF offering, Regulation CF Requirements, Regulation Crowdfunding, Regulation Crowdfunding Attorney, Regulation Crowdfunding attorneys, Regulation Crowdfunding Lawyers, Regulation Crowdfunding Offering, Regulation Crowdfunding Reporting, Regulation Crowdfunding Requirements, Regulation Crowdfunding SEC Reporting, Regulation Crowdfunding Securities Offering, Regulation D, Regulation D Rule 506, Rule 501, Rule 501(a), Rule 504, Rule 504 Attorney, Rule 504 lawyer, Rule 506, Rule 506 (b), Rule 506-c, Rule 506(b), Rule 506(b) attorney, Rule 506(b) lawyer, Rule 506(c), Rule 506(c) lawyer, SEC Amendment, SEC Registration, Section 4(a)(6) Crowdfunding, Section 4(a)(6) Offering, SECTION 4(A)6, Securities Act, Securities Exemption, Securities Offering, the Securities Act of 1933
On August 26, 2020, the United States Securities and Exchange Commission (the “SEC”) finalized its proposed rule amending the disclosure requirements under Items 101, 103, and 105 of Regulation S-K. The revisions to Regulation S- K modernize SEC disclosure requirements and provide investors with more meaningful information about an issuer’s business, legal proceedings, and risks of an investment in the issuer’s securities. They also reduce the burden on issuers to disclose certain information that might be immaterial to the issuer’s business. Items 101, 103 and 105 have not been substantially revised for over 30 years. Issuers conducting direct public offerings or filing registration statements on Form F-1 or S-1 should be aware of these changes.
Category: Blog Posts Tags: Item 105 Risk Factors, Direct Public Offering, Form F-1, Form S-1, Go Public, Going Public, Item 101 Description of the Business, Item 101(c), Item 103, Item 103 Legal Proceedings, Regulation S-K, Regulation S-K Item 101, Regulation S-K Item 103, Regulation S-K Item 105. Form S-1, SEC Description of Business, SEC Disclosure Requirements, SEC Legal Proceedings, SEC Risk Factors, Smaller Reporting Companies
Rule 506 Offerings are the most common of the Regulation D exemptions from registration under the Securities Act of 1933, as amended (the “Securities Act”). Rule 506 contains two distinct offering exemptions. Rule 506(b) and Rule 506(c). Rule 506 (b) provides an exemption to an unlimited number of accredited investors and up to thirty-five non-accredited investors without the use of general solicitation and advertising while Rule 506(c) allows the issuer to sell to an unlimited number of accredited investors so long as it verifies that each investors is an accredited investor.
Category: Blog Posts Tags: Accredited Crowdfunding, Accredited Investor, Accredited Investor Verification, Accredited Investor Verification Provider, Accredited Investors, Brenda Hamilton, Crowdfund, Crowdfunding, Crowdfunding Capital Raise, Crowdfunding Financing, Crowdfunding Lawyer, Direct Listing, Direct Listing Lawyer, Equity, Equity Offering, Exempt Offering, FINRA, Form C, Form D, offering circular, PPM, Private Placement, Private Placement Memorandum, Regulation CF, Regulation CF Attorney, Regulation CF Attorneys, Regulation CF Capital Raise, Regulation CF Crowdfunding, Regulation CF Funding, Regulation CF Law Firm, Regulation CF Lawyer, Regulation CF Lawyers, Regulation CF offering, Regulation CF Requirements, Regulation Crowdfunding, Regulation Crowdfunding Attorney, Regulation Crowdfunding attorneys, Regulation Crowdfunding Lawyers, Regulation Crowdfunding Offering, Regulation Crowdfunding Reporting, Regulation Crowdfunding Requirements, Regulation Crowdfunding SEC Reporting, Regulation Crowdfunding Securities Offering, Regulation D, Regulation D Rule 506, Rule 501, Rule 501(a), Rule 504, Rule 504 Attorney, Rule 504 lawyer, Rule 506, Rule 506 (b), Rule 506-c, Rule 506(b), Rule 506(b) attorney, Rule 506(b) lawyer, Rule 506(c), Rule 506(c) lawyer, SEC Amendment, SEC Registration, Section 4(a)(6) Crowdfunding, Section 4(a)(6) Offering, SECTION 4(A)6, Securities Act, Securities Exemption, Securities Offering, the Securities Act of 1933
The SEC filed an enforcement action against John Fife, an unregistered dealer and 5 companies he controlled including St. George Investments LLC and Tonaquint, Inc. According to the SEC, Fife and his companies had acted for years as securities dealers, but failed to register with the SEC and with the Financial Industry Regulatory Authority (“FINRA”) as the Securities Exchange Act of 1934 (“Exchange Act”) requires.
Category: Blog Posts Tags: Division of EnforcementChicago Venture, Iliad Research and Trading, John M. Fife, SEC Action, SEC enforcement, St. George Investments, Tonaquint, Toxic Lender, toxic lending, Typenex Co-Investment, Unregistered Dealer
