SEC Obtains Summary Judgment Against StratoComm Penny Stock Defendants
Securities Lawyer 101 Blog On February 19, 2014, the United States District Court for the Northern District of New York in Albany, New York granted the Securities and Exchange Commission’s motion for summary judgment on liability against all… Read More
SEC Charges Dewey & LeBoeu Executives with Securities Fraud
Securities Lawyer 101 Blog On March 6, 2014, the Securities and Exchange Commission (“SEC”) announces charges against five executives at Dewey & LeBoeuf,and finance professionals. They are are accused of facilitating a $150 million fraudulent bond offering by… Read More
SEC Shuts Down Pyramid Scheme Using Phony Companies l Securities Lawyer 101
Securities Lawyer 101 Blog On March 5, 2014, the Securities and Exchange Commission (“SEC”) announced an emergency enforcement action to stop a fraudulent pyramid scheme by phony companies masquerading as a legitimate international investment firm. The SEC has… Read More
What are the OTC Markets Reporting Requirements?
Securities Lawyer 101 Blog Unlike securities listed on stock exchanges such as NASDAQ or the NYSE, securities may trade through the OTC Markets interdealer quotation system whether they are a Securities and Exchange Commission (“SEC”) reporting issuer or not…. Read More
SEC Announces Trading Suspension of Aventura Equities
Securities Lawyer 101 Blog On March 5, 2014, the Securities and Exchange Commission (“SEC”) announced the temporary trading suspension, pursuant to Section 12(k) of the Securities Exchange Act of 1934 (“Exchange Act”), of trading in the securities of… Read More
How Can I Remove a DTC Chill Or Global Lock? Securities Lawyer 101
Securities Lawyer 101 Blog DTC Chills and global locks continue to be a growing problem for small companies. The Depository Trust and Clear Corporation (“DTCC”), through its subsidiaries, provides clearing, settlement and information services for securities. DTCC’s subsidiary,… Read More
Jerry Williams AKA Monk Ordered to Pay Over $9,600,000
Securities Lawyer 101 Blog On February 12, 2014, the Securities and Exchange Commission (“SEC”) announced that a Connecticut federal court entered judgments against a former Connecticut-based stock promoter, Jerry S. Williams, and two companies that he controlled, Monk’s… Read More
What Is a Naked Short Sale? Securities Lawyer 101
Securities Lawyer 101 Blog The Short Seller Scape Goat In recent years, the activities of short sellers have been the subject of controversy. While short selling is a simple process it is widely misunderstood. While the average investor… Read More
Investor Relations & General Solicitation After the JOBS Act
Securities Lawyer 101 Blog Investor relations also known as stock promotion involves the publication of information about a public company to increase its stock price and trading volume. The person who publishes this information is sometimes referred to… Read More
The SEC Speaks About the Registration Statement Process
Securities Lawyer 101 Blog The Securities and Exchange Commission recently announced the issuance of Commissioner Elisse B. Walter’s statement, “The Commission’s Registration Process: How to Better Administer an Ounce of Prevention”. The release is a reminder of the importance of preventive… Read More
SEC Suspends Trilliant Exploration
Securities Lawyer 101 Blog On February 28, 2014, the Securities and Exchange Commission (“Commission”) ordered the temporary suspension, pursuant to Section 12(k) of the Securities Exchange Act of 1934 (the “Exchange Act”), of trading in the securities of… Read More
OTCQX Proposes Amendments to its OTCQX Rules
Securities Lawyer 101 Blog On February 13, 2014, the OTC Markets proposed amendments to its OTCQX rules. The will impact US and international companies seeking listings on the OTCQX. The OTC Markets OTCQX is the premier market tier… Read More
FBI Brings Securities Fraud Charges in $125 Million Medical Glove Scheme
Securities Lawyer 101 Blog Deepal Wannakuwatte, 63, has been arrested and charged with operating a massive Ponzi scheme that raised over $125 million from investors who believed they were investing in a company that had valuable contracts to… Read More
Richard Altomare Convicted of Securities Fraud
Securities Lawyer 101 Blog On February 26, 2014, the United States Attorney for the Southern District of Florida, and Federal Bureau of Investigation (FBI), Miami Field Office, announce that a federal jury convicted Richard Altomare, 65, of Palm… Read More
SEC Charges Clean Energy l Securities Lawyer 101
Securities Lawyer 101 Blog On February 25, 2014, the Securities and Exchange Commission (the “SEC”) announced SEC charges against an Arizona-based private equity fund manager and his investment advisory firm for orchestrating a scheme to misallocate their expenses… Read More
George Louis Theodule Sentenced to 150 Months
Securities Lawyer 101 Blog On February 26, 2014, the United States Attorney for the Southern District of Florida and Federal Bureau of Investigation, announced the unsealing of an indictment charging George Louis Theodule, former resident of Wellington, Florida…. Read More
Anthonie R. Sparrow Sentenced in $16 Million Scheme
Securities Lawyer 101 Blog On February 25, 2014, the FBI announced that Anthonie R. Sparrow pled guilty for his role in perpetrating a $16 million securities fraud scheme that victimized hundreds of investors around the world. Sparrow was… Read More
Reverse Mergers l The Game Changers
Shell brokers continue to tout the virtues of reverse merger transactions, despite recent rule changes that eliminate many if not all of the benefits once conferred by them. Seeking to persuade clients to use their services, these promoters… Read More
FINRA Fines Brown Brothers Harriman $8 Million for Compliance Failures
Securities Lawyer 101 Blog The Financial Industry Regulatory Authority (FINRA) announced today that it has fined New York-based Brown Brothers Harriman & Co. (Brown Brothers Harriman) $8 million for substantial anti-money laundering compliance failures including, among other related… Read More
New Proposals To Amend FINRA Rule 5110
Securities Lawyer 101 Blog On January 9, 2014, FINRA submitted proposals to the SEC to amend FINRA Rule 5110. FINRA’s proposals seek to: (i) narrow the definition of “participation or participating in a public offering;” (ii) modify the… Read More
SEC Shuts Down 20 Bogus S-1 Registration Statements After Promotion Stock Secrets Research Report
Securities Lawyer 101 Blog On February 3, 2014, the Securities and Exchange Commission (“SEC”) announced the filing of stop order proceedings against 20 purported mining companies for providing false information in their S-1 registration statements. Of the 20 S-1 registration statements,… Read More
SEC Charges College Professor, Gonul Colak, in Naked Short Selling Scheme
Securities Lawyer 101 Blog On January 31, 2014, the Securities and Exchange Commission charged two Florida college professors with perpetrating a complex naked short selling scheme for more than $400,000 in illicit profits.
Going Public For Canadian Issuers – Multijurisdictional Disclosure System
Securities Lawyer 101 Blog The Multijurisdictional Disclosure System was adopted in July 1991 by the U.S. Securities and Exchange Commission (“SEC”) and the Canadian Securities Administrators to facilitate cross-border public offerings of securities between the U.S. and Canada…. Read More
SEC Suspends Hi Score and OLIE After Janice Shell Research Report
Securities Lawyer 101 Blog On January 27, 2014, the Securities and Exchange Commission (the “SEC”) announced the temporary suspension, pursuant to Section 12(k) of the Securities Exchange Act of 1934 (the “Exchange Act”), of trading in the securities… Read More
David Kevin Lewis Sentenced to 30 Years for Oil and Gas Fraud
On January 24, 2014, a Texas court sentenced David Kevin Lewis, 52, to 30 years in federal prison for 23 counts of securities fraud and conspiracy and ordered to pay approximately $2.5 million in restitution, following his conviction…. Read More
Felon Barry Minkow Becomes Pastor and Cons Church Congregation Out of Millions
Securities Lawyer 101 Blog Last week, Barry Minkow pleaded guilty to embezzling funds from the San Diego Community Bible Church, a U.S. attorney’s statement said. Minkow was already serving a five-year sentence for securities fraud. According to the… Read More
SEC Provides Additional Guidance For Rule 506(c) Offerings
Securities Lawyer 101 Blog On January 23, 2014, the Securities and Exchange Commission (the “SEC”) issued new guidance concerning Rule 506(c) in its Compliance and Disclosure Interpretations. In the Compliance and Disclosure interpretations, the SEC addresses Rule 506… Read More
What Is Caveat Emptor? Going Public Lawyers
Securities Lawyer 101 Blog The Latin phrase Caveat Emptor means “let the buyer beware.” The application of the Caveat Emptor principle is most often applied in the sale of property where a purchaser has a specific period of… Read More
Steven Palladino Sentenced to 10-12 Years
Securities Lawyer 101 Blog On January 24, 2014, the Securities and Exchange Commission (“SEC”) announced that a Massachusetts state court judge sentenced Massachusetts resident Steven Palladino to a prison term in a criminal action filed by the Suffolk… Read More
