Proponents of the varied cryptocurrencies believe that buying these “coins” will make them millionaires. For some, it is hard to argue, given the spectacular gains in the currency over the past year. However, those of us who have been involved in the securities markets for more than a few years, […]
Corp Finance
Congress Still Trading On Non-Public Information?
Even a looming scandal wouldn’t deter some of Congress’ most eager stock traders.” This article from Politico details the outrageous trading patterns of some members of Congress, who despite the STOCK Act, continue to trade in the securities of companies who are the influenced by their investigations and legislation. The […]
SEC’s Fast Answers – Rule 504
Rule 504 of Regulation D provides an exemption from the registration requirements of the federal securities laws for some companies when they offer and sell up to $1,000,000 of their securities in any 12-month period. A company can use this exemption so long as it is not a blank check […]
SEC Fast Answers – Rule 506
Rule 506 of Regulation D Rule 506 of Regulation D is considered a “safe harbor” for the private offering exemption of Section 4(a)(2) of the Securities Act. Companies relying on the Rule 506 exemption can raise an unlimited amount of money. There are actually two distinct exemptions that fall under […]
Corporate Finance Center
Corporate Finance, the raising of capital, is a significant part of the United States Securities Laws. Introductory Materials Federal Securities Laws -introduction and overview of the cases and statutes that comprise the United States securities laws. Insider trading, stock manipulation, and more. Blue Sky Laws (State Securities Laws) – introduction and overview […]
Touting Stocks is Illegal
Internet Promoters Enjoined by SEC The SEC has been pursuing those who illegally tout stocks on the Internet for over 20 years, but the conduct continues. The typical case ends in a series of fines, and the entry of a permanent injunction against the promoter who failed to follow the […]
Public Offering and Private Placement Information Center
When the Securities and Exchange Commission enacted a new procedure for financing by small corporations, known as the Small Corporate Offering Registration (SCOR), it was designed to help small corporations raise capital. In essence, it is a procedure designed by the SEC to enable smaller companies to raise capital, by […]
Finders Explained – Be Careful
A question I am often asked is what is the definition of a finder, or questions that lead to that question. The issue arises when an unregistered person or entity introduces investors to an issuer and seeks to obtain payment based on the investment made by the investor. The problem […]
Guide to State Securities Administrators
Maintained by Mark J. Astarita, Esq. Last Updated March 2022 Introduction A complete listing of the contact information for the State Securities Commissions, who regulate securities transactions , in addition to the rules and regulations of the Securities and Exchange Commission . Here is a listing of the various state […]
Introduction to Private Placements – A Securities Lawyer Guide
Introduction By Mark Astarita, a New York Securities Lawyer This overview of the private placement process is not legal advice, and is intended solely for information and educational purposes. If you are contemplating a private placement, or any legal transaction, you should consult an attorney who can provide you with […]