CrowdCheck Blog

One of the great benefits to issuers under the SEC’s rules for offerings under Tier 2 of Regulation A, effectively created by the JOBS Act, is the preemption of state requirements for registration of the offer and sale of securities. Known as “Blue Sky Laws”, these state specific rules added considerable cost to qualifying an offering under Regulation A. The SEC determined it was appropriate to preempt state qualification rules by deeming securities offered and sold under Tier 2 of Regulation A…

One of the great benefits to issuers under the SEC’s rules for offerings under Tier 2 of Regulation A, effectively created by the JOBS Act, is the preemption of state requirements for registration of the offer and sale of securities. Known as “Blue Sky Laws”, these state specific rules added considerable cost to qualifying an offering under Regulation A. The SEC determined it was appropriate to preempt state qualification rules by deeming securities offered and sold under Tier 2 of Regulation A…

One of the great benefits to issuers under the SEC’s rules for offerings under Tier 2 of Regulation A, effectively created by the JOBS Act, is the preemption of state requirements for registration of the offer and sale of securities. Known as “Blue Sky Laws”, these state specific rules added considerable cost to qualifying an offering under Regulation A. The SEC determined it was appropriate to preempt state qualification rules by deeming securities offered and sold under Tier 2 of Regulation A…

When do companies need to tell investors about criminal proceedings that allege their officers and directors have engaged in fraud?  According to the Commonwealth of Massachusetts, it may be sooner than companies expect.   In a settlement that it made public, Realpha Assets Management, Inc. (“Realpha”) was found liable by Massachusetts for failing to disclose in its Reg A offering the ongoing criminal proceeding involving allegations of cheating, fraud and forgery against their CEO even though…

When do companies need to tell investors about criminal proceedings that allege their officers and directors have engaged in fraud?  According to the Commonwealth of Massachusetts, it may be sooner than companies expect.   In a settlement that it made public, Realpha Assets Management, Inc. (“Realpha”) was found liable by Massachusetts for failing to disclose in its Reg A offering the ongoing criminal proceeding involving allegations of cheating, fraud and forgery against their CEO even though…

When do companies need to tell investors about criminal proceedings that allege their officers and directors have engaged in fraud?  According to the Commonwealth of Massachusetts, it may be sooner than companies expect.   In a settlement that it made public, Realpha Assets Management, Inc. (“Realpha”) was found liable by Massachusetts for failing to disclose in its Reg A offering the ongoing criminal proceeding involving allegations of cheating, fraud and forgery against their CEO even though…

When do companies need to tell investors about criminal proceedings that allege their officers and directors have engaged in fraud?  According to the Commonwealth of Massachusetts, it may be sooner than companies expect.   In a settlement that it made public, Realpha Assets Management, Inc. (“Realpha”) was found liable by Massachusetts for failing to disclose in its Reg A offering the ongoing criminal proceeding involving allegations of cheating, fraud and forgery against their CEO even though…

A while back, one of our favorite start-up clients called me and asked me to speak to a potential investor. Paul Efron, a resident of Arizona, wanted to invest in the company's Regulation A offering. However, when he went onto the company’s website to invest, his subscription was rejected. The company was accepting subscriptions from investors in every state but Arizona and Nebraska. Why Arizona and Nebraska, asked Paul? The reason was that while federal law and most states’ laws say that a…

A while back, one of our favorite start-up clients called me and asked me to speak to a potential investor. Paul Efron, a resident of Arizona, wanted to invest in the company's Regulation A offering. However, when he went onto the company’s website to invest, his subscription was rejected. The company was accepting subscriptions from investors in every state but Arizona and Nebraska. Why Arizona and Nebraska, asked Paul? The reason was that while federal law and most states’ laws say that a…

A while back, one of our favorite start-up clients called me and asked me to speak to a potential investor. Paul Efron, a resident of Arizona, wanted to invest in the company's Regulation A offering. However, when he went onto the company’s website to invest, his subscription was rejected. The company was accepting subscriptions from investors in every state but Arizona and Nebraska. Why Arizona and Nebraska, asked Paul? The reason was that while federal law and most states’ laws say that a…