NASDAQ Submits Proposals Requiring Public Disclosure of Denied Listing Applications

namingOn October 30, 2014, NASDAQ submitted a proposal addressing initial NASDAQ listing applications.  The proposals include that a company could withdraw its initial listing application at any time.  NASDAQ’s policies have always permitted a company to withdraw its initial listing application at any time, and as such, the proposals would formally make this policy part of NASDAQ’s rules. Read More

Medbox, Inc. Announces SEC Investigation

Securities Lawyer 101 Blog

On November 12, 2014, Medbox, Inc. (MDBX) put an end to nearly two weeks of speculation by acknowledging in its 10-Q for the period ended September 30 that the company has received a formal notice of investigation from the Securities and Exchange Commission (“SEC”).  Read More

SEC Censures Crowdfunding Website for Selling to US Investors

Securities Lawyer - CrowdfundingSecurities Law Blog

On November 12, 2014, the Securities and Exchange Commission (the “SEC”) censured, a Cayman Islands-based crowdfunding website for its failure to implement procedures “reasonably designed” to prevent U.S. investors from using its funding portal as a means to invest in securities offerings. Read More

Belizean Judge Removes Asset Freeze in Robert Bandfield Case

Robert Bandfield Asset FreezeOn November 10, 2014, Belizean Chief Justice Kenneth Benjamin ordered the removal of a freeze on accounts owned by six defendants in what the U.S. government describes as a $500 million fraud case.  The U.S. alleges that three Belize broker-dealers, Legacy Global Markets S.A., Unicorn International Securities LLC, and Titan International Securities, Inc., participated in the fraud.  Read More

Second Incarnation of Silk Road Bitcoin Shop Shut Down

Bitcoin l Silkroad l Brenda Hamilton LawyerOn November 6, 2014, U.S. District Attorney’s Office for the Southern District of New York, the Federal Bureau of Investigation (“FBI”) and Homeland Security Investigations (“HSI”) announced the arrest of Blake Benthall in connection with his operation and ownership of a website known as “Silk Road 2.0.”  Read More

Investment Newsletters 101 By: Brenda Hamilton, Attorney

Investment Newsletter Brenda HamiltonSecurities Lawyer 101 Blog

The Securities and Exchange Commission (“SEC”) recently issued an Investor Alert warning about the use of investment newsletters and emails as tools for fraud.  In this digital age, sensible people know they should be wary of online financial advice, but there are still many who can’t resist the allure of the “guaranteed profits” that will be generated by a “once in a lifetime opportunity” that they learn about via email in their inbox. Read More

How Form S-1 and Form 10 Registration Statements Are Different

Going Public AttorneyGoing public often refers to the process of a company filing a registration statement under the Securities Act of 1933, as amended to register securities for public sale.  Unlike a registration statement on Form S-1, a Registration statement on Form 10 registers a class of securities such as common or preferred stock pursuant to Section 12(b) or 12 (g) of the Securities Exchange Act of 1934.

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SEC Sanctions 10 Issuers for Form 8-K Failures

disclosure21On November 5, 2014, the Securities and Exchange Commission (the “SEC”) announced enforcement actions against 10 companies for failing to file Current Reports on Form 8-K disclosing financing deals and other unregistered securities sales that diluted their shareholders and investors. Read More