Unregistered broker - Going Public Lawyers

Americrude Charged by SEC – Posted by Brenda Hamilton, Securities Attorney

On March 8, 2018, the Securities and Exchange Commission charged Americrude, Inc. a Dallas-based oil-and-gas company and two of its executives with defrauding investors out of at least $950,000 through a string of fraudulent oil-and-gas securities offerings. The… Read More

What Is An Unregistered Broker? – Going Public Lawyers

The Securities and Exchange Commission (the “SEC”) is pursuing unregistered broker or broker dealer activity which runs rampant in the penny stock markets particulary in transactions involving reverse merger companies. Often these unregistered broker-dealers claim to be exempt… Read More

SEC Approves FINRA Rule Allowing Transaction Based Compensation

The Securities and Exchange Commission (“SEC”) recently approved Rule 2040 proposed by the Financial Industry Regulatory Authority (“FINRA”) which applies to the payment of transaction based compensation to unregistered persons by member firms.  Rule 2040 will allow member firms to… Read More

SEC Charges 22 Unregistered Broker-Dealers-Going Public Attorneys

The Securities and Exchange Commission (SEC) Division of Enforcement is pursuing unregistered broker-dealer activity which runs rampant in the penny stock markets.  With a reduction of the number of small broker-dealers, there have been limited sources of capital… Read More

Do I Have to Disclose Payments To a Finder?

Companies seeking capital are frequently approached by intermediaries who offer to locate investors in exchange for a fee.  Most intermediaries also known as “finders” are not registered as broker-dealers with the Securities and Exchange Commission (the “SEC”).  These… Read More

SEC Charges Traders Cafe Founders As Unregistered Brokers

The Securities & Exchange Commission (the “SEC”) announced securities fraud charges against Albert J. Scipione and Matthew P. Ionno who they allege pursued investors to set up accounts at their Traders Cafe for day trading.  Traders Cafe functioned as a… Read More

What is a Stock Promoter? Securities Lawyer 101

Securities Lawyer 101 Blog The securities laws contain specific rules and regulations that apply to issuers who use the services of promoters. These include disclosure obligations under the Securities Act of 1933, (“Securities Act”) and the Securities Exchange… Read More

The Laws That Apply to Finders l Securities Lawyer 101

Securities Lawyer 101 Blog Companies seeking capital are frequently approached by finders who offer to locate investors in exchange for a fee.  This is particularly true in going public transactions. Most finders are not registered as broker-dealers with… Read More

What is a Finder?

Securities Lawyer 101 Blog It is not unusual for a private or public company to be approached by person (“Finder”) who offers to locate investors in exchange for a fee.  Most finders are not registered as broker-dealers with the Securities… Read More

SEC Charges South Florida Boiler Room Operators in NFL Scam

Securities Lawyer 101 Blog On September 26, 2013, the Securities and Exchange Commission (“SEC”) charged two Floridians, Peter Kirschner and Stuart Rubens, with defrauding investors—many of them seniors—in a boiler room scheme they operated between July 2011 and… Read More