{"id":389,"date":"2021-05-19T10:20:14","date_gmt":"2021-05-19T15:20:14","guid":{"rendered":"https:\/\/zamzowfabian.com\/articles\/?p=389"},"modified":"2023-05-19T10:22:13","modified_gmt":"2023-05-19T15:22:13","slug":"exempt-offerings-and-bad-actors","status":"publish","type":"post","link":"https:\/\/zamzowfabian.com\/articles\/exempt-offerings-and-bad-actors\/","title":{"rendered":"Exempt Offerings and Bad Actors"},"content":{"rendered":"<p>The U.S. Securities and Exchange Commission (SEC) has set guidelines to disqualify so-called &#8220;<a href=\"https:\/\/www.sec.gov\/info\/smallbus\/secg\/bad-actor-small-entity-compliance-guide\">bad actors<\/a>&#8221; from participation in securities offerings. These disqualifications apply to individuals or entities with a history of securities law violations or related legal issues. The criteria for disqualification include:<\/p>\n<p>1. Criminal convictions related to securities transactions, false SEC filings, or specific securities-related businesses.<br \/>\n2. Court injunctions or restraining orders related to securities transactions, false SEC filings, securities-related business activities, or obtaining money or property through false representations.<br \/>\n3. Final orders from certain financial regulators barring the individual or entity from associating with a regulated entity, engaging in specific financial business activities, based on violation of antifraud rules, or any postal service false representation order.<br \/>\n4. SEC orders revoking the registration of a regulated person, limiting their activities, or imposing industry, collateral, or penny stock bars.<br \/>\n5. SEC cease-and-desist orders related to the antifraud rules based on fraudulent intent or violations of Section 5 of the Securities Act.<br \/>\n6. Suspension or expulsion from a self-regulatory organization such as the Financial Industry Regulatory Authority (FINRA).<br \/>\n7. For any registrant, issuer, or underwriter named in any registration statement or Regulation A offering statement filed with the SEC, the issuance of a suspension or stop order with respect to such statement, or any ongoing investigation related to these issues.<\/p>\n<p>In simpler terms, individuals or entities with a history of legal issues or violations in securities transactions, as outlined above, could be considered &#8220;bad actors&#8221; by the SEC and may be barred from participating in securities offerings.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The U.S. Securities and Exchange Commission (SEC) has set guidelines to disqualify so-called &#8220;bad actors&#8221; from participation in securities offerings. These disqualifications apply to individuals or entities with a history of securities law violations or related legal issues. The criteria for disqualification include: 1. Criminal convictions related to securities transactions, false SEC filings, or specific [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[],"class_list":["post-389","post","type-post","status-publish","format-standard","hentry","category-larticles"],"_links":{"self":[{"href":"https:\/\/zamzowfabian.com\/articles\/wp-json\/wp\/v2\/posts\/389","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/zamzowfabian.com\/articles\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/zamzowfabian.com\/articles\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/zamzowfabian.com\/articles\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/zamzowfabian.com\/articles\/wp-json\/wp\/v2\/comments?post=389"}],"version-history":[{"count":2,"href":"https:\/\/zamzowfabian.com\/articles\/wp-json\/wp\/v2\/posts\/389\/revisions"}],"predecessor-version":[{"id":392,"href":"https:\/\/zamzowfabian.com\/articles\/wp-json\/wp\/v2\/posts\/389\/revisions\/392"}],"wp:attachment":[{"href":"https:\/\/zamzowfabian.com\/articles\/wp-json\/wp\/v2\/media?parent=389"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/zamzowfabian.com\/articles\/wp-json\/wp\/v2\/categories?post=389"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/zamzowfabian.com\/articles\/wp-json\/wp\/v2\/tags?post=389"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}