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Monthly Archives: December 2012

SEC Approves Auditing Standard No. 16 as Applicable to EGCs

Posted in IPO On-Ramp

On December 17, 2012, the SEC issued an order granting approval of the Public Company Accounting Oversight Board’s Auditing Standard No. 16, “Communications with Audit Committees,” and related and transitional amendments to PCAOB.  Auditing Standard No. 16 will replace the temporary auditing standard regarding auditor communications with the audit committee that the PCAOB adopted shortly… Continue Reading

FINRA Authorized to Use Interim Form for Funding Portals

Posted in Crowdfunding

In a recent update regarding the last meeting of the FINRA Board of Governors (see http://www.finra.org/Industry/Regulation/Guidance/CommunicationstoFirms/P197425), FINRA noted that the Board had authorized FINRA to  issue an interim form to seek essential information from prospective funding portals intending to apply for membership with FINRA pursuant to the JOBS Act.  Funding portals would file the interim… Continue Reading

FAQs at Your Fingertips

Posted in Welcome

Knowledge is power, and now, with the eBook version of MoFo’s FAQs, you can be even more powerful. We’ve taken our popular FAQs containing questions and answers about securities offerings, securities filings, etc. and created an ebook that you can download on your iOS, Kindle, Android or Nook device and readily access and search. Imagine… Continue Reading

Senators Urge JOBS Implementation

Posted in Rule 506

Recently, Senators John Thune and Pat Toomey and a number of other senators joined the chorus urging the Securities and Exchange Commission to move forward with Rule 506 rulemaking.  The letter also expresses concern with any overly prescriptive investor verification test.  This is consistent with letters from the House.  The text of the letter:  http://www.toomey.senate.gov/?p=press_release&id=772.

FINRA 5123 Becomes Effective; FINRA Releases FAQs

Posted in Private Placements

Earlier this week, FINRA Rule 5123 relating to private placements became effective, and FINRA released a set of FAQs (see http://www.finra.org/Industry/Compliance/RegulatoryFilings/PrivatePlacements/FAQ/index.htm) to provide market participants with additional guidance.  The FAQs clarify that only private placements that are made to institutional accredited investors are exempt from the filing requirements, while those made to accredited investors that… Continue Reading

Rule 506 Rulemaking Balancing Act

Posted in Rule 506

Recently, Congressmen Scott Garrett, Kevin McCarthy and Patrick McHenry wrote to urge Chairman Schapiro to consider, in connection with the SEC’s Rule 506 rulemaking, the regulatory burden that may be imposed by a complex investor verification process and noted that lawmakers did not contemplate a burdensome verification process when the JOBS Act was being considered. … Continue Reading

Decimalization Roundtable Planned

Posted in Decimalization

The SEC announced that its staff will host a roundtable early next year to discuss the impact of decimal-based stock trading on small and mid-sized companies, market professionals, investors, and U.S. securities markets.  The roundtable will be held on Feb. 5 at the SEC’s Washington, D.C., headquarters, and will be open to the public and… Continue Reading