At The PCAOB, They Give No Words But "Mum"

In March, the Public Company Accounting Oversight Board issued its first public research note. Entitled "Activity Summary and Audit Implications for Reverse Mergers Involving Companies from the China Region (January 1, 2007 through March 31, 2010),"...

Commissioner Takes Emergency Action To Put More Time On The Clock For Rule 260.204.9

Yesterday, Commissioner Preston DuFauchard started the process for adding six months to the lifespan of Rule 260.204.9. The Commissioner took this action in light of the imminent expiration of the “private adviser” exemption set forth in Section...

CalPERS Responds

Earlier this week, I wrote about the many scandals that have been swirling about the California Public Employees Retirement System. A good sign that an organization is feeling embattled is when it sets up a website dedicated to providing responses....

Dinner Is Served: Will The Volcker Rule Spur Interest In California's Capital Access Company Law?

Congress issues an invitation 

Supreme Court Resolves Janus Controversy But The Gates of War Are Not Entirely Closed

Yesterday, the U.S. Supreme Court issued its decision in Janus Capital Group, Inc. v. First Derivative Traders. In a 5-4 decision, the Court found that to be liable under Rule 10b-5, a person must "make" the material misstatement. According to...

CalPERS' Annus Horribilis: How Much Worse Will It Get?

The news keeps getting worse for the nation's largest public pension fund - the California Public Employees Retirement System.  On Saturday, Los Angeles Times reporter Marc Lifsher reported in this story that CalPERS has adopted a policy of...

Are Reverse Mergers A Nevada Problem?

Yesterday, the Securities and Exchange Commission issued this bulletin on the risks of investing in reverse merger companies.  In this post from the week before, I wrote about a recent article that found that Nevada is second only to Delaware in...

Offering Securities By General Announcement Without Registration

Yesterday, the Securities and Exchange Commission issued this announcement regarding its settlement with two advertising executives who launched a campaign to buy a beer company through a solicitation of investors on Facebook and Twitter without...

Section 25501.5 - "A Riddle, Wrapped In A Mystery, Inside An Enigma"

Last December, I wrote this post about Corporations Code § 25501.5 that asked "What do it mean?". In general, the statute authorizes an action for rescission (or damages, if the security is no longer owned) by any person “who purchases a security...