Growth Capitalist (https://growthcapitalist.com/category/premium-articles/legal/page/12/)
Legal developments affecting capital formation by pre-IPO private and public emerging growth companies
Jammin Java (JAMN), a coffee company associated with the family of the late reggae singer Bob Marley, was charged with fraud by the Securities and Exchange Commission for a pump-and-dump scheme that allegedly generated $78 million in illegal profits.
The proposal by the SEC would increase the amount of capital that emerging growth companies could raise in unregistered securities offerings under Rule 504.
New York lawyer Darren Ofsink, who is known for helping emerging growth companies go public through reverse mergers, was arrested Wednesday morning on charges of conspiracy to commit securities fraud for his role in the manipulation of CodeSmart Holdings shares.
A bill meant to make the Securities and Exchange Commission more responsive to the needs of small companies has been introduced in Congress by a bipartisan group of legislators.
The Small Business Advocate Act of 2015 was introduced Oct. 21 by Reps. John Carney (D-Del.), Ander Crenshaw (R-Fla.), Sean Duffy (R-Wis.), and Mike Quigley (D-Ill.).
