- Oct 3, 2007
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That is not entirely correct. You are thinking of certain SEC mandated disclosures. But here it looks like they are participating in the sale of what potentially could be called a security. Anybody selling a "security" has to comply with Federal regulations promulagated by the SEC, regardless if they are public or private entities.its a private company as far as I can tell. I dont think that private comanies have to comply with securities laws. those are for the corporations who are listed in the stock exchanges no???
There are certain offerings that are exempt from certain SEC requirements, but whenever you are selling a security, the SEC is involved.from what I understand, depending on the number of offerings, and whether the offering is private or public is what determines whether the SEC is involved.
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