Securities and Exchange Commission: Eliminating the Prohibition Against General Solicitation and General Advertising in Rule 506 and Rule 144A Offerings
GAO-13-818R: Aug 8, 2013
- Full Report:
GAO reviewed the Securities and Exchange Commission's (Commission) new rule on eliminating the prohibition against general solicitation and general advertising in Rule 506 and Rule 144A offerings. GAO found that (1) the rule implements section 201(a) of the Jumpstart Our Business Startups Act (JOBS Act) by amending the Commission's Rule 506 of Regulation D and Rule 114A under the Securities Act of 1993; and (2) the Commission complied with applicable requirements in promulgating the rule.