06.16.2016

Court of Appeals Affirms SEC’s Reg A+, Rejecting States’ Arguments

06.16.2016

(This article first appeared on Think Advisor)

The U.S. Court of Appeals for the D.C. Circuit on Tuesday shot down attempts by Massachusetts and Montana securities regulators to nullify the Securities and Exchange Commission’s capital raising rule, Regulation A+.

The petitioners, William Galvin and Monica Lindeen, the chief securities regulators for Massachusetts and Montana, respectively, argued that because the SEC “declined to adopt a qualified-purchaser definition limited to investors with sufficient wealth, revenue or financial sophistication to protect their interests without state protection, Regulation A-Plus fails both parts of the United States Supreme Court’s statutory construction standards enunciated in Chevron, U.S.A., Inc. v. Natural Resources Defense Council, Inc., 467 U.S. 837, 842–43 (1984).”

 

Related articles

  1. SEC staff have been asked prepare new rule proposals for retail stock order handling and execution.

  2. The first amendments to the CFTC's swap data reporting rules come into effect on December 5.

  3. Trading Europe From ‘Across the Pond’

    EFAMA said a real-time tape for equities with the inclusion of pre and post-trade data is needed.

  4. Regulators will likely separate custody from other crypto exchange activities.

  5. Basel Committee Consults on Interest-Rate Risk

    Final LIBOR publication would be end-September 2024.