Securities Act; crowdfunding exemption. (HB1623)

Introduced By

Del. Glenn Davis (R-Virginia Beach) with support from co-patron Del. Joseph Yost (R-Blacksburg)

Progress

Introduced
Passed Committee
Passed House
Passed Senate
Signed by Governor
Became Law

Description

Securities Act; crowdfunding exemption. Creates an exemption from the securities, broker-dealer, and agent registration requirements of the Securities Act for any security issued by a Virginia entity if (i) the offering is conducted in accordance with the federal exemption for intrastate offerings in 3(a)(11) of the Securities Act of 1933 and Securities Exchange Commission Rule 147; (ii) the offer and sale are made only to Virginia residents; (iii) the aggregate price of the securities offered under the exemption does not exceed $2 million or such other amount as the State Corporation Commission (SCC) establishes by rule or order; (iv) the maximum amount that may be invested by a purchaser who is not an accredited investor is $10,000 or such other amount as the SCC establishes by rule or order; (v) compensation is not paid to employees, agents, or other persons for the solicitation or based on the sale of such securities, who are not registered as a broker-dealer or agent except as permitted by the SCC; (vi) neither the issuer nor any related person is subject to disqualification; and (vii) the security is sold in an offering conducted in compliance with conditions established by rule or order of the SCC. The SCC may assess a filing fee not to exceed $500. Amends § 13.1-514, of the Code of Virginia. Read the Bill »

Outcome

Bill Has Failed

History

DateAction
01/08/2015Committee
01/08/2015Prefiled and ordered printed; offered 01/14/15 15102241D
01/08/2015Referred to Committee on Commerce and Labor
01/12/2015Impact statement from SCC (HB1623)
01/20/2015Assigned C & L sub: Subcommittee #2
01/22/2015Subcommittee recommends laying on the table
02/10/2015Left in Commerce and Labor