SEC

10b5-1 Abuse (not a Christmas post)

I have recently come across this fascinating study looking at insider sales, more specifically with10b5-1 plans. Gaming the system: Three “Red Flags” of Potential 10b5-1 Abuse. These trading plans can be used by executives to sell stock without committing insider trading (the crime). This makes sense because executives need to have a way to sell […]

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SEC Dark Stock Rule – What’s going on?

SNN Network Investors Round Table discussing SEC Rule 15c2-11 (hat tip Maj Soueidan of GeoInvesting, LLC). This rule deals with OTC companies that don’t consistently report sufficient financial information, a group of stocks otherwise known as “dark stocks.” The rule was originally implemented to ensure that information on a specific OTC security, as determined by […]

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SEC Going After CAKE; Will Others Be Next?

On Friday the Securities and Exchange Commission (SEC) announced settled charges for $125,000 against The Cheesecake Factory (CAKE) for making misleading disclosures about the impact of the COVID-19 pandemic on its business operations and financial condition. The action is the SEC’s first charging a public company for misleading investors about the financial effects of the […]

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