GATE Global Impact Petitions for Change to Anti-Fraud Rule
Last month, GATE Global Impact Inc., filed a rulemaking petition asking the Securities and Exchange Commission (“SEC”) to amend Rule 15c2-11 under the Securities Exchange Act of 1934. The New York-based electronic marketplace says the decades-old rule against microcap fraud must be changed to account for what it believes to be an unintentional consequence of the JOBS Act. Per its petition, GATE predicted that SEC adoption of the JOBS Act’s “Regulation A+” capital formation rules would increase the number of securities bound by Rule 15c2-11. Without making changes to the “piggyback” exception to Rule 15c2-11, GATE insisted that the rise. Read More.