Email to SRX7 from Paul Henry
According to our SEC counsel, we had to make the release, because if the news leaked out, the company would have faced potentially substantial legal and regulatory exposure. As to its contents, we tried to say more, but our counsel and the counsel for the investment bank insisted that they rewrite it to conform with SEC regulations, which allow us to say very little. We were advised further that if we were to run afoul of the regs (including saying too much in the release), the SEC could delay our receiving the funds for six months to a year or more, a risk we could not afford to take.
In sum, we had no choice except to release exactly what we released, no more, no less.
Also, I would add that, in the company's view, this financing should prove a real boon to the company and its shareholders.
We will release more details as soon as we are advised that we are legally able to do so.
Regards,
Paul Henry |
