ALL !!! HYPE, GLORIOUS HYPE!!!
COME ONE , COME ALL!!
SEE WHAT THE BASHER'S HAVE SUNKEN TOO!
HYPE! , HYPE! & MORE HYPE!!! Ha!!
"Was just thinking of an amusing idea. Let's say you're a company
insider, and you'd like to be RICH. Well, you know what they say: takes
money to make money.
So you cut yourself a Reg D, Rule 504 deal. You sell yourself--as a
trust, a relative, whatever--some stock. You pay a million bucks for it:
Rule 504 of Regulation D allows companies to raise up to $1
million per year in "seed capital" without complying with the
registration requirements of the Securities Act. In 1992, the
Commission amended Rule 504 to eliminate the federal
limitations on these offerings other than the general antifraud
provisions and the requirement to file a notice with the
Commission 15 days after the first sale. The review of these
offerings have therefore been delegated to the state securities
administrators who for the most part require registration of such
offerings.
Now. You give yourself a REALLY BIG discount. Say you sell that million
bucks' worth of stock to yourself at, oh, $0.01 a share. Or less, if you
like. Who's gonna stop you?
You'll end up with quite a large position, won't you? Which you can
eventually sell at market value... -----------"
So grand!!
RB |
