Washington, D.C. - U.S. Senators Jerry Moran (R-Kan.) and Mark Warner (D-Va.) have reached out to Securities and Exchange Commission (SEC) Chairman Mary Jo White with concerns about rulemaking related to the implementation of the Jumpstart Our Business Startups (JOBS) Act, legislation passed by Congress and signed into law in early 2012. Sens. Moran and Warner believe the rules originally meant to help American businesses and startups access more capital so they can grow and create jobs may instead be overly burdensome and penalize investors and startups.
Their letter to the Chairman reads:
“As the Commission implements the final rules and considers the proposed rules, we encourage the Commission to keep in mind the bipartisan intent of Congress to enhance capital access for entrepreneurs. We are hearing from angel investors and startups that certain aspects of these rules may actually reduce funding for job-creating small businesses and increase red tape for all involved…We urge the Commission to adopt straightforward rules to verify accredited investor status and to streamline reporting requirements for issuers and investors in order to achieve the purpose of the JOBS Act.”
Click here to read Sens. Moran and Warner’s specific concerns regarding:
- Release 33-9416, Eliminating the Prohibition Against General Solicitation and General Advertising in Rule 506 and 144A Offerings
- Proposed Release 33-9416, Amendments to Regulation D, Form D and Rule 156 Under the Securities Act
- Moran-Warner SEC Letter September 2013 - (618.3 KBs)