Fee Rate Advisory #1 For Fiscal Year 2015

SEC Press Release

The Securities and Exchange Commission today announced that in fiscal year 2015 the fees that public companies and other issuers pay to register their securities with the Commission will be set at $116.20 per million dollars.

The securities laws require the Commission to make annual adjustments to the rates for fees paid under Section 6(b) of the Securities Act of 1933 and Sections 13(e) and 14(g) of the Securities Exchange Act of 1934. The Commission must set rates for the fees paid under Section 6(b) to levels that the Commission projects will generate collections equal to annual statutory target amounts. The Commission’s projections are calculated using a methodology developed in consultation with the Congressional Budget Office and the Office of Management and Budget. The statutory target amount for fiscal year 2015 is $515 million. The annual adjustment to the fee rate under Section 6(b) also sets the annual adjustment to the fee rates under Sections 13(e) and 14(g).

For full access to the press release, please click here.

By : Securex /September 23, 2014 /Compliance, CORRESP, SEC News and Public Statement, Securites Law /0 Comment Read More

SEC Provides New C&DI on Verifying Accredited Investor Status

Publisher: Akin Gump
Authors: Alice Hsu & Jeremy Smith 

In the early weeks of July, The SEC Division of Corporation Finance issued several new interpretations relating to the verification of “accredited investor” status for securities offerings pursuant to Rule 506c.

Adopted as part of the JOBS Act, Rule 506 permits the use of general solicitation in securities offerings, provided that all participating investors are “accredited investors” as defined in Rule 501 and the issuer takes “reasonable steps” to verify such status. The new C&DI offer guidance in determining and verifying “accredited investor” status, which is dependent on a person’s income and net worth.

The first two C&DIs clarify that (i) if a purchaser’s annual income is not reported in U.S. dollars, the issuer may use either the exchange rate in effect on the last day of the year for which income is being determined or the average exchange rate for such year and (ii) assets held jointly with another person who is not the purchaser’s spouse may be included in the calculation of net worth to only the extent of the purchaser’s percentage ownership in such assets.

For access to the  remainder of the C&Dis and the article, please click here.

By : Securex /July 28, 2014 /Compliance, CORRESP, General EDGAR filing, SEC News and Public Statement, Securites Law /0 Comment Read More

SEC Issues Important XBRL Alert Regarding use of Custom Tags

The SEC’s Division of Economic and Risk Analysis completed their assessment of the quality of XBRL exhibits submitted by issuers complying with the XBRL Rule requirement.

The goal of the assessment was to help define a baseline of filer behavior in regards to filer’s tagging of financial statements in their electronic filings. This observation report details the use of custom tags to describe elements in financial statements.

The assessment noted that there was a steady decline in custom tag use by large accelerated filers during the initial phase-in period and afterwards. This observation was consistent with improvements to the taxonomy during this period. However, on the opposite side of the spectrum, SEC staff did not see this same trend among smaller filers. The report makes the assertion that continued high custom tag rate use among small filers is due to continued development and growth in the market for filer software and services, each varying in levels of functionality and ease of use.

One of the more compelling points in this observation report was the observation of smaller filers using obvious selection error and unjustified use of custom tags instead of selecting an available standard tag. This has a negative effect on the quality of XBRL filings as well as the value of XBRL tagging in the context of financial reporting and meeting compliance requirements.

For full access to the observation report, please click here.

By : Securex /July 21, 2014 /Compliance, CORRESP, EDGAR XBRL, SEC News and Public Statement, Securites Law, XBRL Blogs /0 Comment Read More

SEC Approves Regulatory Relief for Hurricane Sandy Victims

Today, the SEC approved further regulatory relief and assistance for Hurricane Sandy Victims by issuing an order providing regulatory relief to publicly traded companies, investment companies, accountants, transfer agents and others affected by Hurricane Sandy.

We have discussed the relief measures with SEC and have been advised that companies seeking relief should follow the standard filing date adjustment procedures outlined in Rule 13(b) of Regulation S-T and submit a written request via EDGAR on Form Type CORRESP.

The procedures for requesting date adjustments are explained in the following link:

The SEC release is available at:

By : Securex /November 14, 2012 /Compliance, CORRESP, General EDGAR filing, SEC EDGAR Filing Deadlines, SEC Forms, SEC News and Public Statement /0 Comment Read More

Draft Registration Statements Required to Be Submitted and Filed Using EDGAR Beginning October 15, 2012

Beginning October 15th, 2012, the SEC will require certain Emerging Growth Companies and foreign private issuers to submit draft registration statements for non-public review via the EDGAR system.

The new requirement includes draft registration statements, amendments as well as all correspondence.

Details are available in Release 12.2 of the revised EDGAR Filer Manual.

Companies that have already submitted a draft registration statement using the secure email system should comply with the instructions previously provided to them by letter about how to transition to the EDGAR system.

By : Securex /October 11, 2012 /CORRESP, foreign private issuers, General EDGAR filing, Registration Statements, SEC Forms, SEC News and Public Statement /0 Comment Read More