Can B Corp (CANB): If you gift free trading affiliate share...

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Re: GOLDBUFFALO post# 1604

Wednesday, 04/17/2013 8:28:50 AM

Wednesday, April 17, 2013 8:28:50 AM

If you gift free trading affiliate shares then they stay in affiliate status for 3 months. If you gift the shares and then wait 3 months and have the "gifted" person sell and give the proceeds to the former affiliate one would be breaking the law. If you gift over 5% of outstanding the new owner would be deemed an affiliate an fall under the 1% rule.
An affiliate would only be able to gift the same 1% as no more can be unrestricted every 90 day period. If one gifts restricted shares then a new 12 month restriction would be started for the new owner.

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