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Monday, 12/09/2013 2:15:38 PM

Monday, December 09, 2013 2:15:38 PM

Post# of 6440
An 8-K has been filed today regarding an informal inquiry by the Securities and Exchange Commission.

The complete 8-K filing is here:

http://www.otcmarkets.com/edgar/GetFilingHtml?FilingID=9651212

The PDF copy of a letter received from the Division of Enforcement is here:

http://www.otcmarkets.com/edgar/GetFilingPdf?FilingID=9651212

A press release has been scheduled for publication tomorrow morning.

This is a "confidential and non-public" inquiry and there was no obligation for us to disclose it.

I have disclosed the existence of this inquiry anyway because in my opinion this is a very positive sign that the SEC is willing and able to investigate, in a reasonable and efficient manner, public offerings of unregistered securities under the new JOBS Act Rules.

In the future it is very likely that many startups and founders will be contacted by the SEC Division of Enforcement in this way. It is instructive and informative to see the process in advance so that everyone knows what to expect from regulators going forward.