Due Diligence

Blog articles and articles written for various other publications written by Coral Capital Partners on the topic of due diligence. In our blog on due diligence we look at lessons learned from various projects and clients, as well as enforcement actions taken by the SEC and how obtaining basic due diligence on a company could have averted many problems. With the recent regulatory changes proper due diligence has taken on greater importance than ever.

A Look at the Penalties for Broker/Dealer Failure to Obtain Due Diligence Under FINRA 10-22

FINRA Regulatory Notice 10-22 requires broker/dealers to conduct or obtain reasonable due diligence on companies whose securities they sell in private placement transactions through the Regulation D exemption. Coral Capital Partners looks at the penalties FINRA recently imposed upon broker/dealers and registered individuals for their failure to conduct reasonable due diligence in accordance with FINRA Regulatory Notice 10-22 on companies for which they are raising funds through a private placement offering.

Micro-Cap Review Article – Performing Due Diligence on a Micro-Cap Oil & Gas Company

This is a reprint of the article “Performing Due Diligence on a Micro-Cap Oil & Gas Company” written by Erik Nelson, President of Coral Capital Partners, Inc. that was published in the Fall, 2011 edition of Micro-Cap Review Magazine. It takes a look at some of the essential items to consider when evaluating a micro-cap oil and gas company as a potential investment. It is an excellent primer on understanding the various terms and their definitions when looking at a potential oil and gas investment. This is the 2nd article authored by Erik Nelson to be published in Micro-Cap Review Magazine, and the 1st through Coral Capital Partners.

FINRA’s Sanction of Broker/Dealers for Lack of Conducting Reasonable Due Diligence

FINRA recently issued Regulatory Notice 10-22 which requires broker/dealers to conduct or obtain reasonable due diligence on companies whose securities they sell in private placements through the Regulation D exemption. Coral Capital Partners looks at recent FINRA sanctions of broker/dealers, and their personnel for failure to conduct a reasonable due diligence review of companies for which they raised funds for through private placement sales under Regulation D.