The proposed bill, titled the "Invest Arkansas Exemption Act," aims to amend the Arkansas Securities Act by clarifying the conditions under which certain transactions are exempt from regulation. Key changes include the adjustment of the monetary limit for securities sales from one million dollars to ten million dollars, and the increase in the maximum amount that can be accepted from a single purchaser from five thousand dollars to one hundred thousand dollars, unless the purchaser is an accredited investor. Additionally, the bill introduces new requirements for issuers, such as filing a proof of exemption with the commissioner at least ten days before selling securities and ensuring that all funds received from investors are deposited in a designated bank.

The bill also specifies that the exemption cannot be used in conjunction with other exemptions, except for those related to institutional investors and sales to controlling persons of the issuer. Furthermore, it establishes that the exemption will not be available if the issuer is disqualified under certain federal regulations or if it does not comply with antifraud provisions. Overall, the amendments are designed to facilitate investment opportunities while maintaining regulatory oversight to protect investors.

Statutes affected:
SB 220: 23-42-504(a)
Act 236: 23-42-504(a)