HAR §16-39-313. Offering price

In the case of an issuer which has been actually engaged in business or operation, the amount for which a security is being offered to the public should bear some reasonable relationship to: (1) Market value, if any; (2) Price-earnings ratio, as reflected by its financial statements covering an average three-year preceding period, or the shorter duration of experience or operation as may be applied; or (3) In the absence of an established or determinable market value or price-earnings ratio, the book value of the issuer may be taken into consideration in justifying or substantiating the reasonableness of the offering price. [Eff 6/30/08; comp 11/18/23] (Auth: HRS §485A-606) (Imp: HRS §§485A-303, 485A-606) §16-39-314 Compliance with Hawaii business registration laws. No application of a Hawaii corporation, partnership, limited liability company, or other business entity for the registration of a §16-39-315 39-31 security shall be accepted if the entity is not current in filing its annual reports as required by this State's business registration laws, and complete records as prescribed by this State's business registration laws shall be maintained at all times. [Eff 6/30/08; comp 11/18/23] (Auth: HRS §485A-606) (Imp: HRS §§485A-303, 485A-304, 485A-606) §16-39-315 NASAA statements of policy for registration of securities. The disclosure-related provisions of certain guidelines or statements of policy adopted by NASAA may be used by the commissioner for purposes of reviewing the adequacy of the disclosures required under this chapter and chapter 485A, HRS. The following "Statements of Policy and Guidelines" of NASAA are hereby adopted and incorporated by reference into this chapter: (1) "Uniform Disclosure Guidelines for Cover Legends" adopted on October 2, 2004, as amended; (2) "NASAA Guidelines Regarding Viatical Investments" adopted on October 1, 2002, as amended; (3) "Statement of Policy Regarding Corporate Securities Definitions" adopted on September 28, 1999, as amended; (4) "Statement of Policy Regarding the Impoundment of Proceeds" adopted on September 28, 1999, as amended; (5) "Statement of Policy Regarding Options and Warrants" adopted on September 28, 1999, as amended; (6) "Statement of Policy Regarding Promotional Securities" adopted on September 28, 1999, as amended; (7) "Statement of Policy Regarding Specificity in Use of Proceeds" adopted on September 28, 1999, as amended; (8) "Statement of Policy Regarding Underwriting Expenses, Underwriter's Warrants, Selling §16-39-315 39-32 Expenses and Selling Securities Holders" adopted on September 28, 1999, as amended; (9) "Statement of Policy Regarding Unsound Financial Condition" adopted on September 28, 1999, as amended; (10) "Statement of Policy Regarding Promoters’ Equity Investment" adopted on April 27, 1997, as amended; and (11) "Statement of Policy Regarding Real Estate Investment Trusts" adopted on May 7, 2007, as amended. [Eff 6/30/08; comp 11/18/23] (Auth: HRS §485A-606) (Imp: HRS §§485A- 303, 485A-606) C. Effectiveness and Post-Effectiveness Requirements