- (a) The offering shall be accompanied by a disclosure document in the form and containing the information required by the Offering Circular provisions of the Statement of Policy Regarding Church Bonds of the North American Securities Administrators Association, adopted April 14, 2002. In addition, a Cross Reference Sheet, which is substantially equivalent to the form that accompanies the Statement of Policy Regarding Church Bonds adopted April 14, 2002 and the proposed disclosure document shall be attached as an exhibit to the application.
- (b) If purchasers are given the opportunity to make payment by means of borrowing or installment payments, these payment methods shall be clearly described in the disclosure documents, and all expenses and charges, including those on account of interest or loss of interest, if any, shall be disclosed.
- (c) Terms such as “lay-away-plan,” “safe investment,” and “revenue bonds” shall not be approved. Unsecured promissory notes may not be described as “bonds.”
Note: Authority cited: 25610, Corporations Code. Reference: Section 25140, Corporations Code.
History
1. New section filed 2-8-89, operative 3-10-89 (Register 89, No. 8).
2. Amendment of subsection (a) filed 4-1-2005; operative 5-1-2005 (Register 2005, No. 13).