17 C.F.R. § 270.17a-5 Pro rata distribution neither “sale” nor “purchase.”
Title 17 - Commodity and Securities Exchanges
When a company makes a pro rata distribution in cash or in kind among its common stockholders without giving any election to any stockholder as to the specific assets which such stockholders shall receive, such distribution shall not be deemed to involve a sale to or a purchase from such distributing company as those terms are used in section 17(a) of the Act. [20 FR 7447, Oct. 6, 1955]
Title 17: Commodity and Securities Exchanges
PART 270—RULES AND REGULATIONS, INVESTMENT COMPANY ACT OF 1940
§ 270.17a-5 Pro rata distribution neither “sale” nor “purchase.”