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Title 17 C.F.R. 230.501(b) provides:
The issue here is whether or not Company B is an affiliate of Company A, rather than a broker-dealer. If an affiliate, then the contemplated transaction is unlawful.
Note: I'm not in a position to determine whether or not B is an affiliate of A. But, that's the issue of concern, because it raises the possibility of securities fraud -- which is what you're trying to avoid.
Hope this helps.
What factors will determine whether or not B is an affiliate of A?
Thanks for your help I gave you the biggest smile possible. What does you mean when you sort of practicing/retired? jpf