insider info

[brian.dale]

A small public company needs to raise cash through private individuals. They sell stock at a slightly discounted rate or warrants. To generate interest, they tell about future, undisclosed information or upcoming deals that may influence the stock price. Is this illegal?
Thanks.

 

[lawrat]

I am a law school graduate. What I offer is mere information, not to be construed as forming an attorney client relationship.

Watered stocks are common though not a good thing. Insider information is what they just did though and that is illegal according to the SEC! They don't take this stuff lightly --