HB3791 Summary

• Amends the Illinois Securities Law of 1953 to expand the definition of "qualified escrowee" to include registered broker-dealers and law firms authorized to do business in Illinois with at least one physical business location in the state.

• Adds new subsection T to Section 4 establishing an intrastate securities offering exemption for Illinois-organized issuers in good standing, limited to $1,000,000 per 12-month period ($4,000,000 if audited financial statements are provided).

• Requires offerings under the new exemption to be made solely to Illinois residents through registered Internet portals, with aggregate individual investor limits of $5,000 per 12-month period (excluding accredited investors and certain qualified purchasers).

• Creates Section 8d establishing requirements for registered Internet portals, including that they must be broker-dealers, funding portals, or dealers registered under Illinois law, or qualify for exemption from registration by meeting specified conditions.

• Allows registered Internet portals to accept equity or securities as compensation for offering services, provided distribution rights are equal to or junior to the rights of securities being offered.