Chapter XIX: Section 9: gives the requisites of the statement required to be filed

with the Secretary of State before securities of Class "D" may be sold. Such statement is even more complete than that required in Section 7.

SALES AND CONTRACTS VOID.--Every sale or contract in violation of the act is void, and the fines vary from not less than $100 to not more than $25,000, and the imprisonment from six months to five years. Although there is great need for a Federal incorporation act there is even greater need for a Federal blue sky law. With different acts in the different States, the Illinois act being simply an example, even the most careful business man may unwittingly find himself in a position where he has violated one of these laws with their severe penalties.