Regulation A provides an exemption for issuers of securities under the Securities Act of 1933. In reliance on Regulation A, Issuer has offered $45 million of securities for sale during the current calendar year. Which of the following does not violate federal securities laws and regulations?

A. Issuer, who was sanctioned for an offense involving a transaction in securities, claims the exemption.
B. A nonaccredited investor with annual income of $500,000 purchases $50,000 worth of the offering.
C. The issuer tests the waters using written advertisements and orally communicates with buyers before the advertisements are received by the SEC.
D. Current events filings are not made.

Answer: B. A nonaccredited investor with annual income of $500,000 purchases $50,000 worth of the offering.