Porter, Inc., sells 200,000 newly issued shares to two institutions without registering the shares with its country's securities regulators. This transaction is best described as being:

illegal

Explanation:

At least in the US and I believe that in the rest of the world it should be similar, the Securities and Exchange Commission (SEC) requires that every time that new issues are issues, the process must be registered with the SEC. Publicly traded corporations have to follow strict regulations and one of them is notifying changes in outstanding stocks.  

answer(d) encourage cooperation by improving the chances of mutually agreeable transactions;