Kibbmann & Co., an investment banking firm, acted as the underwriter for Vartarian Corporation’s public issuance of common shares. Kibbmann prepared the 1933 Act registration statement that was filed with the SEC and the prospectus that investors received. Kibbmann also accompanied Vartarian’s CEO and CFO to road shows where Kibbmann spoke with mutual funds and other institutional investors interested in purchasing Vartarian’s stock. Kibbmann’s compensation for assisting Vartarian was a 25-cent spread on each share sold. Due to its negligent investigation of Vartarian’s business, Kibbmann made material misstatements of fact in the registration statement and prospectus and during the road show. Did Kibbmann have liability to purchasers of the shares who attended the road show under Section 12(a)(2) of the 1933 Act, Rule 10b–5 of the 1934 Act, and the common law of negligent misrepresentation? Did Kibbman have liability to purchasers of the shares under Section 11 of the 1933 Act?