§ 23-19-4-2 — Agent registration; exemptions; restrictions on employment or association; restrictions if no affiliation

Indiana § 23-19-4-2

• Jurisdiction: Indiana
• Title 23: BUSINESS AND OTHER ASSOCIATIONS
• Art. 19: INDIANA UNIFORM SECURITIES ACT
• Ch. 4: Broker-Dealers, Agents, Investment Advisers,

Text

(a) It is unlawful for an individual to transact
business in this state as an agent unless the individual is registered
under this article as an agent or is exempt from registration as an agent
under subsection (b).
(b) The following individuals are exempt from the registration
requirement of subsection (a):
(1) An individual who represents a broker-dealer in effecting
transactions in this state limited to those described in Section
15(h)(2) of the Securities Exchange Act of 1934 (15 U.S.C.
78o(h)(2)).
(2) An individual who represents a broker-dealer that is exempt
under section 1(b) or 1(d) of this chapter.
(3) An individual who represents an issuer with respect to an offer
or sale of the issuer's own securities or those of the issuer's parent
or any of the issuer's subsidiaries, and who is not compensated in
connection with the individual's participation by the payment of
commissions or other remuneration based, directly or indirectly,
on transactions in those securities.
(4) An individual who represents an issuer and who effects
transactions in the issuer's securities exempted by IC 23-19-2-2,
other than IC 23-19-2-2(11) and IC 23-19-2-2(14).
(5) An individual who represents an issuer that effects
transactions solely in federal covered securities of the issuer, but
an individual who effects transactions in a federal covered
security under Section 18(b)(3) or 18(b)(4)(D) of the Securities
Act of 1933 (15 U.S.C. 77r(b)(3) or 77r(b)(4)(D)) is not exempt
if the individual is compensated in connection with the agent's
participation by the payment of commissions or other
remuneration based, directly or indirectly, on transactions in those
securities.
(6) An individual who represents a broker-dealer registered in this
state under section 1(a) of this chapter or exempt from registration
under section 1(b) of this chapter in the offer and sale of
securities for an account of a nonaffiliated federal covered
investment adviser with investments under management in excess
of one hundred million dollars ($100,000,000) acting for the
account of others under discretionary authority in a signed record.
(7) An individual who represents an issuer in connection with the
purchase of the issuer's own securities.
(8) An individual who represents an issuer and who restricts
participation to performing clerical or ministerial acts.
(9) Any other individual exempted by rule adopted or order issued
under this article.
(c) The registration of an agent is effective only while the agent is
employed by or associated with a broker-dealer registered under this
article or an issuer that is offering, selling, or purchasing its securities
in this state.
(d) It is unlawful for a broker-dealer, or an issuer engaged in
offering, selling, or purchasing securities in this state, to employ or
associate with an agent who transacts business in this state on behalf
of broker-dealers or issuers unless the agent is registered under
subsection (a) or exempt from registration under subsection (b).
(e) An individual may not act as an agent for more than one (1)
broker-dealer or one (1) issuer at a time, unless the broker-dealer or the
issuer for which the agent acts are affiliated by direct or indirect
common control or are authorized by rule or order under this article.

Legislative History

As added by P.L.27-2007, SEC.23.