§ 23-19-5-2 — Unlawful practices; investment advisers and investment adviser representatives; investment advisory contract

Indiana § 23-19-5-2

• Jurisdiction: Indiana
• Title 23: BUSINESS AND OTHER ASSOCIATIONS
• Art. 19: INDIANA UNIFORM SECURITIES ACT
• Ch. 5: Fraud and Liabilities

Text

(a) It is unlawful for a person that advises
others for compensation, either directly or indirectly or through
publications or writings, as to the value of securities or the advisability
of investing in, purchasing, or selling securities or that, for
compensation and as part of a regular business, issues or promulgates
analyses or reports relating to securities, or that receives compensation
to solicit, offer, or negotiate for the sale of or for selling investment
advice:
(1) to employ a device, scheme, or artifice to defraud another
person; or
(2) to engage in an act, practice, or course of business that
operates or would operate as a fraud or deceit upon another
person.
(b) A rule adopted under this article may define an act, practice, or
course of business of an investment adviser or an investment adviser
representative, other than a supervised person of a federal covered
investment adviser, as fraudulent, deceptive, or manipulative, and
prescribe means reasonably designed to prevent investment advisers
and investment adviser representatives, other than supervised persons
of a federal covered investment adviser, from engaging in acts,
practices, and courses of business defined as fraudulent, deceptive, or
manipulative.
(c) A rule adopted under this article may specify the contents of an
investment advisory contract entered into, extended, or renewed by an
investment adviser.

Legislative History

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