§ 23-2-6-20 — Waiver of requirements; qualified sellers; limitation on authority to engage in business

(a) The commissioner may unconditionally or
conditionally waive any of the requirements under section 19(c) of this
chapter that a person must otherwise satisfy to be considered a
qualified seller.
(b) The commissioner may by order deny, suspend, revoke, or limit
a person's authority to engage in business as a qualified seller under
section 19 of this chapter if the commissioner determines that:
(1) the order is in the public interest; and
(2) the person, the person's officers, directors, partners, agents,
servants, or employees, any person occupying a similar status or
performing similar functions, any person who directly or
indirectly controls or is controlled by the person or other person
listed in this subdivision, or the person's affiliates or subsidiaries
meet any of the following conditions:
(A) Has filed a notice of intention under section 19(c) of this
chapter that:
(i) is incomplete in any material respect; or
(ii) contains a statement that, under the circumstances in
which the statement was made, is false or misleading with
respect to a material fact.
(B) Has during the preceding ten (10) years:
(i) pled guilty or nolo contendere to a crime; or
(ii) been convicted of a crime;
indicating a lack of fitness to engage in the investment
commodity business.
(C) Has been permanently enjoined or temporarily enjoined by
a court from engaging in or continuing any conduct or practice
that indicates a lack of fitness to engage in the investment
commodities business.
(D) Is the subject of an order of the commissioner denying,
suspending, or revoking the person's license as:
(i) a securities broker-dealer;
(ii) a sales representative; or
(iii) an investment adviser.
(E) Is the subject of any of the following orders that are in
effect and that were issued during the preceding five (5) years.
(i) An order by the commissioner, by a securities agency or
the securities administrator of any other state, Canadian
province, or territory, by the Securities and Exchange
Commission, or by the Commodity Futures Trading
Commission, that was entered after notice and opportunity for
hearing and that denied, suspended, or revoked the person's
registration as a futures commission merchant, commodity
trading adviser, commodity pool operator, securities
broker-dealer, sales representative, investment adviser, or any
substantially similar occupation.
(ii) An order suspending or expelling the person from
membership in or association with a self-regulatory
organization registered under the Securities Exchange Act of
1934 or the Commodity Exchange Act.
(iii) A United States postal service fraud order.
(iv) A cease and desist order entered after notice and
opportunity for hearing by a person described in item (i).
(v) An order entered by the Commodity Futures Trading
Commission denying, suspending, or revoking registration
under the Commodity Exchange Act.
(F) Has engaged in an unethical or dishonest act or practice in
the investment commodities or securities business.
(G) Has failed to reasonably supervise sales representatives or
employees.

Legislative History

As added by P.L.177-1991, SEC.10.