Indiana § 26-3-7-14.2 Current liability ratio; informal meeting; revocation of license; fines

Indiana Statutes

§ 26-3-7-14.2 — Current liability ratio; informal meeting; revocation of license; fines

Indiana § 26-3-7-14.2

Title 26COMMERCIAL LAW

Art. 3WAREHOUSES

Ch. 7Indiana Grain Buyers and Warehouse Licensing and

This text of Indiana § 26-3-7-14.2 (Current liability ratio; informal meeting; revocation of license; fines) is published on Counsel Stack Legal Research, covering Indiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Ind. Code § 26-3-7-14.2 (2026).

Text

2.

(a)A licensee under this chapter shall maintain a minimum current ratio of one to one (1:1) or better. The current ratio is determined by dividing a licensee's current assets by the licensee's current liabilities, as demonstrated by the licensee's financial statement submitted to the agency, the quotient of which is rounded to the nearest ten-thousandth (0.0001) decimal place.

(b)For purposes of subsection (a), a better ratio includes the absence of a current ratio where the value of a licensee's current liabilities, as demonstrated by the licensee's financial statement submitted to the agency, is zero (0).

(c)The addition by the licensee of an amount required under this section does not itself constitute or effect a cure of a current ratio deficiency.

(d)If the licensee's demonstra

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2. (a) A licensee under this chapter shall
maintain a minimum current ratio of one to one (1:1) or better. The
current ratio is determined by dividing a licensee's current assets by the
licensee's current liabilities, as demonstrated by the licensee's financial
statement submitted to the agency, the quotient of which is rounded to
the nearest ten-thousandth (0.0001) decimal place.
(b) For purposes of subsection (a), a better ratio includes the
absence of a current ratio where the value of a licensee's current
liabilities, as demonstrated by the licensee's financial statement
submitted to the agency, is zero (0).
(c) The addition by the licensee of an amount required under this
section does not itself constitute or effect a cure of a current ratio
deficiency.
(d) If the licensee's demonstrated current ratio is less than the
required amount but greater than eighty-five percent (85%) of the
required amount, then:
(1) the director or the director's designated representative shall
issue a notice of deficiency to the licensee; and
(2) the licensee shall cure the current ratio deficiency within
ninety (90) days from the receipt of the deficiency notice.
(e) If the licensee's demonstrated current ratio is less than or equal
to eighty-five percent (85%) of the required amount or has not cured
the ratio deficiency as required in subsection (d)(2), then the director
shall hold an informal meeting in accordance with this chapter and,
within thirty (30) days of the conclusion of the informal meeting, issue
either:
(1) a consent agreement that requires the licensee to take certain
actions within a set period, not to exceed twelve (12) months, to
remedy the current ratio deficiency, as the director deems
necessary and appropriate; or
(2) an order that revokes the license or licenses of the licensee.
(f) If a licensee, after an informal meeting in subsection (e):
(1) does not meet the requirements in subsection (e)(1), the
director shall revoke; or
(2) has an asset to liability ratio that has continued to decline, the
director may revoke;
the license or licenses of the licensee.
(g) Subject to section 31.8 of this chapter, the director shall assess
a fine of one thousand dollars ($1,000) against a licensee that does not
maintain the minimum ratio requirement under subsection (a).