§ 8-1-2-79 — Securities; issuance; approval; fraud; offense

Indiana § 8-1-2-79

• Jurisdiction: Indiana
• Art. 1: UTILITIES GENERALLY
• Ch. 2: Utility Regulation

Text

(a) Whenever a public utility desires to issue
bonds, notes, or other evidences of indebtedness, payable more than
one (1) year from the execution thereof, or preferred or common stock,
it shall file with the commission a petition verified by its president or
vice-president, and secretary or assistant secretary, or by two (2) of its
incorporators, if it has no such officers, setting forth:
(1) the principal amount of bonds, notes, or other evidences of
indebtedness, and the par value or number of shares of preferred
and common stock;
(2) the minimum price for which said securities are to be disposed
of or sold;
(3) the purposes for which said securities are to be disposed of or
sold;
(4) the description, cost, or value of any property acquired or to
be acquired from the proceeds of the disposal or sale of said
securities;
(5) a balance sheet and income account; and
(6) all other information that may be relevant or that may be
required by the commission.
For the purpose of enabling it to determine whether the proposed issue
is in the public interest, in accordance with laws touching the issuance
of securities by public utilities, and reasonably necessary in the
operation and management of the business of the utility in order that
the utility may provide adequate service and facilities, the commission
also may consider the total outstanding capitalization of the utility,
including the proposed issue, in relation to the total value of or
investment in the property of the utility, including the property to be
acquired by the proposed issue, as shown by the balance sheet,
accounts, or reports of the utility, the records of the commission, or
other evidence, and the character and proportionate amount of each
kind of security, including the proposed issue, and the unamortized
discount suffered by the utility in the sale of the outstanding securities.
The commission shall make such further inquiry or investigation, hold
such hearing or hearings, and examine such witnesses, books, papers,
documents, or contracts as it may deem of importance in enabling it to
reach a decision.
(b) An owner, officer, or agent of any public utility who knowingly
violates this section, or knowingly makes any material
misrepresentation or misstatements in connection with this section,
commits a Level 6 felony.
Formerly: Acts 1913, c.76, s.91; Acts 1933, c.190, s.8. As
amended by Acts 1978, P.L.2, SEC.801; P.L.158-2013,
SEC.130.