§ 51-23-07 — Fraudulent conduct

No person may, directly or indirectly:

1. Cheat or defraud, or attempt to cheat or defraud, any other person or employ any
device, scheme, or artifice to defraud any other person;
2. Make any false report, enter any false record, or make any untrue statement of a
material fact or omit to state a material fact necessary in order to make the statements
made, in the light of the circumstances under which they were made, not misleading;
3. Engage in any transaction, act, practice, or course of business, including, without
limitation, any form of advertising or solicitation, which operates or would operate as a
fraud or deceit upon any person; or
4. Misappropriate or convert the funds, security, or property of any other person;
in or in connection with the purchase or sale of, the offer to sell, the offer to purchase, the offer
to enter into, or the entry into of, any commodity contract or commodity option subject to the
provisions of section 51-23-03 or 51-23-04, or subdivision b or d of subsection 1 of section
51-23-05. No action may be brought under this section by the commissioner after six years from
the date of the alleged violation.