§ 17-4-501 — General fraud

(a) It is unlawful for a person, in connection with the
offer, sale, or purchase of a security, directly or indirectly:
(i) To employ a device, scheme, or artifice to
defraud;
(ii) To make an untrue statement of a material fact
or to omit to state a material fact necessary in order to make
the statements made, in light of the circumstances under which
they were made, not misleading; or
(iii) To engage in an act, practice, or course of
business that operates or would operate as a fraud or deceit
upon another person.