§ 17-4-604 — Administrative enforcement

Wyoming § 17-4-604

• Jurisdiction: Wyoming
• Title 17: Corporations, Partnerships and Associations
• Ch. 4: SECURITIES
• Art. 6: ADMINISTRATION AND JUDICIAL REVIEW

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(a) If the secretary of state determines that a person has
engaged, is engaging or is about to engage in an act, practice,
or course of business constituting a violation of this act or a
rule adopted or order issued under this act or that a person has
materially aided, is materially aiding, or is about to
materially aid an act, practice, or course of business
constituting a violation of this act or a rule adopted or order
issued under this act, the secretary of state may:
(i) Issue an order directing the person to cease and
desist from engaging in the act, practice, or course of business
or to take other action necessary or appropriate to comply with
this act;
(ii) Issue an order denying, suspending, revoking, or
conditioning the exemptions for a broker-dealer under W.S.
17-4-401(b)(i)(D) or (F) or an investment adviser under W.S.
17-4-403(b)(i)(C); or
(iii) Issue an order under W.S. 17-4-205.
(b) An order under subsection (a) of this section is
effective on the date of issuance. Upon issuance of the order,
the secretary of state shall promptly serve each person subject
to the order with a copy of the order and a notice that the
order has been entered. The order must include a statement
whether the secretary of state will seek a civil penalty or
costs of the investigation, a statement of the reasons for the
order, and notice that, within fifteen (15) days after receipt
of a request in a record from the person, the matter will be
scheduled for a hearing. If a person subject to the order does
not request a hearing and none is ordered by the secretary of
state within thirty (30) days after the date of service of the
order, the order, which may include a civil penalty or costs of
the investigation if a civil penalty or costs were sought in the
statement accompanying the order, becomes final as to that
person by operation of law. If a hearing is requested or
ordered, the secretary of state, after notice of and opportunity
for hearing to each person subject to the order, may modify or
vacate the order or extend it until final determination.
(c) If a hearing is requested or ordered pursuant to
subsection (b) of this section, a hearing must be held pursuant
to the Wyoming Administrative Procedure Act. A final order may
not be issued unless the secretary of state makes findings of
fact and conclusions of law in a record in accordance with the
Wyoming Administrative Procedure Act. The final order may make
final, vacate, or modify the order issued under subsection (a)
of this section.
(d) In a final order under subsection (c) of this section,
the secretary of state may impose a civil penalty up to five
thousand dollars ($5,000.00) for a single violation or up to
fifty thousand dollars ($50,000.00) for more than one (1)
violation.
(e) In a final order, the secretary of state may charge
the actual cost of an investigation or proceeding for a
violation of this act or a rule adopted or order issued under
this act.
(f) If a petition for judicial review of a final order is
not filed in accordance with W.S. 17-4-609, the secretary of
state may file a certified copy of the final order with the
clerk of a court of competent jurisdiction. The order so filed
has the same effect as a judgment of the court and may be
recorded, enforced, or satisfied in the same manner as a
judgment of the court.
(g) If a person does not comply with an order under this
section, the secretary of state may petition a court of
competent jurisdiction to enforce the order. The court may not
require the secretary of state to post a bond in an action or
proceeding under this section. If the court finds, after service
and opportunity for hearing, that the person was not in
compliance with the order, the court may adjudge the person in
civil contempt of the order. The court may impose a further
civil penalty against the person for contempt in an amount not
less than five thousand dollars ($5,000.00) but not greater than
fifty thousand dollars ($50,000.00) for each violation and may
grant any other relief the court determines is just and proper
in the circumstances.