17-12a602.Investigations and subpoenas.
(a) Authority to investigate. The administrator
may:
(1) Conduct public or private investigations within or outside
of this state which the administrator considers necessary or
appropriate to determine whether a person has violated, is
violating, or is about to violate this act or a rule adopted or
order issued under this act, or to aid in the enforcement of this
act or in the adoption of rules and forms under this act;
(2) require or permit a person to testify, file a statement,
or produce a record, under oath or otherwise as the administrator
determines, as to all the facts and circumstances concerning a
matter to be investigated or about which an action or proceeding is to be
instituted;
(3) publish a record concerning an action, proceeding, or an
investigation under, or a violation of, this act or a rule adopted
or order issued under this act if the administrator determines it
is necessary or appropriate in the public interest and for the
protection of investors; and
(4) appoint special investigators to aid in investigations
conducted pursuant to this act. Such special investigators shall
have authority to make arrests, serve subpoenas and all other
process, conduct searches and seizures, store evidence, and carry
firearms, concealed or otherwise while investigating violations of
this act and to generally enforce all the criminal laws of the state
as violations of those laws are encountered by such special
investigators. The director of police training at the law
enforcement training center is authorized to offer and carry out a
special course of instruction for special investigators performing
law enforcement duties under authority of this subsection. Such
special investigators shall not carry firearms without having first
successfully completed such special law enforcement training course.
(b) Administrator powers to investigate. For the purpose of
an investigation under this act, the administrator or its designated
officer may administer oaths and affirmations, subpoena witnesses,
seek compulsion of attendance, take evidence, require the filing of
statements, and require the production of any records that the
administrator considers relevant or material to the investigation.
(c) Procedure and remedies for noncompliance. If a person
does not appear or refuses to testify, file a statement, produce
records, or otherwise does not obey a subpoena as required by the
administrator under this act, the administrator may apply to any
court of competent jurisdiction or a court of another state to
enforce compliance. The court may:
(1) Hold the person in contempt;
(2) order the person to appear before the administrator;
(3) order the person to testify about the matter under
investigation or in question;
(4) order the production of records;
(5) grant injunctive relief, including restricting or
prohibiting the offer or sale of securities or the providing of
investment advice;
(6) impose a civil penalty of not greater than $25,000 for each
violation; and
(7) grant any other necessary or appropriate relief.
(d) Application for relief. This section does not preclude a
person from applying to any court of competent jurisdiction or a
court of another state for relief from a request to appear, testify,
file a statement, produce records, or obey a subpoena.
(e) Use immunity procedure. An individual is not excused from
attending, testifying, filing a statement, producing a record or
other evidence, or obeying a subpoena of the administrator under
this act or in an action or proceeding instituted by the administrator under
this act on the ground that the required
testimony, statement, record, or other evidence, directly or
indirectly, may tend to incriminate the individual or subject the
individual to a criminal fine, penalty, or forfeiture. If the
individual refuses to testify, file a statement, or produce a record
or other evidence on the basis of the individual's privilege against
self-incrimination, the administrator may compel the testimony, the
filing of the statement, the production of the record, or the giving
of other evidence. The testimony, record, or other evidence
compelled under such an order may not be used, directly or
indirectly, against the individual in a criminal case, except in a
prosecution for perjury or contempt or otherwise failing to comply
with the order.
(f) Assistance to securities regulator of another jurisdiction.
At the request of the securities regulator of another state or a
foreign jurisdiction, the administrator may provide assistance if
the requesting regulator states that it is conducting an
investigation to determine whether a person has violated, is
violating, or is about to violate a law or rule of the other state
or foreign jurisdiction relating to securities matters that the
requesting regulator administers or enforces. The administrator may
provide the assistance by using the authority to investigate and the
powers conferred by this section as the administrator determines is
necessary or appropriate. The assistance may be provided without
regard to whether the conduct described in the request would also constitute a
violation of this act or other law of this state if
occurring in this state. In deciding whether to provide the
assistance, the administrator may consider whether the requesting
regulator is permitted and has agreed to provide assistance
reciprocally within its state or foreign jurisdiction to the
administrator on securities matters when requested; whether
compliance with the request would violate or prejudice the public
policy of this state; and the availability of resources and
employees of the administrator to carry out the request for
assistance.
17-12a602.Investigations and subpoenas.
(a) Authority to investigate. The administrator
may:
(1) Conduct public or private investigations within or outside
of this state which the administrator considers necessary or
appropriate to determine whether a person has violated, is
violating, or is about to violate this act or a rule adopted or
order issued under this act, or to aid in the enforcement of this
act or in the adoption of rules and forms under this act;
(2) require or permit a person to testify, file a statement,
or produce a record, under oath or otherwise as the administrator
determines, as to all the facts and circumstances concerning a
matter to be investigated or about which an action or proceeding is to be
instituted;
(3) publish a record concerning an action, proceeding, or an
investigation under, or a violation of, this act or a rule adopted
or order issued under this act if the administrator determines it
is necessary or appropriate in the public interest and for the
protection of investors; and
(4) appoint special investigators to aid in investigations
conducted pursuant to this act. Such special investigators shall
have authority to make arrests, serve subpoenas and all other
process, conduct searches and seizures, store evidence, and carry
firearms, concealed or otherwise while investigating violations of
this act and to generally enforce all the criminal laws of the state
as violations of those laws are encountered by such special
investigators. The director of police training at the law
enforcement training center is authorized to offer and carry out a
special course of instruction for special investigators performing
law enforcement duties under authority of this subsection. Such
special investigators shall not carry firearms without having first
successfully completed such special law enforcement training course.
(b) Administrator powers to investigate. For the purpose of
an investigation under this act, the administrator or its designated
officer may administer oaths and affirmations, subpoena witnesses,
seek compulsion of attendance, take evidence, require the filing of
statements, and require the production of any records that the
administrator considers relevant or material to the investigation.
(c) Procedure and remedies for noncompliance. If a person
does not appear or refuses to testify, file a statement, produce
records, or otherwise does not obey a subpoena as required by the
administrator under this act, the administrator may apply to any
court of competent jurisdiction or a court of another state to
enforce compliance. The court may:
(1) Hold the person in contempt;
(2) order the person to appear before the administrator;
(3) order the person to testify about the matter under
investigation or in question;
(4) order the production of records;
(5) grant injunctive relief, including restricting or
prohibiting the offer or sale of securities or the providing of
investment advice;
(6) impose a civil penalty of not greater than $25,000 for each
violation; and
(7) grant any other necessary or appropriate relief.
(d) Application for relief. This section does not preclude a
person from applying to any court of competent jurisdiction or a
court of another state for relief from a request to appear, testify,
file a statement, produce records, or obey a subpoena.
(e) Use immunity procedure. An individual is not excused from
attending, testifying, filing a statement, producing a record or
other evidence, or obeying a subpoena of the administrator under
this act or in an action or proceeding instituted by the administrator under
this act on the ground that the required
testimony, statement, record, or other evidence, directly or
indirectly, may tend to incriminate the individual or subject the
individual to a criminal fine, penalty, or forfeiture. If the
individual refuses to testify, file a statement, or produce a record
or other evidence on the basis of the individual's privilege against
self-incrimination, the administrator may compel the testimony, the
filing of the statement, the production of the record, or the giving
of other evidence. The testimony, record, or other evidence
compelled under such an order may not be used, directly or
indirectly, against the individual in a criminal case, except in a
prosecution for perjury or contempt or otherwise failing to comply
with the order.
(f) Assistance to securities regulator of another jurisdiction.
At the request of the securities regulator of another state or a
foreign jurisdiction, the administrator may provide assistance if
the requesting regulator states that it is conducting an
investigation to determine whether a person has violated, is
violating, or is about to violate a law or rule of the other state
or foreign jurisdiction relating to securities matters that the
requesting regulator administers or enforces. The administrator may
provide the assistance by using the authority to investigate and the
powers conferred by this section as the administrator determines is
necessary or appropriate. The assistance may be provided without
regard to whether the conduct described in the request would also constitute a
violation of this act or other law of this state if
occurring in this state. In deciding whether to provide the
assistance, the administrator may consider whether the requesting
regulator is permitted and has agreed to provide assistance
reciprocally within its state or foreign jurisdiction to the
administrator on securities matters when requested; whether
compliance with the request would violate or prejudice the public
policy of this state; and the availability of resources and
employees of the administrator to carry out the request for
assistance.
17-12a602.Investigations and subpoenas.
(a) Authority to investigate. The administrator
may:
(1) Conduct public or private investigations within or outside
of this state which the administrator considers necessary or
appropriate to determine whether a person has violated, is
violating, or is about to violate this act or a rule adopted or
order issued under this act, or to aid in the enforcement of this
act or in the adoption of rules and forms under this act;
(2) require or permit a person to testify, file a statement,
or produce a record, under oath or otherwise as the administrator
determines, as to all the facts and circumstances concerning a
matter to be investigated or about which an action or proceeding is to be
instituted;
(3) publish a record concerning an action, proceeding, or an
investigation under, or a violation of, this act or a rule adopted
or order issued under this act if the administrator determines it
is necessary or appropriate in the public interest and for the
protection of investors; and
(4) appoint special investigators to aid in investigations
conducted pursuant to this act. Such special investigators shall
have authority to make arrests, serve subpoenas and all other
process, conduct searches and seizures, store evidence, and carry
firearms, concealed or otherwise while investigating violations of
this act and to generally enforce all the criminal laws of the state
as violations of those laws are encountered by such special
investigators. The director of police training at the law
enforcement training center is authorized to offer and carry out a
special course of instruction for special investigators performing
law enforcement duties under authority of this subsection. Such
special investigators shall not carry firearms without having first
successfully completed such special law enforcement training course.
(b) Administrator powers to investigate. For the purpose of
an investigation under this act, the administrator or its designated
officer may administer oaths and affirmations, subpoena witnesses,
seek compulsion of attendance, take evidence, require the filing of
statements, and require the production of any records that the
administrator considers relevant or material to the investigation.
(c) Procedure and remedies for noncompliance. If a person
does not appear or refuses to testify, file a statement, produce
records, or otherwise does not obey a subpoena as required by the
administrator under this act, the administrator may apply to any
court of competent jurisdiction or a court of another state to
enforce compliance. The court may:
(1) Hold the person in contempt;
(2) order the person to appear before the administrator;
(3) order the person to testify about the matter under
investigation or in question;
(4) order the production of records;
(5) grant injunctive relief, including restricting or
prohibiting the offer or sale of securities or the providing of
investment advice;
(6) impose a civil penalty of not greater than $25,000 for each
violation; and
(7) grant any other necessary or appropriate relief.
(d) Application for relief. This section does not preclude a
person from applying to any court of competent jurisdiction or a
court of another state for relief from a request to appear, testify,
file a statement, produce records, or obey a subpoena.
(e) Use immunity procedure. An individual is not excused from
attending, testifying, filing a statement, producing a record or
other evidence, or obeying a subpoena of the administrator under
this act or in an action or proceeding instituted by the administrator under
this act on the ground that the required
testimony, statement, record, or other evidence, directly or
indirectly, may tend to incriminate the individual or subject the
individual to a criminal fine, penalty, or forfeiture. If the
individual refuses to testify, file a statement, or produce a record
or other evidence on the basis of the individual's privilege against
self-incrimination, the administrator may compel the testimony, the
filing of the statement, the production of the record, or the giving
of other evidence. The testimony, record, or other evidence
compelled under such an order may not be used, directly or
indirectly, against the individual in a criminal case, except in a
prosecution for perjury or contempt or otherwise failing to comply
with the order.
(f) Assistance to securities regulator of another jurisdiction.
At the request of the securities regulator of another state or a
foreign jurisdiction, the administrator may provide assistance if
the requesting regulator states that it is conducting an
investigation to determine whether a person has violated, is
violating, or is about to violate a law or rule of the other state
or foreign jurisdiction relating to securities matters that the
requesting regulator administers or enforces. The administrator may
provide the assistance by using the authority to investigate and the
powers conferred by this section as the administrator determines is
necessary or appropriate. The assistance may be provided without
regard to whether the conduct described in the request would also constitute a
violation of this act or other law of this state if
occurring in this state. In deciding whether to provide the
assistance, the administrator may consider whether the requesting
regulator is permitted and has agreed to provide assistance
reciprocally within its state or foreign jurisdiction to the
administrator on securities matters when requested; whether
compliance with the request would violate or prejudice the public
policy of this state; and the availability of resources and
employees of the administrator to carry out the request for
assistance.