Kentucky Statutes 292.331 – Application for registration — Contents — Conditions — Requirements
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(1) A person shall apply for registration as a broker-dealer, agent, investment adviser, or investment adviser representative by filing an application containing the information required in a form designated by administrative regulation or order under this chapter, by filing a consent to service of process pursuant to KRS
292.430, by filing any other information requested by the commissioner necessary to complete the application, and by paying the fee prescribed by this chapter.
(2) If no denial order is in effect and no administrative proceeding is pending under this chapter, then registration becomes effective at 12 noon of the thirtieth day after a completed application is filed unless the commissioner specifies by order an earlier or later effective date. A registration shall be effective until December 31 of the year of registration, except that a registration as an agent of an issuer shall be effective for the shorter of the term of the offering or a period of twelve (12) months.
(3) An administrative regulation or order under this chapter may require as a condition of registration that the applicant and, in the case of a corporation or other legal entity, the officers or directors or persons occupying similar status or performing similar functions, pass a written examination as evidence of knowledge of the securities business.
(4) Subject to the limitations of Section 15 of the Securities Exchange Act of 1934, 15
U.S.C sec. 78o, and Section 222 of the Investment Advisers Act of 1940, 15 U.S.C. § 80b-18a, an administrative regulation or order under this chapter may establish minimum financial requirements for broker-dealers and investment advisers registered or required to be registered under this chapter.
(5) Registration of a broker-dealer, agent, investment adviser, or investment adviser representative may be renewed by filing an application containing any information required by administrative regulation or order under this chapter and paying the fee prescribed in this chapter and, in the case of a broker-dealer or investment adviser, filing any financial statement required by administrative regulation or order under this chapter.
(6) An administrative regulation or order under this chapter may impose other conditions on registration or waive, in whole or part, specific requirements in connection with registration if appropriate in the public interest and consistent with the protection of investors.
Effective: July 15, 2010
History: Created 2010 Ky. Acts ch. 82, sec. 3, effective July 15, 2010.
Legislative Research Commission Note (7/15/2010). References to the “executive director” of financial institutions in subsections (1) and (2) of this section, as created by 2010 Ky. Acts ch. 82, sec. 3, have been changed in codification to the “commissioner” of financial institutions to reflect the reorganization of certain parts of the Executive Branch, as set forth in Executive Orders 2009-535 and 2009-1086 and confirmed by the General Assembly in 2010 Ky. Acts ch. 24. These changes were made by the Reviser of Statutes pursuant to 2010 Ky. Acts ch. 24, sec. 1938.
292.430, by filing any other information requested by the commissioner necessary to complete the application, and by paying the fee prescribed by this chapter.
Terms Used In Kentucky Statutes 292.331
- Agent: means any individual other than a broker-dealer who represents a broker- dealer or issuer in effecting or attempting to effect purchases or sales of securities. See Kentucky Statutes 292.310
- Broker-dealer: means any person engaged in the business of effecting transactions in securities for the account of others or for his own account. See Kentucky Statutes 292.310
- Directors: when applied to corporations, includes managers or trustees. See Kentucky Statutes 446.010
- Evidence: Information presented in testimony or in documents that is used to persuade the fact finder (judge or jury) to decide the case for one side or the other.
- Investment adviser representative: means an individual employed by or associated with an investment adviser or covered adviser and who makes any recommendations or otherwise gives investment advice regarding securities, manages accounts or portfolios of clients, determines which recommendations or advice regarding securities should be given, provides investment advice or holds himself or herself out as providing investment advice, receives compensation to solicit, offer, or negotiate for the sale of or for selling investment advice, or supervises employees who perform any of the foregoing. See Kentucky Statutes 292.310
- Issuer: means any person who issues or proposes to issue any security, except that with respect to certificates of deposit, voting trust certificates, or collateral-trust certificates, or with respect to certificates of interest or shares in an unincorporated investment trust not having a board of directors, or persons performing similar functions, or of the fixed, restricted management, or unit type, the term "issuer" means the person or persons performing the acts and assuming the duties of depositor or manager pursuant to the provisions of the trust or other agreement or instrument under which the security is issued, and except that with respect to fractional undivided interests in oil, gas, or other mineral rights, the term "issuer" means the owner of any such right or of an interest in such right, whether whole or fractional, who creates fractional interests therein for the purpose of distribution. See Kentucky Statutes 292.310
- Person: means an individual, a limited liability company, a corporation, a partnership, a limited partnership, an association, a joint-stock company, a trust where the interests of the beneficiaries are evidenced by a security, an unincorporated organization, a government, or a political subdivision of a government. See Kentucky Statutes 292.310
- regulation: means either or both administrative rules or administrative regulations promulgated by any governmental or other regulatory or self-regulatory entity, as the context requires. See Kentucky Statutes 292.310
- Year: means calendar year. See Kentucky Statutes 446.010
(2) If no denial order is in effect and no administrative proceeding is pending under this chapter, then registration becomes effective at 12 noon of the thirtieth day after a completed application is filed unless the commissioner specifies by order an earlier or later effective date. A registration shall be effective until December 31 of the year of registration, except that a registration as an agent of an issuer shall be effective for the shorter of the term of the offering or a period of twelve (12) months.
(3) An administrative regulation or order under this chapter may require as a condition of registration that the applicant and, in the case of a corporation or other legal entity, the officers or directors or persons occupying similar status or performing similar functions, pass a written examination as evidence of knowledge of the securities business.
(4) Subject to the limitations of Section 15 of the Securities Exchange Act of 1934, 15
U.S.C sec. 78o, and Section 222 of the Investment Advisers Act of 1940, 15 U.S.C. § 80b-18a, an administrative regulation or order under this chapter may establish minimum financial requirements for broker-dealers and investment advisers registered or required to be registered under this chapter.
(5) Registration of a broker-dealer, agent, investment adviser, or investment adviser representative may be renewed by filing an application containing any information required by administrative regulation or order under this chapter and paying the fee prescribed in this chapter and, in the case of a broker-dealer or investment adviser, filing any financial statement required by administrative regulation or order under this chapter.
(6) An administrative regulation or order under this chapter may impose other conditions on registration or waive, in whole or part, specific requirements in connection with registration if appropriate in the public interest and consistent with the protection of investors.
Effective: July 15, 2010
History: Created 2010 Ky. Acts ch. 82, sec. 3, effective July 15, 2010.
Legislative Research Commission Note (7/15/2010). References to the “executive director” of financial institutions in subsections (1) and (2) of this section, as created by 2010 Ky. Acts ch. 82, sec. 3, have been changed in codification to the “commissioner” of financial institutions to reflect the reorganization of certain parts of the Executive Branch, as set forth in Executive Orders 2009-535 and 2009-1086 and confirmed by the General Assembly in 2010 Ky. Acts ch. 24. These changes were made by the Reviser of Statutes pursuant to 2010 Ky. Acts ch. 24, sec. 1938.