20100331-IR-710090619PRA Adds 710 IAC 4-15, under IC 23-19, the Indiana Uniform Securities Act, concerning the process in submitting broker-dealer compliance reports filed with the Securities Division. Effective 30 days afte...

TITLE 710 SECURITIES DIVISION

Proposed Rule LSA Document #09-619

DIGEST

Adds 710 IAC 4-15, under IC 23-19, the Indiana Uniform Securities Act, concerning the process in submitting broker-dealer compliance reports filed with the Securities Division. Effective 30 days after filing with the Publisher.

710 IAC 4-15

SECTION 1. 710 IAC 4, PROPOSED TO BE ADDED AT 20100331-IR-710100044PRA, SECTION 1, IS AMENDED BY ADDING A NEW RULE TO READ AS FOLLOWS:

Rule 15. Broker-Dealer Compliance Reports

710 IAC 4-15-1 Qualifications of approved auditors

Authority: IC 23-19-4-11

Affected: IC 23-19-4-11

Sec. 1. (a) Persons wishing to apply as an approved examiner to submit compliance reports under IC 23-19-4-11(i) must have an appropriate background, such as:

(1) a designation as a certified public accountant;

(2) employment as a public accountant;

(3) a current license to practice law in Indiana; or

(4) previous experience in securities or auditing professions acceptable to the commissioner.

(b) The applicant must not be currently registered or employed by a broker-dealer, regardless of whether that broker-dealer is registered in Indiana.

(c) The applicant must complete an application on a form acceptable to the commissioner and provide all requested information.

(Securities Division; 710 IAC 4-15-1)

710 IAC 4-15-2 Process for submitting completed compliance reports

Authority: IC 23-19-4-11

Affected: IC 23-19-4-11

Sec. 2. After completing a compliance report, the approved examiner must submit:

(1) the report to the securities division directly; and

(2) a copy of the report to the broker-dealer that was examined.

(Securities Division; 710 IAC 4-15-2)

710 IAC 4-15-3 Time limitations for auditors

Authority: IC 23-19-4-11

Affected: IC 23-19-4-11

Sec. 3. (a) An examiner may not submit a compliance report for the branches of a broker-dealer for more than three (3) consecutive years.

(b) If an examiner submits a report for a broker-dealer in a fourth consecutive year, that compliance report will not be accepted, and the broker-dealer will not have complied with the requirements of IC 23-19-4-11(i).

(c) After an approved examiner submits a report on behalf of branches of a broker-dealer for three (3) consecutive years, that auditor may be engaged by that broker-dealer to complete a compliance report after two (2) years.

(Securities Division; 710 IAC 4-15-3)

Posted: 03/31/2010 by Legislative Services Agency

DIN: 20100331-IR-710090619PRA

Composed: Nov 01,2016 12:52:41AM EDT

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