Bill Text: AZ HB2197 | 2014 | Fifty-first Legislature 2nd Regular | Chaptered
Bill Title: ACC; securities enforcement; spousal joinder
Spectrum: Partisan Bill (Republican 2-0)
Status: (Passed) 2014-04-17 - Chapter 87 [HB2197 Detail]
Download: Arizona-2014-HB2197-Chaptered.html
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House Engrossed |
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State of Arizona House of Representatives Fifty-first Legislature Second Regular Session 2014
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CHAPTER 87
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HOUSE BILL 2197 |
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AN ACT
amending sections 44-2031, 44-2032 and 44-3291, Arizona Revised Statutes; relating to securities enforcement.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it enacted by the Legislature of the State of Arizona:
Section 1. Section 44-2031, Arizona Revised Statutes, is amended to read:
44-2031. Jurisdiction and venue of offenses and actions; joinder of spouse
A. The superior court in this state shall have jurisdiction over violations of this chapter, the rules and orders of the commission under this chapter and all actions brought to enforce any liability or duty created under this chapter, except actions or proceedings brought under section 44‑2032, paragraph 2, 3 or 4 or appeals filed under article 12 of this chapter, over which the superior court in Maricopa county shall have exclusive jurisdiction.
B. Any action authorized by this chapter may be brought in the county in which the defendant is found, is an inhabitant or transacts business, or in the county where the transaction took place, and in such cases, process may be served in any other county in which the defendant is an inhabitant or in which the defendant is found.
C. The commission may join the spouse in any action authorized by this chapter to determine the liability of the marital community. this subsection does not authorize the commission to join any individual who is divorced from the defendant at the time an action authorized by this chapter is filed.
Sec. 2. Section 44-2032, Arizona Revised Statutes, is amended to read:
44-2032. Cease and desist orders; civil penalty; injunctions; civil restitution; prosecutions for violations
If it appears to the commission, either on complaint or otherwise, that any person has engaged in, is engaging in or is about to engage in any act, practice or transaction that constitutes a violation of this chapter, or any rule or order of the commission under this chapter, the commission may, in its discretion may:
1. Issue an order directing such person to cease and desist from engaging in the act, practice or transaction, or doing any other act in furtherance of the act, practice or transaction, and to take appropriate affirmative action within a reasonable period of time, as prescribed by the commission, to correct the conditions resulting from the act, practice or transaction including, without limitation, a requirement to provide restitution as prescribed by rules of the commission. If a person fails to comply with an order issued under this paragraph, the superior court in Maricopa county, on application by the commission, shall:
(a) Issue an order to show cause why the person has not complied with the commission's order. On a showing that the person has violated the commission's order, the court may exercise its contempt powers and impose a civil penalty of not more than twenty thousand dollars for each violation as the court considers to be just and proper.
(b) Award reasonable costs, including attorney fees, to the commission, unless other circumstances make an award of costs unjust. Any costs, including attorney fees, collected pursuant to this paragraph shall be deposited, pursuant to sections 35‑146 and 35‑147, in the state general fund.
2. Apply to the superior court in Maricopa county or any federal court for an injunction restraining the person from the violation, and on a showing by the commission that the person has engaged in, is engaging in or is about to engage in an act, practice or transaction in violation of this chapter or any rule or order of the commission, a temporary restraining order, preliminary injunction or permanent injunction shall be granted without bond. Process in those actions may be served on the defendant in any county of this state in which the defendant transacts business or is found.
3. Apply to the superior court in Maricopa county or any federal court for an order restoring to any person in interest any monies or property, real or personal, that may have been acquired or transferred in violation of this chapter.
4. Petition the superior court in Maricopa county or transmit any evidence available concerning the act, practice or transaction to the attorney general and the attorney general may petition the superior court in Maricopa county for the appointment of a conservator to reorganize the affairs of, or a receiver to wind up the affairs of, the violator. Process in those actions may be served on the defendant in any county in this state where the defendant transacts business or may be found.
5. Transmit any evidence available concerning the act, practice or transaction to a county attorney, the attorney general or the United States attorney who may, with or without the transmittal, directly institute or cause to be instituted any criminal proceedings as the evidence warrants.
6. If the joinder authorized by section 44-2031 or 44-3291 is inapplicable because the defendant and the defendant's spouse are divorced, apply to the superior court in Maricopa county or any federal court for an order restoring to any person in interest that former spouse's portion of any monies or property, real or personal, including noncash proceeds as defined in section 47-9102, that may have been acquired or transferred by the defendant in violation of this chapter. Any order issued pursuant to this paragraph must be supported by clear and convincing evidence.
Sec. 3. Section 44-3291, Arizona Revised Statutes, is amended to read:
44-3291. Jurisdiction and venue of offenses and actions; joinder of spouse
A. The superior court has jurisdiction over violations of this chapter, the rules and orders of the commission adopted or issued under this chapter and all actions brought to enforce any liability or duty created under this chapter, except actions or proceedings brought under section 44‑3292, paragraph 2, 3 or 4 or appeals filed under article 8 of this chapter, over which the superior court in Maricopa county has exclusive jurisdiction.
B. Any action authorized by this chapter may be brought in the county in which the defendant is found, is an inhabitant or transacts business or in the county in which the transaction took place. Process may be served on any defendant in any county of this state in which the defendant is an inhabitant or in which the defendant is found.
C. The commission may join the spouse in any action authorized by this chapter to determine the liability of the marital community. This subsection does not authorize the commission to join any individual who is divorced from the defendant at the time an action authorized by this chapter is filed.
APPROVED BY THE GOVERNOR APRIL 17, 2014.
FILED IN THE OFFICE OF THE SECRETARY OF STATE APRIL 18, 2014.
