Bill Text: IN HB1408 | 2011 | Regular Session | Introduced

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Bill Title: Victims of securities law violations.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2011-01-18 - First reading: referred to Committee on Financial Institutions [HB1408 Detail]

Download: Indiana-2011-HB1408-Introduced.html

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Introduced Version

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HOUSE BILL No. 1408

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DIGEST OF INTRODUCED BILL

Citations Affected: IC 4-21.5-2-4; 5IC 23-20-1.

Synopsis: Victims of securities law violations. Provides that the statute governing administrative orders and procedures does not apply to the securities division of the office of the secretary of state (division). For purposes of the statute governing restitution for victims of violations of certain securities laws, provides that a victim's net loss equals: (1) the victim's out-of-pocket loss; minus (2) the amount of restitution received by the victim from the party ordered to pay the restitution. Provides that an award by the division to a victim of a securities violation may not exceed the lesser of: (1) $15,000; or (2) 25% of the amount of the victim's net loss (instead of 25% of the amount of the victim's out-of-pocket loss, as provided by current law). Allows the division to bring an action in the circuit or superior court of Marion County to recover funds that are required under the statute to be: (1) forfeited by a victim whose restitution order is overturned on appeal; or (2) refunded by a victim who recovers funds from the party ordered to pay the restitution. Provides that any award or other determination made by the division under the statute is final and is not subject to judicial review or appeal.

Effective: July 1, 2011.

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Burton

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    January 18, 2011, read first time and referred to Committee on Financial Institutions.

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Introduced

First Regular Session 117th General Assembly (2011)

PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana Constitution) is being amended, the text of the existing provision will appear in this style type, additions will appear in this style type, and deletions will appear in this style type.
Additions: Whenever a new statutory provision is being enacted (or a new constitutional provision adopted), the text of the new provision will appear in this style type. Also, the word NEW will appear in that style type in the introductory clause of each SECTION that adds a new provision to the Indiana Code or the Indiana Constitution.
Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts between statutes enacted by the 2010 Regular Session of the General Assembly.

HOUSE BILL No. 1408

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    A BILL FOR AN ACT to amend the Indiana Code concerning business and other associations.

Be it enacted by the General Assembly of the State of Indiana:

SOURCE: IC 4-21.5-2-4; (11)IN1408.1.1. -->     SECTION 1. IC 4-21.5-2-4, AS AMENDED BY P.L.219-2007, SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 4. (a) This article does not apply to any of the following agencies:
        (1) The governor.
        (2) The state board of accounts.
        (3) The state educational institutions.
        (4) The department of workforce development.
        (5) The unemployment insurance review board of the department of workforce development.
        (6) The worker's compensation board of Indiana.
        (7) The military officers or boards.
        (8) The Indiana utility regulatory commission.
        (9) The department of state revenue (excluding an agency action related to the licensure of private employment agencies).
        (10) The department of local government finance.
        (11) The Indiana board of tax review.

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         (12) The securities division of the office of the secretary of state.
    (b) This article does not apply to action related to railroad rate and tariff regulation by the Indiana department of transportation.

SOURCE: IC 23-20-1-3.5; (11)IN1408.1.2. -->     SECTION 2. IC 23-20-1-3.5 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 3.5. As used in this chapter, "net loss", with respect to a victim, means:
        (1) the victim's out-of-pocket loss; minus
        (2) the amount of restitution received by the victim from the party ordered to pay the restitution.

SOURCE: IC 23-20-1-21.5; (11)IN1408.1.3. -->     SECTION 3. IC 23-20-1-21.5 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 21.5. The division may bring an action in the circuit or superior court of Marion County to recover funds that are required to be:
        (1) forfeited under section 18 of this chapter; or
        (2) refunded under section 21 of this chapter.

SOURCE: IC 23-20-1-23; (11)IN1408.1.4. -->     SECTION 4. IC 23-20-1-23, AS ADDED BY P.L.114-2010, SECTION 12, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 23. An award under this chapter may not exceed the lesser of the following:
        (1) Fifteen thousand dollars ($15,000).
        (2) Twenty-five percent (25%) of the amount of the out-of-pocket net loss.

SOURCE: IC 23-20-1-33; (11)IN1408.1.5. -->     SECTION 5. IC 23-20-1-33 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 33. Any award or other determination made by the division under this chapter is final and is not subject to judicial review or appeal.