Introduced Version
HOUSE BILL No. 1408
_____
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.
Burton
January 18, 2011, read first time and referred to Committee on Financial Institutions.
Introduced
First Regular Session 117th General Assembly (2011)
PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
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HOUSE BILL No. 1408
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.
(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.