TITLE 710 SECURITIES DIVISION
Final Rule
LSA Document #06-135(F)
DIGEST
Amends
710 IAC 1-14-4 to remove the requirement that reports of financial condition be filed annually although the reports of financial condition still must be prepared and made available to the Securities Division upon request. Effective 30 days after filing with the Publisher.
Authority:
IC 23-2-1-15
Sec. 4. (a)
The following are the requirements for filing reports:
(1) This section shall apply to every broker-dealer registered
pursuant to under IC 23-2-1-8.
(2) Every broker-dealer subject to
710 IAC 1-14 this rule shall
file prepare and submit to the securities division upon request reports of financial condition containing the information required:
(A) as of a date within sixty (60) days of the date of filing an application for a license as a broker-dealer; and
(B) annually as of the close of the broker-dealer fiscal year.
(3) Such annual reports shall be filed prepared not more than sixty (60) days after the date as of which his or her financial condition is reported. If the applicant or licensee is registered with the Securities and Exchange Commission, as a broker-dealer the filing of copies of reports of financial condition as filed with such agency shall be deemed to be in compliance herewith.
(b)
Nature and Form of Reports. Each report of financial condition
filed pursuant to prepared under subsection (a)
of this section shall be prepared
and filed in accordance with the following requirements:
(1) The report of a broker-dealer shall be certified by a certified public accountant or a public accountant who in fact shall be independent, except a report filed prepared under subsection (a)(3) which that is not required to be certified under the rules of the Securities and Exchange Commission.
(2) Attached to the report shall be an oath or affirmation that, to the best knowledge and belief of the person making such oath or affirmation, the financial statement and supporting schedules are true and correct and neither the broker-dealer nor any partner, officer, or director, as the case may be, has any proprietary interest in any account classified solely as that of a customer. This oath or affirmation shall be made before a person duly authorized to administer such oaths or affirmations. If the broker-dealer is a:
(A) sole proprietorship, the oath or affirmation shall be made by the proprietor; if the broker-dealer is a
(B) partnership, it shall be made by a general partner; and if the broker-dealer is a
(C) corporation, it shall be made by a duly authorized officer.
(3) If statements of financial condition furnished pursuant to the requirements of broker-dealer reports are bound separately from the balance of the report, and are deemed confidential under Rule
17a-5(d)(3) 17a-5 under the Securities Exchange Act of 1934 (17 CFR
sec. 240.17a-5(d)(3) 240.17a-5), they shall be deemed confidential, except that they shall be available for official use by:
(A) any official or employee of the United States or any state; by
(B) national securities exchanges and national securities associations of which the person filing preparing such report is a member; and by
(C) any other person to whom the commissioner authorizes disclosure of such information as being in the public interest.
Nothing contained in this subdivision shall be deemed to be in derogation of the rules of any national securities association or national securities exchange which that gives to customers of a broker-dealer the right, upon request to such broker-dealer, to obtain information relative to its financial condition.
(c)
The requirements for the use of certain statements filed with the Securities and Exchange Commission and national securities exchanges
are as follows:
(1) Any broker-dealer who is subject to the provisions of subsection (a)
of this section may
file prepare in lieu of the report required by that subsection a copy of any financial statements which he
or she is, or has been, required to file with any national securities exchange of which he
or she is a member, provided that
the copy so included reflects such financial statements reflect his
or her financial condition as of a date not more than sixty (60) days prior to the
filing thereof with date required in subsection (a) by the division, and the report as filed with the division meets the requirements of
710 IAC 1-14 this rule and contains the information called for by it.
(2) At the request of any broker-dealer who is an investment company registered under the Investment Company Act of 1940, or a sponsor or depositor of such a registered investment company who effects transactions in securities only with, or on behalf of, such registered investment company, the commissioner shall accept any statement of his
or her financial condition filed pursuant to Sections 13 or 15(d) of the Securities Exchange Act of 1934 or Section 30 of the Investment Company Act of 1940 and the rules and regulations promulgated thereunder.
as a filing pursuant to 710 IAC 1-14. Such a filing shall be deemed to satisfy the requirements of 710 IAC 1-14 for any year in which such a financial statement is filed, provided that the statement so filed meets the requirements of the other rules under which it is filed with respect to time of filing and content.
(d)
Extension of Time for Filing Reports. In the event any broker-dealer finds that he
or she cannot
file prepare his
or her report for any year within the time specified in
subsections subsection (a) or (c)
of this section without undue hardship, he
or she may file with the division an application for an extension of time to a specified date, which shall not be more than ninety (90) days after the date as of which his
or her financial condition is reported. The application shall:
(1) state the reasons for the requested extension; and shall
(2) contain an agreement to file prepare the report on or before the specified date.
Notice of Intent: June 1, 2006; 29 IR 3044
Proposed Rule: July 1, 2006; 29 IR 3420
Hearing Held: August 21, 2006
Approved by Attorney General: November 17, 2006
Approved by Governor: November 22, 2006
Filed with Publisher: November 27, 2006, 2:02 p.m.
Documents Incorporated by Reference: 17 CFR 240.17a-5; 15 U.S.C. 78m; 15 U.S.C. 78o(d); 15 U.S.C. 80a-29
Small Business Regulatory Coordinator: Jeffrey Bush, Enforcement Attorney, Indiana Secretary of State, Todd Rokita, Securities Division, Indiana Government Center-South, 302 West Washington Street, Room E111, Indianapolis, IN 46204, (317) 232-6681, jabush@sos.in.gov
Posted: 12/27/2006 by Legislative Services Agency
DIN: 20061227-IR-710060135FRA
Composed: May 04,2024 3:05:14AM EDT
A
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