Part 358. Casino Gaming Rules

23 CAR § 358-1303. Certain investigative fees. In addition to all other fees payable under the act and rules, the Arkansas Racing Commission may require payment of the costs of any investigation conducted subsequent to licensing or registration to the extent of any reasonable fee…

23 CAR § 358-1304. Burden of proof. (a) The burden of proof with respect to the granting of any license, approval, registration, or finding of suitability required or permitted by this subpart shall at all times be upon the person applying for or holding such license, approval, r…

23 CAR § 358-1305. Disclosure of family agreements/information. With respect to any requirement in this part, or other provisions of rules of the Arkansas Racing Commission, for filing or disclosure of any family shareholders agreement, family limited partnership agreement, famil…

23 CAR § 358-1306. Prohibition with respect to ownership of corporate licensees. No person shall acquire any equity security issued by a corporate licensee or a holding company, nor become a controlling affiliate of a corporate licensee or a holding company, nor become a holding …

23 CAR § 358-1307. Prohibitions with respect to the distribution or transfer of securities. It shall be grounds for disciplinary action under The Arkansas Casino Gaming Amendment of 2018, Arkansas Constitution, Amendment 100, and rules if any person shall, in connection with the …

23 CAR § 358-1308. Institutional investor. (a)(1) An institutional investor that intends to become subject to this part as a result of its ownership of an equity security issued by a corporate licensee or a holding company, or any security issued by a corporate licensee or a hold…

23 CAR § 358-1309. Definitions — General. All terms defined in The Arkansas Casino Gaming Amendment of 2018, Arkansas Constitution, Amendment 100, shall have the same meaning in this part as in Amendment 100: (1) “Associate”. The term “associate” when used to indicate a relations…

23 CAR § 358-1310. Waiver of requirements of rules. The Arkansas Racing Commission may waive one (1) or more requirements of this part if it makes a written finding that such waiver is consistent with state policy.

23 CAR § 358-1311. Public offerings by corporate licensees, holding companies, and stockholders. No corporate licensee, no stockholder of a corporate licensee, no holding company, and no stockholder of a holding company shall make a public offering of securities of a corporate li…

23 CAR § 358-1312. Beneficial ownership, granting of proxies, and assignments of other interests. (a)(1)(A) The terms “sale, assignment, transfer, pledge, or other disposition” extend to dispositions of any type of ownership referred to in this part. (B) Included within the meani…

23 CAR § 358-1313. Individual licensing of stockholders of corporate licensee. (a) Except as provided in subsection (b) of this section, each person must be licensed before they may: (1) Own more than five percent (5%) of the equity security issued by a corporate licensee; or (2)…

23 CAR § 358-1314. Licensing of certain payees. Any person who receives payments computed on the basis of the earnings profits or receipts from gaming of a corporate licensee, other than as the owner of an equity security issued by the corporate licensee, may be required to be li…

23 CAR § 358-1315. Corporate noncompliance. Whenever it is the judgment of the Arkansas Racing Commission that the public interest will be served by requiring any or all of the corporation’s lenders, holders of evidences of indebtedness, underwriters, key executives and agents, e…

23 CAR § 358-1316. Beneficial ownership. The terms “issue or transfer” extend to transactions involving any type of ownership referred to in this part.

23 CAR § 358-1317. Procedures for obtaining approvals for issuance of securities. After licensing a corporation, other than a publicly traded corporation: (1)(A) Before it may issue or transfer any security to any person, shall file a report of its proposed action with the Arkans…

23 CAR § 358-1318. Licensing. (a) After licensing pursuant to this part, the corporation shall: (1) Report to the Arkansas Racing Commission in writing any change in corporate personnel who have been designated by the commission as key executives; and (2) Furnish the commission a…

23 CAR § 358-1319. Persons who may be deemed unsuitable. The several nonexclusive criteria of unsuitability set forth in this part are also nonexclusive criteria of unsuitability under this section.

23 CAR § 358-1320. Escrow of securities. The Arkansas Racing Commission shall have the same power with respect to securities issued by holding companies as it has under this part with respect to securities issued by corporate licensees.

23 CAR § 358-1321. Proscribed corporate activities in respect of unsuitable persons. The Arkansas Racing Commission may determine a holding company to be unsuitable, or take other disciplinary action, if after the commission serves notice that a person is unsuitable to have a rel…

23 CAR § 358-1322. Statement required. (a) Any part of the outstanding equity securities of a corporation holding a gaming license or the interests in a partnership, limited partnership, limited liability company, or other business organization holding a gaming license shall bear…

23 CAR § 358-1323. Public offerings by holding companies. [Reserved].

23 CAR § 358-1324. Approval by the Arkansas Racing Commission required for all issues or transfers by a holding company or intermediary company of its securities. (a) No holding company shall, and it shall be grounds for disciplinary action if a holding company shall, issue or tr…

23 CAR § 358-1325. Arkansas Racing Commission approval required for dispositions of outstanding securities issued by holding companies or intermediary companies. (a) No person other than the issuer shall sell, assign, transfer, pledge, or make any other disposition of any securit…

23 CAR § 358-1326. Stockholders of holding companies. (a) Each stockholder of a holding company must be found suitable to be a stockholder or, in the discretion of the Arkansas Racing Commission, be licensed if the stockholder owns more than five percent (5%) of any licensee owne…

23 CAR § 358-1327. Officers and directors of holding companies. (a) Except as otherwise specified in this section, any person who has a relationship to a holding company of a type described in this part with respect to publicly traded corporations shall file an application for fi…

23 CAR § 358-1328. Certain payees. Any person who receives payments from a holding company computed on the basis of the earnings or profits of the holding company, or on the basis of the receipts from gaming of a subsidiary corporate licensee of such holding company, may be requi…

23 CAR § 358-1329. Reporting requirements for certain holding companies. (a) Each holding company which is a firm, partnership, trust, or other form of business organization not a natural person or a corporation, must furnish the Arkansas Racing Commission with information analog…

23 CAR § 358-1330. Exclusion of publicly traded corporations. This subpart shall not apply to the securities of, nor other interest in, any holding company that is publicly traded, nor to its stockholders, directors, officers, agents, employees, underwriters, lenders, and other h…

23 CAR § 358-1401. Definitions. As used in this subpart: (1) “Capital account” as reflected on the books of the partnership shall mean the partner’s initial and any subsequent contributions to the limited partnership, as increased by the partner’s pro rata share of net income of …

23 CAR § 358-1402. Powers of the commission. (a) The Arkansas Racing Commission shall have full and absolute power and authority, to the extent permitted by law, to recommend the granting, denial, limitation, conditioning, restriction, revocation, or delay of any license, registr…

23 CAR § 358-1403. Burden of proof. (a) The burden of proof with respect to the granting of any approval required or permitted by this subpart is at all times upon the person applying for such approval. (b) Each applicant shall satisfy the Arkansas Racing Commission, as the case …

23 CAR § 358-1404. Prohibition with respect to ownership of limited partnership licensees. Except as otherwise provided, no person shall acquire any equity security issued by a limited partnership licensee or a holding company, become a controlling affiliate of a limited partners…

23 CAR § 358-1405. Registration of certain limited partners of limited partnerships. (a)(1) All limited partners with a five percent (5%) or less ownership interest in a limited partnership licensee must register in that capacity with the Arkansas Racing Commission and affirmativ…

23 CAR § 358-1406. Institutional investor. (a)(1) An institutional investor that intends to become subject to this part as a result of its ownership of an interest in or equity security issued by a limited partnership licensee or a holding company may apply to the Arkansas Racing…

23 CAR § 358-1407. Required provisions in certificate of limited partnership. The following provisions must be included in the certificate of limited partnership of every limited partnership that receives a state casino license: (1) A purpose clause containing language substantia…

23 CAR § 358-1408. Public offerings by limited partnership licensees and holding companies. No limited partnership licensee and no holding company shall make a public offering of securities of a limited partnership licensee of a holding company except as is permitted by, and in a…

23 CAR § 358-1409. Assignment of interest in a security. The purported sale, assignment, transfer, pledge, exercise of an option to purchase, including any transfer, whether or not for value, of any interest in the profits or proceeds realized from the holding or disposition of a…

23 CAR § 358-1410. Procedure for obtaining approval for transfer of securities. The provisions of this part shall govern all transfers for which approval is required.

23 CAR § 358-1411. Persons who may be determined to be unsuitable. (a) If at any time the Arkansas Racing Commission finds that an individual owner of any such interest is unsuitable to hold that interest, the commission shall immediately notify the limited partnership of that fa…

23 CAR § 358-1412. Limited partnership noncompliance. (a) Whenever the Arkansas Racing Commission determines that the public interest will be served by requiring any or all of the limited partnership’s lenders, holders of evidences of indebtedness, underwriters, key executives an…

23 CAR § 358-1413. Approval by commission required for all issues or transfers by a holding company of its securities. (a) No holding company shall issue or transfer any security of which it or its controlled affiliate is the issuer without the prior approval of the Arkansas Raci…

23 CAR § 358-1414. Commission approval required for dispositions of outstanding securities issued by holding companies. (a) No person other than the issuer shall sell, assign, transfer, pledge, or make any other disposition of any security issued by any holding company without th…

23 CAR § 358-1415. Licensing of general partners and limited partners of limited partnership holding companies. (a)(1) Except as otherwise provided in this section, each general partner of a limited partnership holding company must be licensed. (2) Each limited partner of a limit…

23 CAR § 358-1416. Certain payees required to be found suitable, licensed, or approved. The Arkansas Racing Commission may require any person who receives payments from a limited partnership holding company computed on the basis of the earnings or profits of the holding company o…

23 CAR § 358-1417. Delayed licensing for limited partners. Pursuant to the provisions of this subpart, the Arkansas Racing Commission may waive licensing of limited partners and, in lieu thereof, grant approval of delayed licensing for any limited partner.

23 CAR § 358-1418. Eligibility for delayed licensing. (a) A limited partnership that has filed an application to be registered with the Arkansas Racing Commission may file an application for approval of delayed licensing of its limited partners. (b)(1) Only limited partners whose…

23 CAR § 358-1419. Application for delayed licensing by individual limited partners. (a) Once a limited partnership has been found eligible for delayed licensing pursuant to this part, each limited partner seeking delayed licensing shall file an application for delayed licensing …