Title 23, Public Utilities and Regulated Industries

(a) The Securities Commissioner shall require a minimum net capital for registered broker-dealers in such amount as he or she may by rule prescribe and for registered investment advisers in the amount of twelve thousand five hundred dollars ($12,500). (b) However, subsection (a) …

(a) Every applicant for initial or renewal registration, every person making a notice filing as required by § 23-42-301, every exempt reporting adviser, and every investment adviser to a private fund shall pay a filing fee of:(1) Three hundred dollars ($300) in the case of a brok…

(a) (1) The Securities Commissioner shall require registered broker-dealers, investment advisers, and an agent for the issuer to maintain a bond in such form and amount as he or she may by rule prescribe.(2) However, this subsection does not apply to any registered investment adv…

(a) Every applicant, registered issuer, registered broker-dealer, or registered investment adviser shall make and keep any accounts, correspondence, memoranda, papers, books, and other records which the Securities Commissioner by rule prescribes. However, this subsection shall no…

(a) It is unlawful for any investment adviser or representative:(1) To employ any device, scheme, or artifice to defraud the other person;(2) To engage in any act, practice, or course of business which operates or would operate as a fraud or deceit upon the other person; or(3) To…

(a) The Securities Commissioner may by order deny, suspend, make conditional or probationary, or revoke any registration if he or she finds that:(1) The order is in the public interest; and(2) The applicant or registrant or, in the case of a broker-dealer or investment adviser, a…

(a) As used in this section:(1) “Agencies” means:(A) The Adult Protective Services Unit of the Department of Human Services; and(B) The Securities Commissioner;(2) “Financial exploitation” means:(A) The wrongful or unauthorized taking, withholding, appropriation, or use of funds,…

(a) The following securities may be registered by notification, whether or not they are also eligible for registration by coordination under § 23-42-402:(1) Any security whose issuer and any predecessors have been in continuous operation for at least five (5) years if:(A) There h…

(a) Any security for which a registration statement has been filed under the Securities Act of 1933 in connection with the same offering may be registered by coordination. (b) A registration statement under this section shall contain the following information and be accompanied b…

(a) Any security may be registered by qualification. (b) A registration statement under this section shall contain the following information and be accompanied by the following documents in addition to the information specified in § 23-42-404(c), and the consent to service of pro…

(a) A registration statement may be filed by the issuer, any other person on whose behalf the offering is to be made, or a registered broker-dealer. (b) (1) Every person filing a registration statement shall pay a filing fee of one-tenth percent (0.1%) of the maximum aggregate of…

(a) The Securities Commissioner may issue a stop order denying effectiveness to, or suspending or revoking the effectiveness of, any registration statement if he or she finds that:(1) The order is in the public interest; and(2) (A) The registration statement is incomplete in any …

(1) It is unlawful for any person to offer or sell any security in this state unless:(1) It is registered under this chapter;(2) The security or transaction is exempted under § 23-42-503 or § 23-42-504; or(3) It is a covered security. (1) It is registered under this chapter; (2) …

The Securities Commissioner, by rule or order, may require the filing of any prospectus, pamphlet, circular, form letter, advertisement, television, radio, or other sales literature or advertising communication addressed or intended for distribution to prospective investors, incl…

(a) The following securities are exempted from §§ 23-42-501 and 23-42-502:(1) (A) Any security, including a revenue obligation, issued or guaranteed by this state, any political subdivision of this state, or any agency or corporate or other instrumentality of one (1) or more of t…

(a) The following transactions are exempted from §§ 23-42-501 and 23-42-502:(1) Any isolated nonissuer transactions, whether effected through a broker-dealer or not, provided that repeated or successive transactions shall be prima facie evidence that the transactions are not isol…

(a) The Securities Commissioner may, by order, deny or revoke any exemption specified in § 23-42-503(a)(7) or (8), (b), or (c) or § 23-42-504(a) with respect to a specific security or transaction. (b) (1) No such order may be entered without appropriate prior notice to all intere…

In any proceeding under this chapter, the burden of proving an exemption or an exception from a definition is upon the person claiming it.

(1) It is unlawful for any person, in connection with the offer, sale, or purchase of any security, directly or indirectly:(1) To employ any device, scheme, or artifice to defraud;(2) To make any untrue statement of a material fact or to omit to state a material fact necessary in…

(1) It is unlawful for any person, directly or indirectly, in this state:(1) To effect any transaction in a security which involves no change in the beneficial ownership thereof, or to enter any orders for the purchase or sale of any security with the knowledge that orders of sub…

(a) The Securities Commissioner, by rule or order, may require a notice filing consisting of any or all of the following documents with respect to a covered security under section 18(b)(2) of the Securities Act of 1933, 15 U.S.C. § 77r(b)(2):(1) (A) Prior to the initial offering …

(1) As used in this chapter, unless the context otherwise requires:(1) “Bucket shop” means any place of business wherein contracts are made of the sort or character denounced by § 23-44-105;(2) “Contract for sale” means sales, purchases, agreements of sale, agreements to sell, an…

(a) (1) Any person, acting either as agent or principal, who knowingly enters into or assists in making any contracts of sale of the sort or character denounced by § 23-44-105, for the future delivery of cotton, grain, stocks, or other commodities or who maintains or operates a b…

(a) All contracts of sale for future delivery of cotton, grain, stocks, or other commodities shall be valid and enforceable in the courts of this state, according to their terms, if they are:(1) Made in accordance with the rules of any board of trade, exchange, or similar institu…

Any broker, agent, or any other person making advances to, or for account of, any party to any contract falling within and satisfying the provisions of § 23-44-103 shall be entitled to recover the amount of the advances from the party to, or for the account of, whom the advances …

Any contract of sale for the future delivery of cotton, grain, stocks, or other commodities which is to be settled according to, or upon the basis of, the public market quotation or prices made on any board of trade, exchange, or similar institution, upon which contracts of sale …

The maintenance or operation of a bucket shop at any point in this state is prohibited.

(a) There may be organized, in any city, town, or municipality in the State of Arkansas, voluntary associations to be known as cotton exchanges, grain exchanges, boards of trade, or similar institutions to receive and post quotations on cotton, grains, stocks, bonds, and other co…

(a) Only members of cotton exchanges, grain exchanges, boards of trade, or similar institutions organized under the laws of Arkansas or any other state may provide for their use, and the use of their clients, private or public wires from cities in Arkansas where the cotton exchan…

(a) Every person shall furnish, upon demand, to any principal from whom that person has executed any contract or sale for the future delivery of any cotton, grain, stocks, or other commodities, a written instrument setting forth the name and location of the exchange, board of tra…

Chapters 45-50 of this title may be referred to as the “Arkansas Banking Code of 1997”.

(a) Subject to other definitions contained in subsequent sections of the Arkansas Banking Code of 1997, and unless the context otherwise requires, in the Arkansas Banking Code of 1997:(1) “Affiliate” means, with respect to a specified person, a person that controls, is controlled…

(a) The charters of state banks existing at the time of the adoption of the Arkansas Banking Code of 1997 shall continue in full force and effect, and all financial institutions and, to the extent applicable, all national banks and national trust companies, shall hereafter be ope…

(a) From and after May 31, 1997:(1) It shall be unlawful for any person, by whatever name called, to do business as a bank within this state or to maintain any office in this state for the purpose of doing such business, except state banks, registered out-of-state banks, and nati…

The headings and captions contained in this chapter are for convenience only, do not constitute any part of the statutes composing this code, and shall not be used in construing or interpreting the Arkansas Banking Code of 1997.

(a) (1) Unless otherwise specifically indicated, and to the fullest extent permitted by the Arkansas Constitution, any reference in the Arkansas Banking Code of 1997 to an existing state or federal statute or regulation shall mean to the statute or regulation as it has been or ma…

(a) Notwithstanding the Freedom of Information Act of 1967, § 25-19-101 et seq., the following records of the State Bank Department shall be confidential and shall not be exhibited or revealed to the public except as stated in this section or in accordance with department rules:(…

There is created and established, at the seat of government of this state, a department to be known as the “State Bank Department”. The State Bank Department shall be a division of the Department of Commerce.

(a) An appropriate seal shall be procured to be the official seal for the State Bank Department. (b) Every paper executed by the Bank Commissioner in pursuance of the authority conferred upon him or her by law and sealed with the seal of the department or certified by the departm…

(a) The Governor, by and with the advice and consent of the Senate, shall appoint a Bank Commissioner who shall:(1) Be a resident of this state;(2) Be at least thirty (30) years of age; and(3) Have not less than five (5) years' experience either in practical banking or in the ban…

(a) The Bank Commissioner shall be charged with the general supervision of financial institutions, the execution of all laws passed by the State of Arkansas relating to the organization, operations, inspection, supervision, control, liquidation, and dissolution of banks, bank hol…

(a) (1) The Bank Commissioner, in consultation with the Secretary of the Department of Commerce, shall employ from time to time the assistants, examiners, clerks, stenographers, counsel, and other personnel as he or she may find necessary to properly and efficiently discharge the…

(a) (1) No employee or officer of the State Bank Department, or employee or officer of the Department of Commerce working within the State Bank Department, who participates in the examination of a financial institution, or who may be called upon to make an official decision or de…

(a) The Bank Commissioner shall keep a true and perfect record of all of the business of the State Bank Department and shall make monthly reports to the Auditor of State of all fees he or she collects. (b) All fees and other revenues received by the department shall be deposited …

(a) The Bank Commissioner shall make an annual report to the Secretary of the Department of Commerce of the work and the business of the State Bank Department, which shall embrace a statement of all receipts and expenditures and the name, officers, directors, domicile, capital, s…

(a) The State Bank Department shall retain its general records for at least ten (10) years, with the following exceptions:(1) Transcripts of hearings before the State Banking Board or the Bank Commissioner shall be retained for at least three (3) years;(2) Applications submitted …