Securities Administration

Corporations Code Title 4, Division 1, Part 7 deals with administration under the California Corporate Securities Law of 1968.

Section 25604 states that the administration and enforcement of, and the education of the public relative to, the laws and programs of the Department of Financial Protection and Innovation is to be supported from the State Corporations Fund. Funds appropriated from the State Corporations Fund and made available for expenditure for any law or program of the department may come from fees collected from the specified sources.

Section 25605 authorizes the commissioner to publish any information filed with him or obtained by him, if, in the judgment of the commissioner, this action is in the public interest.

Section 25606 requires the Attorney General to render to the commissioner opinions upon all questions of law, relating to the construction or interpretation of any law under the commissioner’s jurisdiction or arising in the administration thereof.

Section 25607 specifies that neither the commissioner nor any of the commissioner’s assistants, clerks, or deputies can be interested as a director, officer, shareholder, member (other than a member of an organization formed for religious purposes), partner, agent, or employee of any person who, during the period of the official’s or employee’s association with the Department of Financial Protection and Innovation, was licensed or applied for license as a broker-dealer or investment adviser under this division, or applied for or secured the qualification of the sale of securities under this division.

Section 25608 requires the commissioner to charge and collect the fees fixed in law. All fees charged and collected must be transmitted to the Treasurer at least weekly, accompanied by a detailed statement and be credited to the Financial Protection Fund. Fees are specified for filing listed documents.

Section 5608.1 specifies fee for filing listed documents.

Section 25608.3 allows the commissioner to set any fee under specified sections at an amount below the maximum fee set forth in those sections. The commissioner sets the fee for the upcoming fiscal year on or about June 1 of each year. In carrying out this section, the commissioner reduces or suspends fees to achieve no more than a 25% fund balance in the State Corporations Fund.

Section 25609 provides that every final order, decision, license, or other official act of the commissioner is subject to judicial review in accordance with law.

Section 25610 authorizes the commissioner to make, amend and rescind rules, forms, and orders as are necessary to carry out the provisions of this law.

Section 25611 authorizes the commissioner to prepare and make available to interested persons lists of persons whose securities are qualified for trading purposes in this state, are exempt from qualification, or are not subject to qualification as the commissioner may determine to be necessary or desirable, and the commissioner may make reasonable charges for those lists to defray the expenses of preparation and dissemination.

Section 25612 provides that no rule, form or order may be made, amended, or rescinded unless the commissioner finds that the action is necessary or appropriate in the public interest or for the protection of investors and consistent with the purposes fairly intended by the policy and provisions of this law.

Section 25612.3 requires the commissioner to use six specified forms.

Section 25612.5 allows the commissioner to cooperate with the securities agencies or administrators of one or more states, Canadian provinces or territories, or other countries, the Securities and Exchange Commission, the Commodity Futures Trading Commission, the Securities Investor Protection Corporation, any self-regulatory organization, any national or international organization or securities officials or agencies, and any governmental law enforcement or regulatory agency.

Section 25613 allows the commissioner by rule or order prescribe three specified items.

Section 25614 provides that all rules of the commissioner are to be made, amended, or rescinded in accordance with the provisions of the Administrative Procedure Act.

Section 25615 states that a document is filed when it is received by the commissioner.

Section 25616 requires the commissioner to keep an index of all qualifications which are or have ever been effective, all denial, suspension, or revocation orders which have been entered and all permits and certificates which have been issued by him under this law.

Section 25617 states that, upon request and at such reasonable charges as he prescribes by rule, the commissioner is required to furnish to any person copies of any document which is retained as a matter of public record, with exceptions.

Section 25618 allows the commissioner to honor requests from interested persons for interpretive opinions.

Section 25619 authorizes the commissioner to destroy any applications, notices, orders, permits, and revoked or surrendered certificates, together with the files and folders, as useless or obsolete, four years after the date of filing or issuance, with the approval of the Department of General Services.

Section 25620 allows the commissioner by rule or order to prescribe circumstances under which to accept electronic records or electronic signatures. This section does not require the commissioner to accept electronic records or electronic signatures. The following terms are defined: “electronic record” and “electronic signature.”