Section 356-A:7 Inquiry and Examination.
I. Upon receipt of an application for registration in proper form, the attorney general shall forthwith initiate such examination as he shall deem necessary to determine:
(a) That the subdivider can convey or can reasonably be expected to be able to convey or cause to be conveyed the interest in subdivided lands offered for disposition if the purchaser complies with the terms of the offer and, when appropriate, that release clauses, conveyances in trust or other safeguards have been provided;
(b) That there is reasonable assurance that all proposed improvements will be completed as represented;
(c) That the general promotional plan is not false or misleading and complies with the standards prescribed by the attorney general in his rules and affords full and fair disclosure;
(d) Whether the subdivider has not, or if a corporation its officers, directors, and principals have not, been convicted of a crime involving land dispositions or any aspects of the land sales business or any other felony in this state, the United States, or any other state or foreign country within the past 10 years and has not been subject to any injunction or administrative order within the past 10 years restraining a false or misleading promotional plan involving land dispositions;
(e) That the public offering statement requirements of this chapter have been satisfied.
II. All reasonable expenses incurred by the attorney general in carrying out the examination required by paragraph I shall be paid by the subdivider and no order registering the subdivided lands shall be entered until such expenses have been fully paid.
Source. 1970, 55:1. 1977, 469:16. 1985, 300:7, I(b).