§ 7-11-601 - Investigations – Subpoena power.
SECTION 7-11-601
§ 7-11-601 Investigations – Subpoenapower. – (a) The director may make any investigation, within or without this state, asthe director finds necessary to determine whether a person has violated, or isabout to violate, this chapter or a rule or order of the director under thischapter or to aid in enforcement of this chapter.
(b) Except as provided in § 7-11-703(c), the directormay publish information concerning a violation of this chapter or a rule ororder of the director under this chapter or concerning types of securities oracts or practices in the offer, sale, or purchase of types of securities whichmay operate as a fraud or deceit.
(c) For purposes of an investigation or proceeding under thischapter, the director or an officer or employee designated by the director mayby rule or order administer oaths and affirmations, subpoena witnesses, compeltheir attendance, take evidence, and require the production, by subpoena orotherwise, of books, papers, correspondence, memoranda, agreements, otherdocuments, and records which the director determines to be relevant andmaterial to the investigation or proceeding.
(2) The director may require or permit a person to file astatement, under oath or otherwise as the director determines, as to the factsand circumstances concerning the matter to be investigated.
(3) The director may issue and apply to enforce subpoena inthis state at the request of a securities agency or administrator of anotherstate if the activities constituting an alleged violation for which theinformation is sought would be in a violation of this chapter if the activitieshad occurred in this state.
(d) If a person does not testify or produce the documentsrequired by the director or a designated officer or employee pursuant tosubpoena, the director or designated employee may apply to the court for anorder compelling compliance.
(e) A request for an order of compliance may be addressed toeither:
(1) The superior court if the person is subject to a serviceof process in this state; or
(2) A court of another state able to assert jurisdiction overthe person refusing to testify or produce, if the person is not subject toservice of process in this state.
(f) Not later than the time the director requests an orderfor compliance, the director shall either send notice of the request byregistered or certified mail, return receipt requested, to the respondent atthe last known address or take other steps which are reasonably calculated togive the respondent actual notice.