§ 7-14-1 - Forfeiture of charter and revocation of permit.
SECTION 7-14-1
§ 7-14-1 Forfeiture of charter andrevocation of permit. – The attorney general is authorized to institute civil proceedings in thesuperior court to forfeit the charter of any corporation organized under thelaws of this state and to revoke the permit authorizing any foreign corporationto carry on business in this state, when:
(1) Any of the corporate officers or any other personcontrolling the management or operation of the corporation, with the knowledgeof the president and a majority of the board of directors or under suchcircumstances wherein the president and a majority of the directors should haveknowledge, is a person engaged in organized gambling, organized traffic innarcotics, organized extortion, organized bribery, organized embezzlement, ororganized prostitution, or who is connected directly or indirectly withorganizations, syndicates or criminal societies engaging in those activities; or
(2) A director, officer, employee, agent, or stockholderacting for, through, or on behalf of the corporation has, in conducting thecorporation's affairs, purposely engaged in a persistent course of gambling,unlawful traffic in narcotics, extortion, embezzlement, intimidation andcoercion, bribery, prostitution, or other criminal conduct with the knowledgeof the president and a majority of the board of directors or undercircumstances where the president and a majority of the directors should haveknowledge, with the intent to compel or induce other persons, firms, andcorporations to deal with the corporation or to engage in any criminal conduct;and
(3) For the prevention of future illegal conduct of the samecharacter, the public interest requires the charter of the corporation to beforfeited and the corporation to be dissolved or the permit to be revoked.