Each financial institution holding company whose securities have been registered under this chapter and are held by 100 or more persons in this state shall distribute to the security holders not more than 120 days after the end of each fiscal year the annual financial statements prepared under s. 180.1620
. This subdivision does not apply to a financial institution holding company that has any securities registered under section 12 of the Securities Exchange Act of 1934 (15 USC 78l
If any financial statement is required of a financial institution holding company under this chapter, the financial institution holding company shall not be required to do any of the following:
Except as may be required under s. 180.1620
, have the financial statement prepared in accordance with generally accepted accounting principles.
Have the financial statement examined and reported upon or reviewed by or compiled by any certified public accountant.
(4) Interpretative opinions.
The administrator may provide interpretative opinions or issue determinations that the administrator will not institute a proceeding or an action under this chapter against a specified person for engaging in a specified act, practice, or course of business if the determination is consistent with this chapter. A rule adopted or order issued under this chapter may establish a reasonable charge for interpretative opinions or determinations that the administrator will not institute an action or a proceeding under this chapter.
(5) Effect of compliance.
A penalty under this chapter may not be imposed for, and liability does not arise from, conduct that is engaged in or omitted in good faith in conformity with a rule, form, or order of the administrator under this chapter.
(6) Presumption for public hearings.
A hearing in an administrative proceeding under this chapter must be conducted in public unless the administrator for good cause consistent with this chapter determines that the hearing will not be so conducted.
History: 2007 a. 196
; 2013 a. 36
Administrative files and opinions. 551.606(1)(1)
Public register of filings.
The administrator shall maintain, or designate a person to maintain, a register of applications for registration of securities; registration statements; notice filings; applications for registration of broker-dealers, agents, investment advisers, and investment adviser representatives; notice filings by federal covered investment advisers that are or have been effective under this chapter or the predecessor act; notices of claims of exemption from registration or notice filing requirements contained in a record; orders issued under this chapter or the predecessor act; and interpretative opinions or no action determinations issued under this chapter.
(2) Public availability.
The administrator shall make all rules, forms, interpretative opinions, and orders available to the public.
(3) Copies of public records.
The administrator shall furnish a copy of a record that is a public record or a certification that the public record does not exist to a person that so requests. A rule adopted under this chapter may establish a reasonable charge for furnishing the record or certification. A copy of the record certified or a certificate by the administrator of a record's nonexistence is prima facie evidence of a record or its nonexistence.
History: 2007 a. 196
Public records; confidentiality. 551.607(1)(1)
Presumption of public records.
Except as otherwise provided in sub. (2)
, records obtained by the administrator or filed under this chapter, including a record contained in or filed with a registration statement, application, notice filing, or report, are public records and are available for public examination.
(2) Nonpublic records.
The following records are not public records and are not available for public examination under sub. (1)
Information and records obtained by the administrator in connection with an audit or inspection under s. 551.411 (4)
or a pending investigation under s. 551.602
A part of a record filed in connection with a registration statement under ss. 551.301
or a record under s. 551.411 (4)
that contains trade secrets or confidential information if the person filing the registration statement or record has asserted a claim of confidentiality or privilege that is authorized by law.
A record that is not required to be provided to the administrator or filed under this chapter and is provided to the administrator only on the condition that the record will not be subject to public examination or disclosure.
Subject to s. 551.406 (6) (a)
, any social security number, residential address unless used as a business address, and residential telephone number unless used as a business telephone number, contained in a record that is filed.
A record obtained by the administrator through a designee of the administrator that a rule or order under this chapter determines has been appropriately expunged from the administrator's records by the designee.
(3) Administrator discretion to disclose.
If disclosure is for the purpose of a civil, administrative, or criminal investigation, action, or proceeding or to a person specified in s. 551.608 (1)
, the administrator may disclose a record or information obtained in connection with an audit or inspection under s. 551.411 (4)
or a record or information obtained in connection with a pending investigation under s. 551.602
History: 2007 a. 196
; 2013 a. 52
Uniformity and cooperation with other agencies. 551.608(1)(1)
Objective of uniformity.
The administrator shall, in its discretion, cooperate, coordinate, consult, and, subject to s. 551.607
, share records and information with the securities regulator of another state, Canada, a Canadian province or territory, a foreign jurisdiction, the Securities and Exchange Commission, the United States Department of Justice, the Commodity Futures Trading Commission, the Federal Trade Commission, the Securities Investor Protection Corporation, a self-regulatory organization, a national or international organization of securities regulators, a federal or state banking or insurance regulator, and a governmental law enforcement agency to effectuate greater uniformity in securities matters among the federal government, self-regulatory organizations, states, and foreign governments.
(2) Policies to consider.
In cooperating, coordinating, consulting, and sharing records and information under this section and in acting by rule, order, or waiver under this chapter, the administrator shall, in its discretion, take into consideration in carrying out the public interest the following general policies:
Maximizing effectiveness of regulation for the protection of investors.
Maximizing uniformity in federal and state regulatory standards.
Minimizing burdens on the business of capital formation, without adversely affecting essentials of investor protection.
(3) Subjects for cooperation.
The cooperation, coordination, consultation, and sharing of records and information authorized by this section includes:
Establishing or employing one or more designees as a central depository for registration and notice filings under this chapter and for records required or allowed to be maintained under this chapter.
Conducting a joint examination or investigation.
Instituting and prosecuting a joint civil or administrative proceeding.
Formulating rules, statements of policy, guidelines, forms, and interpretative opinions and releases.
Notifying the public of proposed rules, forms, statements of policy, and guidelines.
Attending conferences and other meetings among securities regulators, which may include representatives of governmental and private sector organizations involved in capital formation, deemed necessary or appropriate to promote or achieve uniformity.
Developing and maintaining a uniform exemption from registration for small issuers, and taking other steps to reduce the burden of raising investment capital by small businesses.
History: 2007 a. 196
A final order issued by the administrator under this chapter is subject to judicial review in accordance with ch. 227
, but administrative enforcement orders originally entered without hearing may be reviewed only if the party seeking review has requested a hearing within the time provided by s. 551.604 (2)
History: 2007 a. 196
Service of process. 551.611(1)(1)
Signed consent to service of process.
A consent to service of process complying with this section required by this chapter must be signed and filed in the form required by a rule or order under this chapter. A consent appointing the administrator the person's agent for service of process in a noncriminal action or proceeding against the person, or the person's successor or personal representative under this chapter or a rule adopted or order issued under this chapter after the consent is filed, has the same force and validity as if the service were made personally on the person filing the consent. A person that has filed a consent complying with this subsection in connection with a previous application for registration or notice filing need not file an additional consent.
(2) Conduct constituting appointment of agent for service.
If a person, including a nonresident of this state, engages in an act, practice, or course of business prohibited or made actionable by this chapter or a rule adopted or order issued under this chapter and the person has not filed a consent to service of process under sub. (1)
, the act, practice, or course of business constitutes the appointment of the administrator as the person's agent for service of process in a noncriminal action or proceeding against the person or the person's successor or personal representative.
(3) Procedure for service of process.
Service under sub. (1)
may be made by providing a copy of the process to the office of the administrator, but it is not effective unless all of the following apply:
The plaintiff, which may be the administrator, promptly sends notice of the service and a copy of the process, return receipt requested, to the defendant or respondent at the address set forth in the consent to service of process or, if a consent to service of process has not been filed, at the last known address, or takes other reasonable steps to give notice.
The plaintiff files an affidavit of compliance with this subsection in the action or proceeding on or before the return day of the process, if any, or within the time that the court, or the administrator in a proceeding before the administrator, allows.
(4) Service in administrative proceedings or civil actions by administrator.
Service pursuant to sub. (3)
may be used in a proceeding before the administrator or by the administrator in a civil action in which the administrator is the moving party.
(5) Opportunity to defend.
If process is served under sub. (3)
, the court, or the administrator in a proceeding before the administrator, shall order continuances as are necessary or appropriate to afford the defendant or respondent reasonable opportunity to defend.
History: 2007 a. 196
(3) Offers in this state.
For the purpose of this section, an offer to sell or to purchase a security is made in this state, whether or not either party is then present in this state, if the offer meets any of the following criteria:
The offer is directed by the offeror to a place in this state and received at the place to which it is directed, but for purposes of s. 551.301
, an offer to sell which is not directed to or received by the offeree in this state is not made in this state.
(4) Acceptances in this state.
For the purpose of this section, an offer to purchase or to sell is accepted in this state, whether or not either party is then present in this state, if the acceptance meets all of the following criteria:
The acceptance is communicated to the offeror in this state and the offeree reasonably believes the offeror to be present in this state and the acceptance is received at the place in this state to which it is directed.
The acceptance has not previously been communicated to the offeror, orally or in a record, outside this state.
(5) Publications, radio, television, or electronic communications.
An offer to sell or to purchase is not made in this state when a publisher circulates or there is circulated on the publisher's behalf in this state a bona fide newspaper or other publication of general, regular, and paid circulation that is not published in this state, or that is published in this state but has had more than two-thirds of its circulation outside this state during the previous 12 months, or when a radio or television program or other electronic communication originating outside this state is received in this state. A radio or television program or other electronic communication is considered as having originated in this state if either the broadcast studio or the originating source of transmission is located in this state, unless any of the following apply:
The program or communication is syndicated and distributed from outside this state for redistribution to the general public in this state.
The program or communication is supplied by a radio, television, or other electronic network with the electronic signal originating from outside this state for redistribution to the general public in this state.
The program or communication is an electronic communication that originates outside this state and is captured for redistribution to the general public in this state by a community antenna or cable, radio, cable television, or other electronic system.
The program or communication consists of an electronic communication that originates in this state, but which is not intended for distribution to the general public in this state.
(6) Investment advice and misrepresentations.
Sections 551.403 (1)
, 551.404 (1)
, 551.405 (1)
, and 551.506
apply to a person if the person engages in an act, practice, or course of business instrumental in effecting prohibited or actionable conduct in this state, whether or not either party is then present in this state.
History: 2007 a. 196
; 2009 a. 180
Section 551.66, regarding the scope of the chapter, focuses on locus of certain actions, regardless of either party's presence. Feitler v. Midas Associates, 418 F. Supp. 735
The above annotations refer to ch. 551 as it existed prior to its repeal and recreation by 2007 Wis. Act 196
Registration and notice filing fees and reporting. 551.614(1)(a)
There shall be a filing fee of $1,500 for every registration statement filed under s. 551.303
, and for every notice filing under s. 551.302
. If a registration statement is denied or withdrawn before the effective date or a pre-effective stop order is entered under s. 551.306
, or a notice filing is withdrawn, the filing fee shall be retained.
An indefinite amount of securities shall be registered for offer and sale in this state under a registration statement relating to redeemable securities issued by an open-end management company or a face amount certificate company, as defined in the Investment Company Act of 1940, and the applicant shall pay the fee under par. (a)
. The registrant also shall, within 60 days after the end of each fiscal year during which its registration statement is effective and within 60 days after the registration is terminated, file a report on a form prescribed by rule of the division. The form shall require the registrant to do one of the following:
Report the amount of securities sold to persons in this state during the preceding fiscal year or, if the registration is terminated, during the portion of the preceding fiscal year during which the registration was effective, and pay a fee of 0.05 percent of the dollar amount of the securities sold to persons in this state, but not less than $750 nor more than $15,000.
An indefinite amount of securities is eligible for offer and sale in this state resulting from a notice filing under s. 551.302
for the initial offer of a federal covered security under section 18 (b) (2) of the Securities Act of 1933, if the filing party has notified the division of securities of the issuer's fiscal year, and the filing party pays the fee under par. (a)
. The filing party shall also, within 90 days after the end of each fiscal year following the filing under s. 551.302
, and within 90 days after sales in this state have terminated, file a report to allow the division of securities to determine that the amount of the fee paid is correct. The report shall be on a form prescribed by rule of the division and shall require the filing party to do one of the following:
Report the amount of securities sold to persons in this state during the preceding fiscal year or, if sales have terminated, during the portion of the preceding fiscal year during which sales were made, and pay a fee of 0.05 percent of the dollar amount of the securities sold to persons in this state, but not less than $750 nor more than $15,000.
(1m) Filing fees relating to certain registration exemptions.
There shall be a nonrefundable filing fee of $50 for every notice of claim of exemption filed under s. 551.202 (26) (f) 1.
, a nonrefundable filing fee of $50 for every notice provided under s. 551.202 (27) (h)
, and a nonrefundable filing fee of $100 for every statement filed under s. 551.205 (1) (b) 1.
(2) Fees related to broker-dealers, agents, investment advisers, investment adviser representatives, and federal covered advisers.
Every applicant for an initial or renewal license under s. 551.401
, or 551.404
shall pay a filing fee of $200 in the case of a broker-dealer or investment adviser and $80 in the case of an agent representing a broker-dealer or issuer or an investment adviser representative, except that, in the case of an agent representing a broker-dealer or issuer or an investment adviser representative, no fee is required for an individual who is eligible for the veterans fee waiver program under s. 45.44
. Every federal covered adviser in this state that is required to make a notice filing under s. 551.405
shall pay an initial or renewal notice filing fee of $200. A broker-dealer, investment adviser, or federal covered adviser maintaining a branch office within this state shall pay an additional filing fee of $80 for each branch office. When an application is denied, or an application or a notice filing is withdrawn, the filing fee shall be retained.
(3) Examination expenses.
The expenses reasonably attributable to the examination of any matter arising under this chapter shall be charged to the applicant, registrant, or licensee involved, but the expenses so charged shall not exceed such maximum amounts as the division of securities by rule prescribes.
(4) Other fees.
The division of securities may by rule require the payment of prescribed fees for delinquent or materially deficient filings of information or documents required under this chapter to be filed with the division or an organization designated under s. 551.406 (1) (intro.)