Authority: IC 23-19-6-5
Affected: IC 23-19-4-1; IC 23-19-4-11
Sec. 4.
(a) For every
broker-dealer registered under IC 23-19-4, the following are the requirements
for filing reports:
(1) Every broker-dealer
subject to this rule shall prepare and submit to the securities division upon
request reports of financial condition containing the information required:
(A) as of a date within sixty (60) days of
the date of filing an application for a license as a broker-dealer;
and
(B) annually as of the close of
the broker-dealer fiscal year.
(2) The annual reports shall be prepared not
more than sixty (60) days after the date as of which the firm's financial
condition is reported. If the applicant or licensee is registered with the
Securities and Exchange Commission as a brokerdealer, the reports of financial
condition as filed with the agency shall be deemed to be in compliance
herewith.
(b) Each
report of financial condition prepared under subsection (a) shall be prepared
in accordance with the following requirements:
(1) The report of a broker-dealer shall be
certified by a certified public accountant or a public accountant who in fact
shall be independent, except a report prepared under subsection (a)(2) that is
not required to be certified under the rules of the Securities and Exchange
Commission.
(2) Attached to the
report shall be an oath or affirmation.
(A)
This oath of affirmation shall demonstrate that:
(i) to the best knowledge and belief of the
person making the oath or affirmation, the financial statement and supporting
schedules are true and correct; and
(ii) neither the broker-dealer nor any:
(AA) partner;
(BB) officer; or
(CC) director;
as the case may be;
has any proprietary interest in any account classified solely
as that of a customer.
(B) This oath or affirmation shall be made
before a person duly authorized to administer the oaths or
affirmations.
(C) If the
broker-dealer is a:
(i) sole proprietorship,
the oath or affirmation shall be made by the proprietor;
(ii) partnership, it shall be made by a
general partner; and
(iii)
corporation, it shall be made by a duly authorized officer.
(3) If statements of
financial condition furnished pursuant to the requirements of broker-dealer
reports are bound separately from the balance of the report and are deemed
confidential under Rule 17a-5 under the Securities Exchange Act of 1934
(17 CFR
240.17a-5) , they shall be deemed
confidential, except that they shall be available for official use by:
(A) any official or employee of the United
States or any state;
(B) national
securities exchanges and national securities associations of which the person
preparing the report is a member; and
(C) any other person to whom the commissioner
authorizes disclosure of the information as being in the public interest.
Nothing contained in this subdivision shall be deemed to
limit the rules of any national securities association or national securities
exchange that gives to customers of a broker-dealer the right, upon request to
the broker-dealer, to obtain information relative to its financial
condition.
(c) The requirements for the use of certain
statements filed with the Securities and Exchange Commission and national
securities exchanges are as follows:
(1) Any
broker-dealer who is subject to the provisions of subsection (a) may prepare in
lieu of the report required by that subsection a copy of any financial
statements that he or she is, or has been, required to file with any national
securities exchange of which he or she is a member, provided that the financial
statements reflect the financial condition as of a date not more than sixty
(60) days prior to the date required in subsection (a) by the division, and the
report as filed with the division meets the requirements of this rule and
contains the information called for by it.
(2) At the request of any broker-dealer who
is an investment company registered under the Investment Company Act of 1940,
or a sponsor or depositor of a registered investment company who effects
transactions in securities only with, or on behalf of, the registered
investment company, the commissioner shall accept any statement of his or her
financial condition filed pursuant to Sections 13 or 15(d) of the Securities
Exchange Act of 1934 (15
U.S.C.
78m or
78o(d)) or
Section 30 of the Investment Company Act of 1940 (15 U.S.C.
80a-
29) and the rules and regulations
promulgated by the commissioner.
(d) In the event any broker-dealer finds that he or she cannot
prepare his or her report for any year within the time specified in subsection
(a) or (c) without undue hardship, he or she may file with the division an
application for an extension of time to a specified date, which shall not be
more than ninety (90) days after the date as of which his or her financial
condition is reported. The application shall:
(1) state the reasons for the requested
extension; and
(2) contain an
agreement to prepare the report on or before the specified date.