Utah Admin. Code R164-101-1 - Application and Award Procedures

(A) Authority and Purpose

(1) The Division enacts this rule under authority granted by Sections 61-1-24, -103 and -107.

(2) This rule describes the procedures for filing an application for an award under the Securities Fraud Reporting Program Act and procedures for the making or denial of such award.

(B) Definitions

(1) "Act" means the Utah Uniform Securities Act, Utah Code Ann. Section 61-1-1 et seq.

(2) "Application" means the form designated by the Division through which an individual ("reporter") may report violations of the Act in accordance with Section 61-1-103.

(3) "Award" means a payment authorized by the Utah Securities Commission ("Commission") as described in Section 61-1-106.

(4) "Reporter" means an individual who provides original information relating to a violation in accordance with Section 61-1-103.

(C) Application Requirements

(1) To be considered for an award, a reporter shall submit to the Division an application containing the information set forth in Section 61-1-103 and any other information required by the Division.

(D) Award Procedures

(1) At the conclusion of an action that meets the criteria of Subsection 61-1-106(1) and Section 61- 1-107, and in consideration of the criteria set forth in Subsection 61-1-106(3), the Commission may make an award to one or more reporters.

(2) Prior to making an award, the Commission shall confirm the reporter meets the requirements of Section 61-1-103. In determining whether the reporter meets such requirements, the Commission may request any relevant information from the Division or from the reporter.

(3) Upon making an award, the Commission shall enter an order that payment be made from the Securities Investor Education, Training, and Enforcement Fund. The Division shall make payment to the reporter in compliance with Section 61-1-18.7.

(4) If the Commission denies an award, the Commission shall enter an order denying the award. A person aggrieved by such order may appeal the denial as set forth in Subsection 61-1-107(4)(b).

(5) A majority of the Commission shall constitute a quorum for making or denying an award.

(6) The Commission shall make or deny an award within one hundred and twenty (120) days following the payment of a monetary sanction in excess of $50,000 in an action described in Subsection (D)(1).

Notes

Utah Admin. Code R164-101-1