N.Y. GBS Law § 351 — New York Code / Act GBS / Article 23 / Section 351
Acts prohibited; penalty for violation
Status: in_force

§ 351. Acts prohibited; penalty for violation. Any person,\ncopartnership, firm, association or corporation, whether acting in his,\ntheir or its own right or as the officer, agent, servant, correspondent\nor representative of another, who shall: 1. Make or offer to make, or\nassist in making or offering to make any contract respecting the\npurchase or sale, either upon credit or margin, of any securities or\ncommodities, including all evidences of debt or property and options for\nthe purchase thereof, shares in any corporation or association, bonds,\ncoupons, scrip, rights, choses in action and other evidences of debt or\nproperty and options for the purchase thereof or anything movable that\nis bought and sold, intending that such contract shall be terminated,\nclosed or settled according to, or upon the basis of the public market\nquotations of or prices made on any board of trade or exchange or market\nupon which such commodities or securities are dealt in, and without\nintending a bona fide purchase or sale of the same; or,\n  2. Makes or offers to make or assists in making or offering to make\nany contract respecting the purchase or sale, either upon credit or\nmargin, of any such securities or commodities intending that such\ncontract shall be deemed terminated, closed and settled when such market\nquotations of or such prices for such securities or commodities named in\nsuch contract shall reach a certain figure, without intending a bona\nfide purchase or sale of the same; or,\n  3. Makes or offers to make, or assists in making or offering to make\nany contract respecting the purchase or sale, either upon credit or\nmargin of any such securities or commodities, not intending the actual\nbona fide receipt or delivery of any such securities or commodities, but\nintending a settlement of such contract based upon the difference in\nsuch public market quotations of or such prices at which said securities\nor commodities are, or are asserted to be, bought or sold; or,\n  4. Shall, as owner, keeper, proprietor or person in charge of, or as\nofficer, director, stockholder, agent, servant, correspondent or\nrepresentative of such owner, keeper, proprietor or person in charge of,\nor as officer, director, stockholder, agent, servant, correspondent, or\nrepresentative of such owner, keeper, proprietor or person in charge, or\nof any other person, keep, conduct or operate any bucket shop, as\nhereinafter defined; or knowingly permit or allow or induce any person,\ncopartnership, firm, association or corporation whether acting in his,\ntheir or its own right, or as the officer, agent, servant, correspondent\nor representative of another to make or offer to make therein, or to\nassist in making therein, or in offering to make therein, any of the\ncontracts specified in any of the three preceding subdivisions of this\nsection.\n  Shall be guilty of a felony.  The prosecution, conviction and\npunishment of a corporation hereunder shall not be deemed to be a\nprosecution, conviction or punishment of any of its officers, directors\nor stockholders.\n