Worcester Democrat and the ledger-enterprise. (Pocomoke City, Md.) 1921-1953, 1937-10-08
, PUBLIC GENERAL LAWS

gagged In the business referred to In the
last preceding section of this article
shall In any manner advertise or pub
lish or represent, for the purpose Of
selling stocks, bonds, notes, shares,
profit sharing agreements, service agree
ments, membership certificates and trus-
tee certificates, or other securities. that
he, they, or Il have filed with the At
torney General the registration state:
ment referred to In Section 10A, and
stocks, bonds, or other securities.
1OC: The provisions of Section 1OA
OF this Article shall not apply to any
person, firm or corporation selling or
Offering for sale stocks, bonds, notes,
shares, profit sharing agreements, serv-
Ice agreements, membership certificates
and trustee certificates, or other securi-
ties:
(a) AS trustee, executor, administra-
tor, or receiver; or
(b) Under the orders of any Court;
(c) Under the power given in any
instrument whereby such stocks, bonds,
notes, shares, profit sharing agreements,
cafes and trustee certificates, or other
securities have been pledged as security
for a debt.
Y. The Attorney General may, upon
evidence satisfactory to him, that in
the issue, sale, promotion, negotiation,
advertisement Of, or distribution Of any
stock' bonds, notes, shares, profit shar-
ing agreements, service agreements,
membership certificates and trustee GER
sincates, or other securities within the
ship or corporation is employing or is
ABOUT to employ any device, scheme or
artifice to defraud, or for obtaining
money or property by means Of any
raise or fraudulent pretense, representa-
ton, or promise, issue and cause to be
served upon such person, partnership
or corporation an order requiring the
party guilty thereof to cease and desist
therefrom, and from the further sale
or oftering for sale Of such securities
to the Attorney General that an fire.
parable public injury is imminent, I'M
less such order is issued before a full
investigation can be made pending such
INVESTIGATION, ne may issue such order,
but the same shall be accompanied with
a request for information as to the facts
relied on In issuing the order, and such
temporary order shall only remain in
force until such information is fur
nished and two days thereafter. Orders
ton may be served by any one duly
authorized by the Attorney General,
either (a) by delivering a copy thereof
to the person to be served; or to a men,
Der or the partnership to be served, or
to the president, vice-president, secre-
tary or other executive officer or direc-
tor Of the corporation to be served; or
lDl py leaving copy thereof at the
principal Office or place Of business Of
tiOn; or (c) by registering and mailing
q copy thereof, addressed to such per-
son, partnership or corporation at his
or Its principal Office or place Of bust.
ness. verified return by the person
so serving said order, setting forth the
manner of said service, shall be prlma
facie proof OF the same, and the return
post office receipt for said order regis
tered and mailed as aforesaid shall be
prima facie proof of the service Of the
same, as aforesaid.
IA. Any. person, partnership or cor.
poration violating the provisions of See.
lions 10A or lob hereof, or any person,
partnership or corporation having been
served with any order Of the Attorney
or having knowledge Of the issuance
Of said order and while said order re-
mains in effect, either as originally is
sued or as modified, who or which shall
scheme or device against which said
order has been issued, or wilfully at
tempts SO to do, or shall sell or deliver
or receive payment in money or prop
erty for any paper, certificate or in
strum ;a pGrporting to be or represent
bonds, notes, shares, profit sharing
agreements, service agreements, mem
bership certificates and trustee eertif-
Gates, or other securities mentioned in
said order of the Attorney General, or
shall publish or cause to be published
any advertisement of any such stocks,
bonds, notes, shares, profit sharing agree
ments, service agreements, membership
certificates and trustee certificates, or
other securities pursuant to said scheme
or device against which said order has
been issued, shall be guilty of a mis-
demeanor and, upon conviction, shall be
fined not more than ten thousand dol
lars ($10,000) or imprisoned not more
than two years, or be subject to both
fine and imprisonment, in the discre-
tion Of the Court. Wilful misrepresenta-
ton or concealment by any person,
firm or corporation, engaged In the bust
ness referred to in Section 10A, Of any
material fact in his or its registration
statement or in any application, report
or document submitted in connection
with his or its registration, shall subject
such person, firm or corporation to the
penalty provided by this section.
Sec. 2. And be 1t further enacted,
That this Act shall take effect June I,
1887.
Approved: May IS, 1887.