reglab/statecodes huggingface dataset:
South Carolina Code of Regulations › Chapter 13 - ATTORNEY GENERAL › Article 2 - SECURITIES › Subarticle 4 - BROKER-DEALERS, AGENTS, INVESTMENT ADVISERS, INVESTMENT ADVISER REPRESENTATIVES, AND FEDERAL COVERED INVESTMENT ADVISERS › Section 13-401 - Examinations for Securities Agents, Investment Advisers, and Investment Adviser Representatives

Current through Register Vol. 48, No. 6, June 28, 2024
A.
				Examinations for securities agents. A passing grade on an examination
				appropriate based upon the type of securities being sold, and the Uniform
				Securities Agent State Law Examination (Series 63) or the Uniform Combined
				State Law Exam (Series 66) or such other examination as may be designated by
				the Securities Commissioner by rule or order, must be furnished, as proof, in
				any application for registration as a principal of a broker-dealer or
				registration as an agent. No person who has passed the designated examinations
				shall again be required to pass another examination unless for a period of
				twenty-four (24) or more consecutive months immediately preceding the date of
				filing of the application he shall not have been registered as an agent, or as
				a principal, officer or director of a broker-dealer. An upgrading in the type
				of business being conducted by the agent or broker-dealer may require the
				passing of a new examination.
B.
				Examinations for investment advisers. As a condition of initial or renewal
				registration, every applicant for registration as an investment adviser, an
				investment adviser representative, or as a broker-dealer acting or proposing to
				act as an investment adviser, shall furnish the Securities Commissioner proof
				that he or she has obtained a passing score on the following examinations:
(1) The Uniform Investment Adviser Law
				Examination (Series 65);
(2) The
				General Securities Representative Examination (Series 7) and the Uniform
				Combined State Law Examination (Series 66); or
(3) Such other examination as may be
				designated by the Securities Commissioner by rule or order.
South Carolina Code of Regulations › Chapter 13 - ATTORNEY GENERAL › Article 2 - SECURITIES › Subarticle 4 - BROKER-DEALERS, AGENTS, INVESTMENT ADVISERS, INVESTMENT ADVISER REPRESENTATIVES, AND FEDERAL COVERED INVESTMENT ADVISERS › Section 13-402 - Exemptions for Certain Canadian Broker-Dealers

Current through Register Vol. 48, No. 6, June 28, 2024
A. A broker-dealer that is registered in
				Canada and that does not have a place of business in this State shall be exempt
				from the registration requirements of Section
				35-1-401
				of the South Carolina Uniform Securities Act of 2005 so long is it complies
				with the following conditions:
(1) It only
				effects or attempts to effect transactions in securities with or for, or by:
(a) an individual from Canada who is
				temporarily present in this State and with whom the broker-dealer had a bona
				fide customer relationship before the individual entered the United States;
				or
(b) an individual from Canada
				who is present in this State and whose transactions are in a self-directed tax
				advantaged retirement plan of which the individual is the holder or
				contributor.
(c) With or for a
				person from Canada who is present in this state, whose transactions are in a
				self-directed tax advantaged retirement plan in Canada of which the person is
				the holder or contributor; and,
South Carolina Code of Regulations › Chapter 13 - ATTORNEY GENERAL › Article 2 - SECURITIES › Subarticle 4 - BROKER-DEALERS, AGENTS, INVESTMENT ADVISERS, INVESTMENT ADVISER REPRESENTATIVES, AND FEDERAL COVERED INVESTMENT ADVISERS › Section 13-403 - Broker-Dealer, Agent, Investment Adviser, and Investment Adviser Representative Registrations, Terminations, and Brochure Delivery

Current through Register Vol. 48, No. 6, June 28, 2024
A. Investment Advisers.
(1) Initial Registration: The application for
				initial registration as an investment adviser pursuant to Sections
				35-1-403(a)
				and
				35-1-406(a)
				of the Act shall be made by completing the Form ADV (Uniform Application for
				Investment Adviser Registration) Parts 1 and 2 in accordance with the form
				instructions, and by filing the form electronically with the Investment Adviser
				Registration Depository (IARD) system. The application for initial registration
				shall also include the following:
(a) A
				consent to service of process complying with R.13-603;
(b) Proof of compliance by the investment
				adviser with the examination requirements of R.13-401;
(c) The fee required by Section
				35-1-702
				of the Act;
(d) The fees charged by
				the IARD or other designee of the Securities Commissioner for processing the
				filing;
(e) The proposed client
				contract(s) that complies with R.13-502A(16),
				which shall be filed directly with the Securities Commissioner;
(f) a balance sheet and an income statement
				as of a date within forty-five days from the date of filing of the application,
				which need not be audited, but which must be prepared in accordance with
				generally accepted accounting principles in the United States, or such other
				basis of accounting acceptable to the Securities Commissioner, and represented
				by the investment adviser as true and accurate using a form of verification
				acceptable to the Securities Commissioner, which shall be filed directly with
				the Securities Commissioner;
(g)
				Proof of compliance, if applicable, with the minimum financial bonding
				requirements of R.13-405,
				which shall be filed directly with the Securities Commissioner; and
(h) Any other information the Securities
				Commissioner may reasonably require.
South Carolina Code of Regulations › Chapter 13 - ATTORNEY GENERAL › Article 2 - SECURITIES › Subarticle 4 - BROKER-DEALERS, AGENTS, INVESTMENT ADVISERS, INVESTMENT ADVISER REPRESENTATIVES, AND FEDERAL COVERED INVESTMENT ADVISERS › Section 13-404 - Criminal Record Requirement for Agents and Investment Adviser Representatives

Current through Register Vol. 48, No. 6, June 28, 2024
Pursuant to Section
				  35-1-406(a)(2),
				  every person applying for registration as an agent or investment adviser
				  representative in this State must request the South Carolina Law Enforcement
				  Division to submit directly to the Securities Commissioner a criminal record
				  history. This requirement is waived for FINRA registered broker-dealer
				  agents.
South Carolina Code of Regulations › Chapter 13 - ATTORNEY GENERAL › Article 2 - SECURITIES › Subarticle 4 - BROKER-DEALERS, AGENTS, INVESTMENT ADVISERS, INVESTMENT ADVISER REPRESENTATIVES, AND FEDERAL COVERED INVESTMENT ADVISERS › Section 13-405 - Broker-Dealer Recordkeeping, Minimum Financial Reporting and Bonding Requirements

Current through Register Vol. 48, No. 6, June 28, 2024
A.
				Broker-Dealer Recordkeeping Requirements.
(1)
				Unless otherwise provided by order of the United States Securities and Exchange
				Commission ("SEC"), each broker-dealer registered or required to be registered
				under the South Carolina Uniform Securities Act of 2005 shall make, maintain
				and preserve books and records in compliance with SEC Rules 17a-3 ( 17C.F.R.
				240.17 a- 3(1996) ), 17a-4 ( 17 C.F.R. 240.17 a- 4(1996) ), 15c2-6 ( 17 C.F.R.
				240.15 c 2 - 6(1996) ) and 15c2-11 ( 17 C.F.R. 240.15 c 2 - 11(1996)
				).
(2) To the extent that the SEC
				promulgates changes to the above-referenced rules, broker-dealers in compliance
				with such rules as amended shall not be subject to enforcement action by the
				Securities Commissioner for violation of this rule to the extent that the
				violation results solely from the broker-dealer's compliance with the amended
				rule.
South Carolina Code of Regulations › Chapter 13 - ATTORNEY GENERAL › Article 2 - SECURITIES › Subarticle 4 - BROKER-DEALERS, AGENTS, INVESTMENT ADVISERS, INVESTMENT ADVISER REPRESENTATIVES, AND FEDERAL COVERED INVESTMENT ADVISERS › Section 13-406 - Investment Adviser Minimum Capital and Bonding Requirements

Current through Register Vol. 48, No. 6, June 28, 2024
A. Minimum
				financial requirements for investment advisers.
Unless an investment adviser posts a bond pursuant to
				  35-1-411(e) and Section B below an investment adviser registered or required to
				  be registered pursuant to the South Carolina Uniform Securities Act of 2005 who
				  has custody of client funds or securities shall maintain at all times a minimum
				  net worth of fifty thousand ($50,000.00) dollars, and every investment adviser
				  registered or required to be registered under the South Carolina Uniform
				  Securities Act of 2005 who has discretionary authority over client funds or
				  securities but does not have custody of client funds or securities, shall
				  maintain at all times a minimum net worth of thirty five thousand ($35,000.00)
				  dollars. Should net worth fall below those levels after an investment adviser
				  is registered, notice must be given to the Securities Commissioner by the close
				  of business the next day. Investment activities also must cease until net worth
				  is restored to the required levels. The term "net worth" is the excess of
				  assets over liabilities as determined by generally accepted accounting
				  principles, less the following:
(1)
				Deferred charges, goodwill, franchise rights, organizational expenses, patents,
				copyrights, marketing rights, unamortized debt discounts and expenses, and all
				other assets of an intangible nature;
(2) Homes, home furnishings, automobiles,
				personal items not readily marketable, advances or loans to a related party,
				and assets owned or the portion of assets partially owned by another person
				(e.g., a spouse, if the asset is jointly owned), if net worth is being
				determined for an individual; and
(3) Advances or loans to stockholders and
				officers in the case of a corporation; advances or loans to members and
				managers in the case of a limited liability company; advances or loans to
				partners in the case of a partnership; and similar advances and
				loans.
South Carolina Code of Regulations › Chapter 13 - ATTORNEY GENERAL › Article 2 - SECURITIES › Subarticle 4 - BROKER-DEALERS, AGENTS, INVESTMENT ADVISERS, INVESTMENT ADVISER REPRESENTATIVES, AND FEDERAL COVERED INVESTMENT ADVISERS › Section 13-407 - Cash or Security Deposits in Lieu of Surety Bond

Current through Register Vol. 48, No. 6, June 28, 2024
A deposit of cash or securities in lieu of the surety bond
				  required by Rule
				  13-406
				  shall be considered appropriate within the intent and meaning of such section
				  and shall be accepted by the Securities Commissioner under the following terms
				  and conditions:
(1) With respect to a
				deposit of securities, that the securities be general obligations of, and be
				guaranteed both as to principal and interest by, the United States, any state
				or any political subdivision of a state, provided that such obligation
				currently be rated A or better in a Standard & Poor's Corporation Record or
				a Mergent's Manual, and provided further that the securities on the day of
				deposit have a net realizable market value of at least one hundred twenty-five
				percent (125%) of the penal sum of the bond required of the
				depositor;
(2) With respect to a
				deposit of cash, that the amount of the cash be at least equal to the amount of
				the bond otherwise required of the depositor;
(3) That as a condition of any renewal of
				registration by means of an in lieu deposit, cash so deposited be at least
				equal to the amount of the bond otherwise required of the depositor upon the
				renewal date and, for securities, the net realizable market value of securities
				so deposited be at least one hundred twenty-five percent (125%) of such sum on
				the renewal date;
(4) That the cash
				or securities shall be deposited in a bank located in South Carolina and
				organized under the laws of the United States or of the State of South
				Carolina;
(5) That the cash or
				securities so deposited shall be under the control of the Securities
				Commissioner and shall be for the use and benefit of any person damaged by any
				violation of the provisions of the South Carolina Uniform Securities Act of
				2005, or other state securities act as the Securities Commissioner may in his
				discretion allow, by the depositor or his agent; and
(6) That the cash or securities so deposited
				shall remain on deposit and under the control of the Securities Commissioner
				for a period of three (3) years following termination of registration of the
				depositor. Any cash or securities then remaining, including any accumulated
				interest, shall be released to the depositor upon written request to, and then
				order of, the Securities Commissioner.
South Carolina Code of Regulations › Chapter 13 - ATTORNEY GENERAL › Article 2 - SECURITIES › Subarticle 4 - BROKER-DEALERS, AGENTS, INVESTMENT ADVISERS, INVESTMENT ADVISER REPRESENTATIVES, AND FEDERAL COVERED INVESTMENT ADVISERS › Section 13-409 - Sole Proprietor Investment Advisers

Current through Register Vol. 48, No. 6, June 28, 2024
An individual acting as a sole proprietor who meets the
				  definitions of investment adviser in Section
				  35-1-102(15)
				  of the Act, and investment adviser representative in Section
				  35-1-102(16)
				  of the Act, must register in South Carolina as both an investment adviser and
				  an investment adviser representative.
South Carolina Code of Regulations › Chapter 13 - ATTORNEY GENERAL › Article 2 - SECURITIES › Subarticle 4 - BROKER-DEALERS, AGENTS, INVESTMENT ADVISERS, INVESTMENT ADVISER REPRESENTATIVES, AND FEDERAL COVERED INVESTMENT ADVISERS › Section 13-410 - Investment Adviser Representatives Registered with Multiple Investment Advisers

Current through Register Vol. 48, No. 6, June 28, 2024
A. An individual
				may apply to be registered as an investment adviser representative for more
				than one investment adviser or federal covered investment adviser by the filing
				of a separate Form U-4 application through the CRD by each investment adviser
				or federal covered investment adviser, and the payment of separate application
				fees as required through the CRD. By having multiple registration applications
				submitted on his or her behalf, the investment adviser representative
				affirmatively represents that he or she will make all disclosures to his or her
				clients and the affected investment adviser or federal covered investment
				adviser regarding potential conflicts of interests.
B. Each investment adviser or federal covered
				investment adviser that employs a multiple registered investment adviser
				representative shall comply with the requirements of the CRD and IARD regarding
				the multiple registrations of the investment adviser representative.
C. The Securities Commissioner may deny the
				multiple registration applications if he determines that it is not in the best
				interests of the public.
South Carolina Code of Regulations › Chapter 13 - ATTORNEY GENERAL › Article 2 - SECURITIES › Subarticle 4 - BROKER-DEALERS, AGENTS, INVESTMENT ADVISERS, INVESTMENT ADVISER REPRESENTATIVES, AND FEDERAL COVERED INVESTMENT ADVISERS › Section 13-411 - The Use of Senior-Specific Certifications and Professional Designations

Current through Register Vol. 48, No. 6, June 28, 2024
A. The use of
				senior-specific certification or designation by any person in connection with
				the offer, sale, or purchase of securities, or the provision of advice as to
				the value or the advisability of investing in, purchasing, or selling
				securities, either directly or indirectly or through publications or writings,
				or by issuing or promulgating analyses or reports relating to securities, that
				indicates or implies that the user has special certification or training in
				advising or servicing senior citizens or retirees, in such a way as to mislead
				any person, shall be a dishonest and unethical practice. The prohibited use of
				such certifications or professional designations includes, but is not limited
				to, the following:
(1) use of a certification
				or professional designation by a person who has not actually earned or is
				otherwise ineligible to use such certification or designation;
(2) use of a nonexistent or self-conferred
				certification or professional designation;
(3) use of a certification or professional
				designation that indicates or implies a level of occupational qualification
				obtained through education, training, or experience that the person using the
				certification or professional designation does not have; or
(4) use of a certification or professional
				designation that was obtained from a designating or certifying organization
				that:
(a) is primarily engaged in the business
				of instruction in sales and/or marketing;
(b) does not have reasonable standards or
				procedures for assuring the competency of its designees or
				certificants;
(c) does not have
				reasonable standards or procedures for monitoring and disciplining its
				designees or certificants for improper or unethical conduct; or
(d) does not have reasonable continuing
				education requirements for its designees or certificants in order to maintain
				the designation or certificate.
South Carolina Code of Regulations › Chapter 13 - ATTORNEY GENERAL › Article 2 - SECURITIES › Subarticle 4 - BROKER-DEALERS, AGENTS, INVESTMENT ADVISERS, INVESTMENT ADVISER REPRESENTATIVES, AND FEDERAL COVERED INVESTMENT ADVISERS › Section 13-412 - Fees

Current through Register Vol. 48, No. 6, June 28, 2024
Every applicant applying for registration as an agent of the
				  issuer shall pay the below specified, non-refundable fees:
A. Agent of the Issuer (initial filing fee):
				One hundred ten dollars;
B. Agent
				of the Issuer (renewal): One hundred ten dollars.
South Carolina Code of Regulations › Chapter 13 - ATTORNEY GENERAL › Article 2 - SECURITIES › Subarticle 4 - BROKER-DEALERS, AGENTS, INVESTMENT ADVISERS, INVESTMENT ADVISER REPRESENTATIVES, AND FEDERAL COVERED INVESTMENT ADVISERS › Section 13-413 - Investment Adviser Information Security and Privacy

Current through Register Vol. 48, No. 6, June 28, 2024
A. Every investment adviser registered or
				required to be registered shall establish, implement, update, and enforce
				written physical security and cybersecurity policies and procedures reasonably
				designed to ensure the confidentiality, integrity, and availability of physical
				and electronic records and information. The policies and procedures must be
				tailored to the investment adviser's business model, taking into account the
				size of the firm, type(s) of services provided, and the number of locations of
				the investment adviser.
B. The
				physical security and cybersecurity policies and procedures must:
(1) Protect against reasonably anticipated
				threats or hazards to the security or integrity of client records and
				information;
(2) Ensure that the
				investment adviser safeguards confidential client records and information;
				and
(3) Protect any records and
				information the release of which could result in harm or inconvenience to any
				client.
South Carolina Code of Regulations › Chapter 13 - ATTORNEY GENERAL › Article 2 - SECURITIES › Subarticle 4 - BROKER-DEALERS, AGENTS, INVESTMENT ADVISERS, INVESTMENT ADVISER REPRESENTATIVES, AND FEDERAL COVERED INVESTMENT ADVISERS › Section 13-414 - Business Continuity and Succession Planning

Current through Register Vol. 48, No. 6, June 28, 2024
A. Every investment adviser shall establish,
				implement, and maintain written procedures relating to a business continuity
				and succession plan. The plan shall be based upon the facts and circumstances
				of the investment adviser's business model, including the size of the firm,
				type(s) of services provided, and the number of locations of the investment
				adviser.
B. The plan shall provide
				for at least the following:
(1) The
				protection, backup, and recovery of books and records;
(2) Alternate means of communications with
				customers, key personnel, employees, vendors, service providers (including
				third-party custodians), and regulators, including, but not limited to,
				providing notice of a significant business interruption or the death or
				unavailability of key personnel or other disruptions or cessation of business
				activities;
(3) Office relocation
				in the event of a temporary or permanent loss of a principal place of
				business;
(4) Assignment of duties
				to qualified responsible persons in the event of the death or unavailability of
				key personnel; and
(5) Otherwise
				minimizing service disruptions and client harm that could result from a sudden
				significant business interruption.
South Carolina Code of Regulations › Chapter 13 - ATTORNEY GENERAL › Article 2 - SECURITIES › Subarticle 5 - FRAUD AND LIABILITIES › Section 13-503 - Advertising Filing Requirement

Current through Register Vol. 48, No. 6, June 28, 2024
Any prospectus, pamphlet, circular, form letter,
				  advertisement, sales literature, or other advertising relating to a security,
				  addressed or intended for distribution to prospective investors under the South
				  Carolina Uniform Securities Act of 2005, must be filed with the Securities
				  Commissioner at least ten (10) business days prior to use in this State. The
				  filing of an advertisement (or receipt thereof) does not constitute approval or
				  a finding by the Securities Commissioner that the document is true, complete,
				  or not misleading.
South Carolina Code of Regulations › Chapter 13 - ATTORNEY GENERAL › Article 2 - SECURITIES › Subarticle 6 - ADMINISTRATION AND JUDICIAL REVIEW › Section 13-601 - Financial Statements Submitted with an Application to Register Securities or used in a Prospectus

Current through Register Vol. 48, No. 6, June 28, 2024
A. All
				financial statements submitted with an application to register securities or
				for inclusion in a Prospectus used in this State, except a Prospectus relating
				to a federal covered security, shall be audited by an Independent Certified
				Public Accountant regularly engaged in business as such; provided, however (1)
				that interim statements prepared since the close of the last fiscal year shall
				not be required to be audited if prepared on a basis comparable to those
				audited, and (2) that financial statements approved by the South Carolina
				Department of Insurance or the United States Securities and Exchange Commission
				("SEC") may be accepted by the Securities Commissioner in his
				discretion.
B. Where a company has
				been in business for less than one (1) year and submits one statement only
				which covers a period of less than one (1) year, such statement shall be
				audited.
C. A report signed by the
				Independent Certified Public Accountant should accompany the
				statements.
D. Financial statements
				filed with an application for registration of securities shall be updated when
				necessary so that the Prospectus as finally approved and in definitive form
				shall contain statements as of a date not more than six (6) months prior to the
				date of the Prospectus.
E. A
				Prospectus relating to securities in registration should be amended or
				supplemented whenever necessary to reflect any material changes, but in any
				event at least once in any period of twelve (12) consecutive months, in order
				to bring financial data up to date. Failure of the registrant to do so shall be
				considered cause for suspension of registration. The Securities Commissioner
				shall have discretion to determine whether to require the reprinting of the
				entire Prospectus.
F. The
				Securities Commissioner by rule or order, may waive any or all of the
				provisions of this Order.
South Carolina Code of Regulations › Chapter 13 - ATTORNEY GENERAL › Article 2 - SECURITIES › Subarticle 6 - ADMINISTRATION AND JUDICIAL REVIEW › Section 13-602 - Prospectus, Offering Circular, Exemption and Exception Filing Fees

Current through Register Vol. 48, No. 6, June 28, 2024
A. Filing fees to
				accompany prospectus or offering circular.
(1)
				A filing fee of fifty ($50.00) dollars shall accompany any Prospectus or
				Offering Circular amended subsequent to effectiveness of registration or filed
				for the purpose of maintaining registration or notice filing of the
				securities.
(2) A fee of one
				hundred ($100.00) dollars shall accompany a request for a review by the
				Securities Commissioner of any preliminary or definitive Prospectus or Offering
				Circular for the purpose of obtaining an opinion on the eligibility of the
				securities for registration.
South Carolina Code of Regulations › Chapter 13 - ATTORNEY GENERAL › Article 2 - SECURITIES › Subarticle 6 - ADMINISTRATION AND JUDICIAL REVIEW › Section 13-603 - Consents to Service of Process

Current through Register Vol. 48, No. 6, June 28, 2024
The following forms constitute compliance with Section
				  35-1-611(a)
				  of the South Carolina Uniform Securities Act of 2005:
A. For broker-dealers, a fully executed
				Execution Page of the Form BD, Uniform Application for Broker-Dealer
				Registration;
B. For investment
				advisers, a fully executed Execution Page of the Form ADV, Uniform Application
				for Investment Adviser Registration;
C. For agents and investment adviser
				representatives, a fully executed Form U-4, Uniform Application for Securities
				Industry Registration or Transfer;
D. For any offer or sale of securities made
				in compliance with Rules 501 through 508 of SEC Regulation D under the
				Securities Act of 1933, a fully executed Form D, Notice of Exempt Offering of
				Securities;
E. For any offer or
				sale made in compliance with R. 13-309 and Tier 2 of federal Regulation A under
				the Securities Act of 1933, a fully executed Uniform Notice of Regulation A -
				Tier 2 Offering filing form; and
F.
				For other filings, a fully executed Form U-2, Uniform Consent to Service of
				Process or such other form acceptable to the Securities Commissioner.
South Carolina Code of Regulations › Chapter 13 - ATTORNEY GENERAL › Article 2 - SECURITIES › Subarticle 6 - ADMINISTRATION AND JUDICIAL REVIEW › Section 13-604 - Procedures for Administrative Hearings before the Securities Commissioner

Current through Register Vol. 48, No. 6, June 28, 2024
A. This regulation
				shall apply to Administrative Hearings held pursuant to Sections
				35-1-306,
				35-1-412,
				and
				35-1-604.
B. To the extent that they do not conflict
				with the definitions set forth in Section
				35-1-102,
				the terms below have the following meanings:
(1) "Administrative Hearing" means a
				proceeding before the Hearing Officer under the South Carolina Uniform
				Securities Act of 2005.
(2)
				"Administrative Order" means an order issued under Sections
				35-1-306,
				35-1-412,
				and
				35-1-604
				of the South Carolina Uniform Securities Act of 2005 that may lead to an
				Administrative Hearing.
(3)
				"Division" means the Securities Division of the South Carolina Attorney
				General's Office.
(4) "Hearing
				Officer" means either the Securities Commissioner or the person designated in
				accordance with this regulation by the Securities Commissioner to preside over
				an Administrative Hearing.
(5)
				"Party" means a Respondent in the proceeding and the Division.
(6) "Respondent" means a person against whom
				an Administrative Order is issued under the South Carolina Uniform Securities
				Act of 2005.
South Carolina Code of Regulations › Chapter 13 - ATTORNEY GENERAL › Article 3 - TOBACCO ENFORCEMENT › Section 13-1101 - Definitions

Current through Register Vol. 48, No. 6, June 28, 2024
A. The following
			 definitions shall apply to all rules promulgated and contained in Article 3:
1. "Brand Family" has the same meaning as in
			 South Carolina Code Section
			 11-48-20(1).
2. "Cigarette distributor" has the same
			 meaning as in South Carolina Code Section
			 11-48-20(6).
3. "Cigarette" has the same meaning as in
			 South Carolina Code Section
			 11-48-20(2).
4. "Directory" means the listing of tobacco
			 product manufacturers and brands maintained by the Attorney General pursuant to
			 South Carolina Code Section
			 11-48-30.
5. "Escrow deposit" means deposits required
			 to be made into a qualified escrow fund pursuant to South Carolina Code Section
			 11-47-30.
6. "Falsification" means no person shall
			 knowingly make a false statement, or knowingly swear or affirm the truth of a
			 false statement previously made, when the statement is made with purpose to
			 secure the issuance by a governmental agency of a license, permit,
			 authorization, certificate, registration, release, or provider
			 agreement.
7. "Master Settlement
			 Agreement" has the same meaning as in South Carolina Code Section
			 11-47-20(e).
8. "Nonparticipating manufacturer" has the
			 same meaning as in South Carolina Code Section
			 11-48-20(3).
9. "Participating manufacturer" has the same
			 meaning as in South Carolina Code Section
			 11-48-20(4).
10. "Qualified escrow fund" has the same
			 meaning as in South Carolina Code Section
			 11-48-20(5)."
11. "Tobacco product manufacturer" has the
			 same meaning as in South Carolina Code Section
			 11-48-20(7).
12. "Tobacco Product Manufacturer Certificate
			 of Compliance" or "Certificate of Compliance" or "Certification" or
			 "Certification application" or "application" means the application required to
			 be completed and executed by all tobacco product manufacturers pursuant to
			 South Carolina Code Section
			 11-48-30.
13. "Units sold" has the same meaning as in
			 South Carolina Code Section
			 11-48-20(8).
South Carolina Code of Regulations › Chapter 13 - ATTORNEY GENERAL › Article 3 - TOBACCO ENFORCEMENT › Section 13-1102 - Quarterly Certifications and Escrow Deposits

Current through Register Vol. 48, No. 6, June 28, 2024
A. As authorized by South Carolina Code
			 Section
			 11-48-50
			 and in order to promote compliance with South Carolina Code Section
			 11-47-10,
			 et seq., all escrow deposits shall be made on a quarterly basis.
B. Quarterly escrow deposits shall be made no
			 later than 30 days after the end of each calendar quarter in which sales are
			 made.
C. Each failure to make a
			 full, timely quarterly deposit shall constitute a separate violation of the
			 South Carolina Code Sections
			 11-47-10,
			 et seq. and 11-48-10, et seq.
D.
			 The Attorney General's Office shall review the amount deposited by each
			 nonparticipating manufacturer for each calendar quarter, and shall invoice each
			 nonparticipating manufacturer for which it concludes that an additional deposit
			 was owed.
E. An importer shall be
			 jointly and severally liable for all escrow deposits due from a
			 nonparticipating manufacturer with respect to nonparticipating manufacturer
			 cigarettes that it imports.
South Carolina Code of Regulations › Chapter 13 - ATTORNEY GENERAL › Article 3 - TOBACCO ENFORCEMENT › Section 13-1103 - Notification of Compliance

Current through Register Vol. 48, No. 6, June 28, 2024
A.
			 Nonparticipating manufacturers shall provide the Attorney General with official
			 notification of the quarterly escrow deposit no later than midnight of the day
			 upon which an escrow deposit is required. Nonparticipating manufacturers shall
			 also provide their quarterly reports within the same deadline. Nothing in this
			 rule eliminates the requirement under South Carolina Code Section
			 11-48-30
			 for a nonparticipating manufacturer to file its annual certification due on
			 April thirtieth of each year.
South Carolina Code of Regulations › Chapter 13 - ATTORNEY GENERAL › Article 3 - TOBACCO ENFORCEMENT › Section 13-1104 - Quarterly Periods Defined

Current through Register Vol. 48, No. 6, June 28, 2024
A. For
			 purposes of this Article, the calendar year shall be divided into the following
			 quarters: January first through March thirty-first; April first through June
			 thirtieth; July first through September thirtieth; and October first through
			 December thirty-first.
South Carolina Code of Regulations › Chapter 13 - ATTORNEY GENERAL › Article 3 - TOBACCO ENFORCEMENT › Section 13-1105 - Untimely or Incomplete Quarterly Reports or Escrow Deposits

Current through Register Vol. 48, No. 6, June 28, 2024
A. If the required
			 quarterly escrow deposit is not timely made in full, or the required quarterly
			 report is not provided to the Attorney General, or the Attorney General does
			 not receive timely official notice of the quarterly escrow deposit, the
			 delinquent nonparticipating manufacturer and its brand families shall be
			 removed from the directory in accordance with South Carolina Code Section
			 11-48-30.
			 Any such nonparticipating manufacturer that fails in any quarter to place into
			 escrow the funds required herein shall be subject to the penalty provisions of
			 Section
			 11-47-30;
			 shall be deemed to have failed to comply with Section
			 11-48-30;
			 and shall be subject to all enforcement actions available for a violation of
			 Section
			 11-48-30.
South Carolina Code of Regulations › Chapter 13 - ATTORNEY GENERAL › Article 3 - TOBACCO ENFORCEMENT › Section 13-1107 - Removal of Tobacco Product Manufacturer from Tobacco Directory

Current through Register Vol. 48, No. 6, June 28, 2024
A. In a manner
			 provided in Section
			 11-48-30,
			 the Attorney General shall remove a tobacco product manufacturer or brand
			 family from the directory if the Attorney General determines that the tobacco
			 product manufacturer or the brand family no longer meets the requirements of
			 Sections
			 11-47-10,
			 et seq., through 11-48-10, et seq., and regulations promulgated
			 thereto.
South Carolina Code of Regulations › Chapter 13 - ATTORNEY GENERAL › Article 3 - TOBACCO ENFORCEMENT › Section 13-1108 - Rejection of Certification Application of Tobacco Product Manufacturers

Current through Register Vol. 48, No. 6, June 28, 2024
A. In a manner
			 provided in Section
			 11-48-30,
			 the Attorney General shall reject the certification application of a tobacco
			 product manufacturer or brand family to be listed in the directory if the
			 Attorney General determines that the tobacco product manufacturer or the brand
			 family does not meet the requirements of Sections
			 11-47-10,
			 et seq., to 11-48-10, et seq., and regulations promulgated thereto.
South Carolina Code of Regulations › Chapter 13 - ATTORNEY GENERAL › Article 3 - TOBACCO ENFORCEMENT › Section 13-1109 - Notice of Approved Certification, Denial of Certification, and Removal from Tobacco Directory

Current through Register Vol. 48, No. 6, June 28, 2024
A. The
			 Attorney General shall promptly notify a tobacco product manufacturer in
			 writing at the address supplied in the certification form by facsimile,
			 electronic mail, or regular mail if the manufacturer has met the requirements
			 of Section
			 11-48-30
			 and will be included in the directory. The notice shall include each brand
			 family that the Attorney General determines will be included in the
			 directory.
B. If the Attorney
			 General intends to deny a tobacco product manufacturer or brand family a place
			 in the directory, to remove a manufacturer or brand family from the directory,
			 or to exclude an entity because the entity is not a tobacco product
			 manufacturer, the Attorney General shall mail a written "Notice of Removal" to
			 the manufacturer or entity. The "Notice of Removal" shall specify:
1. The factual and legal basis upon which the
			 Attorney General's intended action rests;
2. The actions that the tobacco product
			 manufacturer or entity must undertake to cure the factual or legal deficiencies
			 upon which the intended action is based, if any; and,
3. The date upon which attempts to cure the
			 deficiencies, if any, must be completed and documentation of completion must be
			 submitted to the Attorney General. In no event shall the Attorney General allow
			 the tobacco product manufacturer or entity less than seven days within which to
			 cure the deficiencies, if any, upon which the Attorney General's intended
			 action is based.
South Carolina Code of Regulations › Chapter 13 - ATTORNEY GENERAL › Article 3 - TOBACCO ENFORCEMENT › Section 13-1110 - Bond Requirement for Nonparticipating Manufacturer

Current through Register Vol. 48, No. 6, June 28, 2024
A. In order to promote compliance with the
			 South Carolina Tobacco Escrow Fund Act, if a newly qualified nonparticipating
			 manufacturer is to be listed on the South Carolina Tobacco Directory, or if the
			 Attorney General reasonably determines that any nonparticipating manufacturer
			 who has filed a certification pursuant to Section
			 11-47-30
			 poses an elevated risk for noncompliance with the Tobacco Escrow Fund Act,
			 neither such nonparticipating manufacturer nor any of its brand families shall
			 be included in the Directory unless and until such nonparticipating
			 manufacturer, or its United States importer that undertakes joint and several
			 liability for the manufacturer's compliance, has posted a bond.
B. A nonparticipating manufacturer may be
			 deemed to pose an elevated risk for noncompliance if:
1. The nonparticipating manufacturer has not
			 previously established and funded a qualified escrow fund in South
			 Carolina;
2. The nonparticipating
			 manufacturer has been on the tobacco directory for less than one
			 year;
3. The nonparticipating
			 manufacturer has failed to make a timely and/or complete escrow deposit unless
			 (i) the manufacturer did not make underpayment knowingly or recklessly and the
			 manufacturer promptly cured the underpayment within 30 days of notice of it, or
			 (ii) the underpayment or lack of payment is subject to a good faith dispute as
			 documented to the satisfaction of the Attorney General and the underpayment is
			 cured within 30 days;
4. The
			 nonparticipating manufacturer has failed to pay any judgment, regardless of the
			 status of the judgment under applicable statutes of limitations, obtained in
			 any jurisdiction, including any civil penalties and other monetary amounts
			 awarded stemming from any jurisdiction's escrow deposit laws;
5. The nonparticipating manufacturer or its
			 brands or brand families or an affiliate or any of the affiliate's brands or
			 brand families have been removed from the state's tobacco directory for
			 noncompliance with the state law at any time during the calendar year or within
			 the past three calendar years; or
6. In addition to the reasons specified
			 above, the Attorney General may require a bond from a nonparticipating
			 manufacturer if the Attorney General has reasonable grounds to believe the
			 nonparticipating manufacturer may default on its obligations under the Tobacco
			 Escrow Fund Act.
South Carolina Code of Regulations › Chapter 13 - ATTORNEY GENERAL › Article 3 - TOBACCO ENFORCEMENT › Section 13-1111 - Manufacturer and Importer Reports

Current through Register Vol. 48, No. 6, June 28, 2024
A. Each manufacturer and importer that sells
			 cigarettes in or into the State shall, within 15 days following the end of each
			 month, file a report on a form to be prescribed by the Attorney General and
			 certify to the State that the report is complete and accurate.
B. The report shall contain the following
			 information: the total number of cigarettes sold by that manufacturer or
			 importer in or into the State during that month, and identifying by name and
			 number of cigarettes (i) the manufacturers of those cigarettes, (ii) the brand
			 families of those cigarettes and (iii) the purchasers of those cigarettes. A
			 manufacturer's or importer's report shall include cigarettes sold in or into
			 the State through its sales entity affiliate.
C. The requirements of subsection (a) shall
			 be satisfied and no further report shall be required under this Section with
			 respect to cigarettes if the manufacturer or importer timely submits to the
			 Department of Revenue and the Attorney General the report or reports required
			 to be submitted by it with respect to those cigarettes under 15 U.S.C. §
			 376 and certifies to the State that the reports are complete and
			 accurate.
D. Upon request by the
			 Attorney General, a manufacturer or importer subject to this Section will
			 provide copies of similar reports that it filed in other States.
E. Each manufacturer and importer that sells
			 cigarettes in or into the State shall either: (i) submit its federal returns,
			 as defined below, to the Attorney General by 60 days after the close of the
			 quarter in which the returns were filed or (ii) submit to the United States
			 Treasury a request or consent under Internal Revenue Code
			 Section6103(c)authorizing the Alcohol and Tobacco Tax and Trade Bureau and, in
			 the case of a foreign manufacturer or importer, the U.S. Customs Service to
			 disclose the manufacturer's or importer's federal returns, as defined below, to
			 the Attorney General as of 60 days after the close of the quarter in which the
			 returns were filed.
F. A
			 manufacturer that fails to file a complete and accurate report required herein
			 may be removed from the Tobacco Directory.
South Carolina Code of Regulations › Chapter 13 - ATTORNEY GENERAL › Article 4 - MONEY SERVICES › Subarticle 1 - GENERAL PROVISIONS › Section 13-2101 - Definitions

Current through Register Vol. 48, No. 6, June 28, 2024
When the terms listed below are used in this Article, or in
				  order to assist in interpreting and complying with the South Carolina
				  Anti-Money Laundering Act, the following definitions shall apply, unless a
				  contrary definition is expressly provided or clearly required by the context,
				  to the extent that they do not conflict with the definitions set forth in the
				  Act:
A. Act. The term "Act" means the
				South Carolina Anti-Money Laundering Act, Section
				35-11-100 et seq., as the same may
				be codified and amended from time to time.
B. Audited financial statement. The term
				"audited financial statement" means a financial statement prepared in
				accordance with generally accepted accounting principles and audited by an
				independent certified public accountant according to generally accepted
				auditing standards in the United States.
C. Currency Exchange. The term "Currency
				Exchange" means receipt of revenues from the exchange of money of one
				government for money of another government, or holding oneself out as able to
				exchange the money of one government for money of another government. The
				following do not fall under the definition of currency exchange:
(1) affiliated businesses that engage in
				currency exchange for a business purpose other than currency
				exchange;
(2) a person who provides
				currency exchange services for a person acting primarily for a business,
				commercial, agricultural, or investment purpose when the currency exchange is
				incidental to the transaction;
(3)
				a person who deals in coins or a person who deals in money whose value is
				primarily determined because it is rare, old, or collectible; and
(4) a person who in the regular course of
				business chooses to accept from a customer the currency of a country other than
				the United States in order to complete the sale of a good or service other than
				currency exchange, that may include cash back to the customer, and does not
				otherwise trade in currencies or transmit money for compensation or
				gain.
South Carolina Code of Regulations › Chapter 13 - ATTORNEY GENERAL › Article 4 - MONEY SERVICES › Subarticle 2 - MONEY TRANSMISSION LICENSES › Section 13-2201 - Application for Money Transmission License

Current through Register Vol. 48, No. 6, June 28, 2024
A. All applications for new or renewal
				licenses must be made through the NMLS, unless otherwise expressly exempted
				from this requirement by the Commissioner in writing. Any person using the NMLS
				shall pay all associated costs.
B.
				An application pursuant to Section
				35-11-205 should include the
				following additional information:
(1) a
				certificate of authority from the South Carolina Secretary of State to conduct
				business in this State, or other evidence of the applicant's registration or
				qualification to do business in this State as a foreign corporation, if
				incorporated in another state or country;
(2) a copy of the applicant's anti-money
				laundering compliance program and Bank Secrecy Act policy;
(3) a detailed description of the screening
				process used by the applicant in selecting authorized delegates, including a
				sample of any forms used, and the method used to screen for criminal history;
				and
(4) the applicant, and each
				Control Person and Executive Officer, shall furnish to the NMLS, together with
				the required fees:
(a) fingerprints for
				submission to the Federal Bureau of Investigation and to any other governmental
				agency or entity authorized to receive such information for a state, national,
				or international criminal history background check, and authorization for the
				Commissioner to obtain a criminal history background check; and
(b) authorization for the Commissioner to
				obtain an independent credit report and credit score from a consumer reporting
				agency.
South Carolina Code of Regulations › Chapter 13 - ATTORNEY GENERAL › Article 4 - MONEY SERVICES › Subarticle 2 - MONEY TRANSMISSION LICENSES › Section 13-2202 - Application for Approval to Engage in Money Transmission

Current through Register Vol. 48, No. 6, June 28, 2024
A. A person seeking approval to engage in
				money transmission and currency exchange activities under Section
				35-11-210 without obtaining a
				license from the Commissioner must submit to the Commissioner the following:
(1) the items described in Section
				35-ll-205(B) and (C), provided however, the Commissioner may waive one or more
				requirements of subsections (B) a (C) or permit an applicant to submit other
				information in lieu of the required information;
(2) the items described in Section
				35-11-210(A)(2);
(3) evidence that the person holds a license
				in good standing to engage in money transmissions in at least one other state
				that has either adopted the Uniform Money Services Act or has money
				transmission laws that are substantially similar to those of this state;
				and
(4) evidence that the person
				has obtained the security required by Section
				35-11-215 and that the security is
				in force, including the amount and type of any excess coverage
				provided;
South Carolina Code of Regulations › Chapter 13 - ATTORNEY GENERAL › Article 4 - MONEY SERVICES › Subarticle 3 - CURRENCY EXCHANGE LICENSES › Section 13-2301 - Application for Currency Exchange License

Current through Register Vol. 48, No. 6, June 28, 2024
A. All applications for new or renewal
				licenses must be made through the NMLS, unless otherwise expressly exempted
				from this requirement by the Commissioner in writing. Any person using the NMLS
				shall pay all associated costs.
B.
				In an application pursuant to Section
				35-11-305, the applicant, and each
				Control Person and Executive Officer, shall furnish to the NMLS, together with
				the required fees:
(1) fingerprints for
				submission to the Federal Bureau of Investigation and to any other governmental
				agency or entity authorized to receive such information for a state, national,
				or international criminal history background check, and authorization for the
				Commissioner to obtain a criminal history background check; and
(2) authorization for the Commissioner to
				obtain an independent credit report and credit score from a consumer reporting
				agency.