N.J. Admin. Code § 13:47A-6.1

Current through Register Vol. 56, No. 9, May 6, 2024

Section 13:47A-6.1 - Authority, purpose and scope

(a) The rules in this subchapter are being adopted pursuant to the authority granted by 49:3-47 et seq. and specifically 49:3-53(a)(3) and 49:3-58(a)(2)(vii).

(b) Nothing in this subchapter shall be construed to define any fraudulent activity as a dishonest and unethical practice to the exclusion of fraud. Specific fraudulent activity may still be charged as fraud under 49:3-52, 49:3-52.1 or 49:3-53.

(c) The rules in this subchapter identify certain acts and practices that the Bureau deems dishonest or unethical conduct under 49:3-47 et seq., specifically under 49:3-53(a)(3) and 49:3-58(a)(2)(vii). The list contained in this subchapter shall not be considered to include all acts and practices that are dishonest and unethical conduct, but rather is intended to act as a guide as to the types of conduct that may form a basis for the initiation of administrative proceedings by the Bureau.

(d) The rules in this subchapter are patterned after well-established standards in the industry which have been adopted by the SEC, FINRA, NASAA, the national securities exchanges and various courts, and represent one of the purposes of the securities laws: to create viable securities markets in which those persons involved are held to a high standard of fairness with respect to their dealings with the public.

(e) The rules in this subchapter apply to Federal covered advisers to the extent that the conduct alleged is fraudulent or deceptive, or to the extent permitted by the National Securities Markets Improvement Act of 1996 ( Pub. L. No. 104-290 ).

(f) The Federal statutory and regulatory provisions referenced in 13:47A-6.3(a) shall apply to investment advisers and Federal covered advisers, regardless of whether the Federal provision limits its application to advisers subject to Federal registration.

N.J. Admin. Code § 13:47A-6.1