Ill. Admin. Code tit. 14 § 130.823

Current through Register Vol. 48, No. 45, November 8, 2024

Section 130.823 - Procedure for Requesting Waiver of Dealer, Salesperson, Investment Adviser, Investment Adviser Representative, or Principal Examination Requirements

a) If a person applying for registration as a dealer, salesperson, investment adviser, investment adviser representative, or principal seeks a waiver of the examination requirements as provided in Section 8 of the Act, the request for the waiver shall be in writing on a form and in the manner prescribed by the Secretary.

b) The request for the waiver of the examination requirement shall contain the following information:

1) The business name and address of the dealer (or investment adviser for investment adviser and investment adviser representative applicants or federal covered investment adviser for investment adviser representative applicants) with which the applicant is or will be associated;

2) The official title and connection of the applicant with the dealer (or federal covered investment adviser or investment adviser);

3) The applicant's legal name;

4) The applicant's business address and telephone number;

5) The applicant's residential address and telephone number;

6) The applicant's date of birth;

7) A list of any other names the applicant has used including the dates used, the reason for the name change, and the date the applicant's present name was adopted;

8) The amount of ownership of capital stock or partnership interest of the dealer (or investment adviser) with which the applicant is associated;

9) The nature and tenure of each job the applicant currently holds or has held for 10 years prior to the date of the waiver request. In addition, investment adviser applicants must provide the total aggregate dollar value of investment advisory accounts serviced, whether the applicant had discretionary authority over the accounts, and the total percentage of institutional accounts the applicant serviced of those entities enumerated in Section 4.C of the Act;

10) The applicant's educational history including degrees received;

11) Any professional certifications or designations;

12) Any FINRA or related examinations taken by the applicant;

13) The name, address and business affiliation of three persons to whom the Secretary may address inquiries regarding experience, qualification and standing of the applicant; and

14) A list of where the applicant has been licensed or registered as a dealer, salesperson or investment adviser, including the state or licensing agency, the type of license or registration and the period during which the registration was effective.

c) The request shall be signed and notarized. By signing the waiver request, the applicant is attesting to the following (unless a detailed explanation is attached):

1) The applicant has never had any license or registration as a dealer, investment adviser, investment adviser representative or salesperson, suspended, cancelled or revoked after notice and opportunity for hearing;

2) The applicant has never been temporarily or permanently enjoined from acting as an investment adviser, investment adviser representative, federal covered investment adviser, federal covered investment adviser representative, dealer, salesperson or employee thereof or from engaging in or continuing any conduct or practice in connection with activity as an investment adviser, investment adviser representative, federal covered investment adviser, federal covered investment adviser representative, dealer, salesperson, employee thereof or employee of any investment company, financial institution or insurance company after notice and opportunity for hearing;

3) The applicant has never been convicted of any felony or misdemeanor involving the purchase or sale of any securities or arising out of any conduct as an investment adviser, investment adviser representative, federal covered investment adviser, federal covered investment adviser representative, dealer, salesperson, employee thereof or employee of any investment company, financial institution or insurance company;

4) The applicant has never been permanently or temporarily enjoined from the issuance, offering for sale, sale, promotion, negotiation, advertising or distribution of securities;

5) The applicant has never been named as a defendant in any proceeding arising from a complaint alleging a fraudulent act in any transaction of any kind or character;

6) The applicant has never been found by any state or federal board, body, department or commission to have willfully made any untrue statement of a material fact in any application for registration or license as a dealer, investment adviser or salesperson or in any report required to be filed with the subject body, board, department or commission or under the Federal 1934 Act or to have willfully omitted to state in the application or report any material fact that is required to be stated in an application or report; and

7) The applicant has never been disbarred or suspended from the practice of any profession.

d) After the Securities Department receives the request, the request shall be granted or denied based upon criteria that includes, but is not limited to, education, years of experience in the securities business, past disciplinary history, and prior registration with the SEC, any state securities regulator, or FINRA. The applicant shall be informed in writing of the Securities Department's decision.

Ill. Admin. Code tit. 14, § 130.823

Amended at 36 Ill. Reg. 2852, effective February 8, 2012