N.J. Admin. Code § 3:17-2.7

Current through Register Vol. 56, No. 21, November 4, 2024

Section 3:17-2.7 - Change of control

(a) A licensee shall file a completed application for approval whenever a change of control of ownership of 25 percent or more of the licensee is planned. The change of control request shall be submitted at least 90 days prior to the anticipated sale date and shall include:

1. A fully executed change of control form as prescribed by the Commissioner;

2. A copy of the executed stock purchase agreement or other agreement evidencing the proposed sale; and

3. A copy of the corporate resolution providing that existing officers and/or directors cease to hold positions and that new officers or directors are appointed, if applicable; and personal certifications permitting the Department to make inquiries to the New Jersey State Police as to any information it may have on file with respect to the applicant, that is, the person, sole proprietor, partners, members and managers of a limited liability company, corporate officers, directors and shareholders owning 10 percent or more of the shares of the corporation, including a criminal history record background check of the applicant, based upon information provided to and received from the Division of State Police. The background check shall include a State criminal history record background check based upon an exchange of fingerprint data with the State Bureau of Identification in the Division of State Police, for which the Division shall promptly notify the Commissioner if the subject of the original criminal history record background check is arrested for a crime or offense in this State after the date the background check was performed, and a check of both criminal and non-criminal information as requested from and distributed to the Federal Bureau of Investigation and any other governmental agency. The Department may make such inquiries on the basis of answers to questions in the application or on the basis of any other information which the Department receives that would make such an inquiry relevant to the decision on the application.

(b) The Commissioner shall approve the change of control unless, after an opportunity for a hearing, it is determined that there are sufficient grounds to deny the application. Unless the Commissioner issues a preliminary denial of the application and affords the applicant an opportunity for a hearing within 90 days of the Commissioner's receipt of the completed application, the application shall be deemed approved.

N.J. Admin. Code § 3:17-2.7