DAR File No. 41943

This notice was published in the August 15, 2017, issue (Vol. 2017, No. 16) of the Utah State Bulletin.

Financial Institutions, Administration

Rule R331-5

Rule Governing Sale of Securities by Persons Issuing Securities, Who Are Under the Jurisdiction of the Department of Financial Institutions

Five-Year Notice of Review and Statement of Continuation

DAR File No.: 41943
Filed: 07/20/2017 08:19:33 AM


Concise explanation of the particular statutory provisions under which the rule is enacted and how these provisions authorize or require the rule:

Section 7-1-503 authorizes the Commissioner of Financial Institutions to regulate the sale by financial institutions of securities including the solicitation of deposit accounts which is restricted. Subsection 7-1-301(13) allows the Commissioner to regulate the issuance, advertising, offer for sale, and sale of a security to the extent authorized by Section 7-1-503.

Summary of written comments received during and since the last five-year review of the rule from interested persons supporting or opposing the rule:

No supporting or opposing written comments have been received by the agency concerning this rule.

Reasoned justification for continuation of the rule, including reasons why the agency disagrees with comments in opposition to the rule, if any:

The rule is necessary because it covers registration with the department, offering circular requirements, securities sale report, limitations on resale of "restricted securities", remuneration paid for solicitation or for sales, manipulative and deceptive devices, waivers, and penalties for violation. Therefore, this rule should be continued.

The full text of this rule may be inspected, during regular business hours, at the Office of Administrative Rules, or at:

Financial Institutions
AdministrationRoom 201
SALT LAKE CITY, UT 84111-2393

Direct questions regarding this rule to:

  • Paul Allred at the above address, by phone at 801-538-8854, by FAX at 801-538-8894, or by Internet E-mail at [email protected]



Authorized by:

Edward Leary, Commissioner

Additional Information

More information about a Five-Year Notice of Review and Statement of Continuation is available online.

The Portable Document Format (PDF) version of the Bulletin is the official version. The PDF version of this issue is available at https://rules.utah.gov/publicat/bull_pdf/2017/b20170815.pdf. The HTML edition of the Bulletin is a convenience copy. Any discrepancy between the PDF version and HTML version is resolved in favor of the PDF version.

For questions regarding the content or application of this rule, please contact Paul Allred at the above address, by phone at 801-538-8854, by FAX at 801-538-8894, or by Internet E-mail at [email protected].  For questions about the rulemaking process, please contact the Office of Administrative Rules.