Substitute House Bill No. 6875 amends the Connecticut Uniform Securities Act by introducing new provisions and modifying existing regulations concerning the registration and operation of broker-dealers, agents, and investment advisers. Key changes include the stipulation that no person may act as a broker-dealer or agent without proper registration, and it prohibits transactions that violate sanctions from the Securities and Exchange Commission or self-regulatory organizations. The bill also mandates that broker-dealers and investment advisers promptly notify the commissioner when an agent begins or ends their association. Additionally, it outlines exemptions for certain investment advisers from registration requirements and establishes a fee structure for branch office registration, while requiring reporting of any changes in branch office management or location.

The bill further introduces new definitions related to investment advisers and business combinations involving shell companies, clarifying the conditions under which an investment adviser may be exempt from registration. It also revises the notification process for broker-dealers or investment advisers ceasing business, requiring written notice to customers at least ten business days prior to termination. Moreover, it mandates continuing education for agents and expands the commissioner's powers regarding the denial, suspension, or revocation of registrations. The bill also includes new requirements for the offering and selling of covered securities, such as filing a consent to service of process and a notice filing form for Tier 2 offerings under Regulation A. Overall, the bill aims to enhance regulatory clarity, oversight, and investor protection within the financial sector.

Statutes affected:
Raised Bill:
BA Joint Favorable:
File No. 188:
Public Act No. 25-85: