The bill amends the Code of West Virginia to introduce a new section, 32-4-402a, which authorizes the Commissioner of Securities or their designee to conduct fairness hearings for transactions involving the exchange of securities for outstanding securities, claims, or property interests, or partly for cash. This new provision allows the commissioner to determine the fairness of the exchange conditions and provides an exemption from registration and filing requirements for securities issued under approved plans. The bill outlines the application process for fairness hearings, including deadlines, notice requirements, and the authority for the commissioner to establish rules and recover costs associated with the hearings.

Additionally, the bill defines key terms related to reorganization, recapitalization, and refinancing, and specifies the rights of stakeholders to participate in the hearings. It mandates that the commissioner must hold a hearing within 30 days of receiving a complete application and requires the applicant to notify all affected parties at least 10 days prior to the hearing. The findings from the hearings must be issued within 10 business days, and securities approved through this process are exempt from certain registration requirements.

Statutes affected:
Introduced Version: 32-4-402a
Committee Substitute: 32-4-402, 32-4-402a, 32-3-301
Committee Substitute for the Committee Substitute: 32-4-402, 32-4-402a, 32-3-301
Engrossed Committee Substitute for the Committee Substitute: 32-4-402, 32-4-402a, 32-3-301
Enrolled Version: 32-4-402a