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Code · Kentucky · Chapter 292 — Securities (blue sky law)

292.322 Securities fraud prosecution and prevention fund.

228 words·~1 min read·/ky/chapter-292/292-322

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(1)There is hereby created in the State Treasury a trust and revolving fund designated
as the "securities fraud prosecution and prevention fund."
(2)The commissioner may designate that all or a portion of the civil fines imposed for
violations of this chapter or administrative regulations, or orders issued pursuant to
this chapter, be deposited into the fund established in subsection
(1)of this section.
(3)The fund established by subsection
(1)of this section may also receive additional
state appropriations, gifts, grants, and federal funds.
(4)Expenditures from the fund established by subsection
(1)of this section may be
used to assist in criminal prosecution of fraudulent activities under this chapter, for
training and equipment related to prevention, detection, and investigation of
securities fraud, and for investor education.
(5)The money deposited into the fund is hereby appropriated for the uses set forth in
subsection
(4)of this section. Notwithstanding KRS 45.229, any money remaining
in the fund at the close of any calendar year shall not lapse but shall be carried
forward to the next calendar year. All interest earned on money in the fund shall be
credited to the fund.
(6)The commissioner is responsible for the distribution of moneys in the fund and
shall, in consultation with the Attorney General and local prosecutors, develop and
promulgate administrative regulations for the use of those moneys.
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