H*4467(Rat #0376, Act #0311 of 1998)  General Bill, By Klauber
 A BILL TO AMEND SECTION 35-1-1590, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA,
 1976, RELATING TO PENALTIES FOR VIOLATING THE UNIFORM SECURITIES ACT, SO AS TO
 CREATE CERTAIN FELONY OFFENSES AND PENALTIES AND REVISE THE PENALTY FOR THE
 EXISTING MISDEMEANOR OFFENSE.

   01/21/98  House  Introduced and read first time HJ-6
   01/21/98  House  Referred to Committee on Judiciary HJ-7
   02/04/98  House  Committee report: Favorable Judiciary HJ-5
   02/10/98  House  Read second time HJ-12
   02/11/98  House  Read third time and sent to Senate HJ-15
   02/12/98  Senate Introduced and read first time SJ-6
   02/12/98  Senate Referred to Committee on Banking and Insurance SJ-6
   04/02/98  Senate Committee report: Favorable Banking and Insurance SJ-22
   04/07/98  Senate Read second time SJ-11
   05/13/98  Senate Read third time and enrolled SJ-31
   05/21/98         Ratified R 376
   05/26/98         Signed By Governor
   05/26/98         Effective date 05/26/98
   06/10/98         Copies available
   06/10/98         Act No. 311

AN ACT TO AMEND SECTION 35-1-1590, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO PENALTIES FOR VIOLATING THE UNIFORM SECURITIES ACT, SO AS TO CREATE CERTAIN FELONY OFFENSES AND PENALTIES AND REVISE THE PENALTY FOR THE EXISTING MISDEMEANOR OFFENSE.

Be it enacted by the General Assembly of the State of South Carolina:

New felonies; misdemeanor penalty changed

SECTION 1. Section 35-1-1590 of the 1976 Code, as last amended by Act 451 of 1992, is further amended to read:

Section 35-1-1590. Any person who wilfully violates any provision of this chapter except Section 35-1-160, who wilfully violates any rule or order under this chapter, or who wilfully violates Section 35-1-160, knowing the statement made to be false or misleading in any material respect, is guilty of a:

(1) felony and, upon conviction, must be fined not more than fifty thousand dollars or imprisoned not more than ten years, or both, if the person's actions result in loss to an investor of twenty thousand dollars or more;

(2) felony and, upon conviction, must be fined in the discretion of the court or imprisoned not more than five years, or both, if the person's actions result in loss to an investor of more than one thousand dollars but less than twenty thousand dollars;

(3) misdemeanor and, upon conviction, must be fined not more than thirty thousand dollars or imprisoned not more than three years, or both, if the person's actions result in loss to an investor of one thousand dollars or less, or if no losses are proven.

However, no person may be imprisoned for the violation of any rule or order if he proves that he had no knowledge of the rule or order.

Saving clause

SECTION 2. All proceedings pending and all rights and liabilities existing, acquired, or incurred at the time this act takes effect are saved. Except as otherwise provided, the provisions of this act apply prospectively to crimes and offenses committed on or after the effective date of this act.

Time effective

SECTION 3. This act takes effect upon approval by the Governor.

Approved the 26th day of May, 1998.