South Carolina H 4247: Commodity Code Execution

Bill Text

2025-2026 Bill 4247 Text of Previous Version (May. 08, 2025) - South Carolina Legislature Online 

South Carolina General Assembly
126th Session, 2025-2026

Bill 4247

Indicates Matter Stricken
Indicates New Matter

(Text matches printed bills. Document has been reformatted to meet World Wide Web specifications.)

Indicates Matter Stricken

Indicates New Matter

As Passed By The Senate

May 8, 2025

H. 4247

Introduced 
by Reps. Herbkersman and Henderson-Myers 

S. Printed 5/8/25--S.

Read the first time May 6, 2025

________

A bill

TO AMEND THE SOUTH 
CAROLINA CODE OF LAWS BY AMENDING SECTION 39-73-10, RELATING TO STATE COMMODITY 
CODE DEFINITIONS, SO AS TO PROVIDE THAT THE ADMINISTRATOR OF THE STATE 
COMMODITY CODE BE THE SOUTH CAROLINA ATTORNEY GENERAL; BY AMENDING SECTION 
39-73-40, RELATING TO TRANSACTIONS WHERE PROHIBITION IS NOT APPLICABLE, SO AS 
TO ADD AGENTS OR INVESTMENT ADVISOR REPRESENTATIVES AS INDIVIDUALS SUBJECT TO 
AN ORDER TO DENY, SUSPEND, OR REVOKE A PERSON'S LICENSE; BY AMENDING SECTION 
39-73-60, RELATING TO PROHIBITED ACTS, SO AS TO REPLACE SECTION 39-73-310 WITH 
SECTION 39-73-30; BY AMENDING SECTION 39-73-80, RELATING TO STATE SECURITIES 
LAWS, SO AS TO MAKE CONFORMING CHANGES; BY AMENDING SECTION 39-73-315, RELATING 
TO ADMINISTRATOR ACTIONS TO PREVENT VIOLATIONS OR IMMINENT VIOLATIONS, SO AS TO 
PROVIDE THAT THE ADMINISTRATOR CAN ISSUE AN ORDER RELATED TO ANY ACTION THAT 
MAY VIOLATE THIS CHAPTER; BY AMENDING SECTION 39-73-320, RELATING TO LEGAL, 
EQUITABLE, AND SPECIAL REMEDIES AVAILABLE TO A COURT FOR ENFORCEMENT, SO AS TO 
PROVIDE THAT THE ADMINISTRATOR MAY MAINTAIN AN ACTION IN THE RICHLAND COUNTY 
COURT OF COMMON PLEAS; BY AMENDING SECTION 39-73-325, RELATING TO PENALTIES FOR 
VIOLATIONS, SO AS TO PROVIDE THAT THE ADMINISTRATOR MAY REFER VIOLATIONS TO THE 
APPROPRIATE DIVISION OF THE OFFICE OF ATTORNEY GENERAL OR OTHER AUTHORITY; BY 
AMENDING SECTION 39-73-330, RELATING TO THE ADMINISTRATION OF THIS CHAPTER, SO 
AS TO MAKE CONFORMING CHANGES; BY AMENDING SECTION 39-73-340, RELATING TO THE 
AUTHORITY TO PROMULGATE REGULATIONS, FORMS, AND ORDERS, SO AS TO MAKE CONFORMING 
CHANGES; BY AMENDING SECTION 39-73-350, RELATING TO THE APPLICABILITY OF 
SECTIONS 39-73-20, 39-73-50, AND 39-73-60 TO PERSONS WHO SELL, BUY, OR OFFER TO 
SELL OR BUY COMMODITIES IN THIS STATE, SO AS TO PROVIDE GUIDELINES FOR 
APPLICABLE RADIO AND TELEVISION COMMUNICATIONS; BY AMENDING SECTION 39-73-360, 
RELATING TO JUDICIAL REVIEW, SO AS TO PROVIDE GUIDELINES; BY AMENDING SECTION 
39-73-370, RELATING TO DEFENSE IN A CASE BASED ON FAILURE TO MAKE PHYSICAL 
DELIVERY, SO AS TO MAKE CONFORMING CHANGES; BY ADDING SECTION 39-73-375 SO AS 
TO PROVIDE THAT THE ATTORNEY GENERAL MAY RETAIN FUNDS FROM FINES AND PENALTIES 
TO OFFSET RELEVANT EXPENSES; BY ADDING SECTION 39-73-400 SO AS TO PROVIDE FOR 
SEVERABILITY OF THIS CHAPTER; AND BY REPEALING SECTION 39-73-355 RELATING TO 
ADMINISTRATIVE PROCEEDINGS.

 Amend Title To Conform

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

SECTION 1. Section 39-73-10(1) of the S.C. Code is amended to read:

 (1) "Administrator" means the South 
Carolina Secretary of State Attorney 
General.

SECTION 2. Section 39-73-40(D) of the S.C. Code is amended to 
read:

 (D) The administrator, by order, may 
deny, suspend, revoke, or place limitations on the authority to engage in 
business as a qualified seller under item (2) of subsection (A) if the 
administrator finds that the order is in the public interest and that the 
person, the person's officers, directors, partners, agents, servants, or 
employees, a person occupying a similar status or performing similar functions, 
or a person who directly or indirectly controls or is controlled by the seller, 
or his affiliates or subsidiaries:

 (1) 
has filed a notice of intention under subsection (C) with the administrator or 
the designee of the administrator which was incomplete in material respect or 
contained a statement which was, in light of the circumstances under which it 
was made, false or misleading with respect to a material fact;

 (2) 
within the last ten years, has pled guilty or nolo contendere to, or been 
convicted of a crime indicating a lack of fitness to engage in the investment 
commodity business;

 (3) 
has been enjoined permanently or temporarily by a court of competent 
jurisdiction from engaging in or continuing conduct or a practice which 
injunction indicates a lack of fitness to engage in the investment commodities 
business;

 (4) 
is the subject of an order of the administrator denying, suspending, or 
revoking the person's license as a securities broker-dealer, agent, sales representative, or investment 
advisor, or investment advisor representative;

 (5) 
is the subject of one or more of the following orders which currently are 
effective and which were issued within the last five years:

 (a) 
an order by a securities agency or an administrator of another state, Canadian 
province