2005 California Corporations Code Sections 25600-25620 PART 7. ADMINISTRATION

25600.  There is in the state government, in the Business and
Transportation Agency a Department of Corporations, which shall
administer the provisions of this division.  The chief officer of the
Department of Corporations is the Commissioner of Corporations.  The
commissioner shall be appointed by the Governor and shall hold
office at the pleasure of the Governor.  He or she shall receive an
annual salary as fixed in the Government Code.  Within 15 days from
the time of his or her appointment the commissioner shall take and
subscribe to the constitutional oath of office and file it in the
office of the Secretary of State.
   Whenever the term "Division of Corporations" is used in the law,
it means the Department of Corporations.
25601.  The commissioner shall have his principal office in the City
of Sacramento, and may establish branch offices in the City and
County of San Francisco, in the City of Los Angeles and in the City
of San Diego.  The commissioner shall from time to time obtain the
necessary furniture, stationery, fuel, light, and other proper
conveniences for the transaction of the business of the Department of
Corporations.
25602.  In accordance with the laws governing the state civil
service, the commissioner shall employ and, with the approval of the
Department of Finance, fix the compensation of such personnel as the
commissioner needs to discharge properly the duties imposed upon the
commissioner by law, including legal counsel to act as the attorney
for the commissioner in actions or proceedings brought by or against
the commissioner under or pursuant to any provision of any law under
the commissioner's jurisdiction, or in which the commissioner joins
or intervenes as to a matter within the commissioner's jurisdiction,
as a friend of the court or otherwise, and stenographic reporters to
take and transcribe the testimony in any formal hearing or
investigation before the commissioner or before a person authorized
by the commissioner.  The personnel of the Department of Corporations
shall perform such duties as the commissioner assigns to them.  Such
employees as the commissioner designates by rule or order shall,
within 15 days after their appointments, take and subscribe to the
constitutional oath of office and file it in the office of the
Secretary of State.
25603.  The commissioner shall adopt a seal bearing the inscription:
  "Commissioner of Corporations, State of California."  The seal
shall be affixed to or imprinted on all orders and certificates
issued by him and such other instruments as he directs.  All courts
shall take judicial notice of this seal.
25604.  The administration and enforcement of, and the education of
the public relative to, the laws and programs of the Department of
Corporations shall be supported from the State Corporations Fund.
Funds appropriated from the State Corporations Fund and made
available for expenditure for any law or program of the department
may come from fees collected from the following:
   (a) Section 25608, except for fees collected pursuant to
subdivisions (o) to (r), inclusive, of Section 25608.
   (b) Section 25608.1.
25605.  (a) The commissioner may publish any information filed with
him or obtained by him, if, in the judgment of the commissioner, such
action is in the public interest.  No provision of this law
authorizes the commissioner or any of his assistants, clerks, or
deputies to disclose any information withheld from public inspection
except among themselves or when necessary or appropriate in a
proceeding or investigation under this law or to other federal or
state regulatory agencies.  No provision of this law either creates
or derogates from any privilege which exists at common law or
otherwise when documentary or other evidence is sought under a
subpoena directed to the commissioner or any of his assistants,
clerks, or deputies.
   (b) It is unlawful for the commissioner or any of his assistants,
clerks, or deputies to use for personal benefit any information which
is filed with or obtained by the commissioner and which is not then
generally available to the public.
25606.  (a) The Attorney General shall render to the commissioner
opinions upon all questions of law, relating to the construction or
interpretation of any law under the commissioner's jurisdiction or
arising in the administration thereof, that may be submitted to the
Attorney General by the commissioner, and upon the commissioner's
request shall act as the attorney for the commissioner in actions and
proceedings brought by or against the commissioner under or pursuant
to any provision of any law under the commissioner's jurisdiction.
   (b) Sections 11041, 11042 and 11043 of the Government Code do not
apply to the Commissioner of Corporations.
25607.  (a) Neither the commissioner nor any of the commissioner's
assistants, clerks, or deputies shall be interested as a director,
officer, shareholder, member (other than a member of an organization
formed for religious purposes), partner, agent, or employee of any
person who, during the period of the official's or employee's
association with the Department of Corporations, (1) was licensed or
applied for license as a broker-dealer or investment adviser under
this division, or (2) applied for or secured the qualification of the
sale of securities under this division.
   (b) Nothing contained in subdivision (a) shall prohibit the
holding or purchasing of any securities by any assistant, clerk, or
deputy in accordance with rules as the commissioner shall adopt for
the purpose of protecting the public interest and avoiding conflicts
of interest.
   (c) Nothing contained in subdivision (a) shall prohibit the
holding or purchasing of any securities by the commissioner if any of
the following criteria is met:
   (1) The securities held or purchased by the commissioner are
exempt from the qualification requirements of Sections 25110, 25120,
and 25130 by virtue of Section 25100, provided that the holding or
purchasing of those securities is in accordance with rules adopted
for the purpose of protecting the public interest and avoiding
conflicts of interest.
   (2) The securities held or purchased by the commissioner are not
subject to Sections 25110, 25120, and 25130 by virtue of Section
25100.1, provided that the holding or purchasing of those securities
is in accordance with rules adopted for the purpose of protecting the
public interest and avoiding conflicts of interest.
   (3) The holding or purchasing of any securities by the
commissioner meets each of the following requirements:
   (A) The securities are held or purchased through a management
account or trust administered by a bank or trust company authorized
to do business in this state, and the bank or trust company has sole
investment discretion regarding the holding, purchase, and sale of
securities.
   (B) The commissioner did not, directly or indirectly, advise,
counsel, command, or suggest the holding, purchase, or sale of any
security or furnish any information relating to the security to the
bank or trust company.
   (C) The account or trust does not at any time have more than 10
percent of its total assets invested in the securities of any one
issuer or hold more than 5 percent of the outstanding shares or units
of any class of securities of any one issuer.
   (D) The commissioner shall report to the Attorney General not less
often than quarterly all holdings, purchases, and sales of
securities by him or her as authorized in paragraph (3), which
reports shall be retained by the Attorney General as public
documents.
25608.  (a) The commissioner shall charge and collect the fees fixed
in this section and Section 25608.1.  All fees charged and collected
under this section and Section 25608.1 shall be transmitted to the
Treasurer at least weekly, accompanied by a detailed statement
thereof and shall be credited to the State Corporations Fund.
   (b) The fee for filing an application for a negotiating permit
under subdivision (c) of Section 25102 is fifty dollars ($50).
   (c) The fee for filing a notice pursuant to paragraph (5) of
subdivision (h) of Section 25102 and the fee for filing a notice
pursuant to paragraph (4) of subdivision (f) of Section 25102, in
addition to the fee prescribed in those paragraphs, if applicable,
shall be determined based on the value of the securities proposed to
be sold in the transaction for which the notice is filed and in
accordance with subdivision (g), and shall be as follows:
     Value of Securities
     Proposed to be Sold                    Filing Fee
       $25,000 or less                         $ 25
       $25,001 to $100,000                     $ 35
       $100,001 to $500,000                    $ 50
       $500,001 to $1,000,000                  $150
       Over $1,000,000                         $300
   (d) The fee for filing an application for designation of an issuer
pursuant to subdivision (k) of Section 25100 is fifty dollars ($50).
   (e) The fee for filing an application for qualification of the
sale of securities by notification under Section 25112 or by permit
under paragraph (1) of subdivision (b) of Section 25113 (except
applications for qualification by permit of the sale of any guarantee
of any security, the fees for which applications are fixed in
subdivision (k)) is two hundred dollars ($200) plus one-fifth of 1
percent of the aggregate value of the securities sought to be sold in
this state up to a maximum aggregate fee of two thousand five
hundred dollars ($2,500).
   The fee for filing a small company application for qualification
of the sale of securities by permit under paragraph (2) of
subdivision (b) of Section 25113 is two thousand five hundred dollars
($2,500).  In the case where the costs of processing a small company
application exceed the filing fee, an additional fee shall be
charged, not to exceed one thousand dollars ($1,000), over and above
the filing fee based on the costs of the salary or other compensation
paid to persons processing the application plus overhead costs
reasonably incurred in the performance of the work.  In determining
the costs, the commissioner may use the estimated average hourly cost
for all persons processing applications for the fiscal year.
   (f) The fee for filing an application for qualification of the
sale of securities by coordination under Section 25111 or a notice of
intention to sell under subdivision (t) of Section 25100 is two
hundred dollars ($200) plus one-fifth of 1 percent of the aggregate
value of the securities sought to be sold in this state up to a
maximum aggregate fee of two thousand five hundred dollars ($2,500).
   (g) For the purpose of determining the fees fixed in subdivisions
(e) and (f):
   (1) The value of the securities shall be the price at which the
company proposes to sell the securities, or the value, as alleged in
the application, or the actual value, as determined by the
commissioner, of the consideration (if other than money) to be
received in exchange therefor, or of the securities when sold,
whichever is greater.
   (2) Interim or voting trust certificates shall have a value equal
to the aggregate value of the securities to be represented by the
interim or voting trust certificates.
   (3) The value of a warrant or right to purchase or subscribe to
another security of the same or another issuer shall be an amount
equal to the consideration to be paid for that warrant or right plus
an amount equal to the consideration to be paid upon purchase of the
additional securities, provided that if the latter amount is not
determinable at the time of qualification, that amount shall then be
the value of the additional securities as determined by the
commissioner.
   (4) In the case of a share dividend where the shareholders are
given an option to accept either cash or additional shares of common
stock, the value of the securities to be sold shall be the maximum
amount of cash that would be payable in the event that all
shareholders elected to accept cash.
   (h) The fee for filing an application for qualification of the
sale of securities by permit under Section 25121 is:
   (1) Two hundred dollars ($200) in connection with any change
(including any stock split or reverse stock split or stock dividend,
except a stock dividend where the shareholders are given an option to
accept either cash or additional shares of common stock) in the
rights, preferences, privileges, or restrictions of or on outstanding
securities.
   (2) Two hundred dollars ($200) plus one-fifth of 1 percent of the
value, as alleged in the application, or the actual value, as
determined by the commissioner, of the consideration to be received
in exchange therefor, up to a maximum aggregate fee of two thousand
five hundred dollars ($2,500), in any exchange of securities by the
issuer with its existing security holders exclusively, or in any
exchange in connection with any merger or consolidation or purchase
of corporate assets in consideration of the issuance of securities,
or any entity conversion transaction.
   (i) The fee for filing an application for qualification of the
sale of securities by notification under Section 25131 shall be one
hundred dollars ($100).
   (j) The fee for an application for the removal of any condition
under Section 25141 is fifty dollars ($50).
   (k) The fee for filing any application for a permit to execute or
issue any guarantee of any security is fifty dollars ($50).
   (l) The fee for acting as escrowholder for securities under
Section 25149 is fifty dollars ($50).  In addition, a fee of two
dollars and fifty cents ($2.50) shall be paid for the deposit with
the commissioner of each new certificate or other document resulting
from a transfer in escrow.
   (m) The fee for filing an application for an order (1) consenting
to the transfer in escrow of securities or (2) consenting to the
transfer of securities subject to any condition imposed by the
commissioner requiring the commissioner's consent to the transfer is
twenty dollars ($20) for each transfer.
   (n) The filing fee for an amendment to an application filed after
the effective date of the qualification of the sale of securities is
fifty dollars ($50) plus any additional fee that would have been
required to be paid with the original application for qualification
of the sale of securities under this section if the matters set forth
in the amendment had been included in the original application.
   (o) (1) The fee for filing an application for a broker-dealer
certificate under Section 25211 is three hundred dollars ($300).
   (2) Each broker-dealer shall pay to the commissioner its pro rata
share of all costs and expenses, reasonably incurred in the
administration of the broker-dealer program under this division, as
estimated by the commissioner for the ensuing year and any deficit
actually incurred or anticipated in the administration of the program
in the year in which the assessment is made.  The pro rata share
shall be the proportion that the broker-dealer and the number of its
agents in this state bears to the aggregate number of broker-dealers
and agents in this state as shown by records maintained by or on
behalf of the commissioner.  The pro rata share may include the costs
of any examinations, audit, or investigation provided for in
subdivision (r).
   (3) Every broker-dealer who has secured from the commissioner a
certificate shall, in order to keep the certificate in effect for an
additional period, pay a minimum assessment of seventy-five dollars
($75) on or before the 31st of December in each year.
   (4) The commissioner may assess and levy against each
broker-dealer any additional amount above the minimum assessment
amount of seventy-five dollars ($75) that is reasonable and necessary
to support the broker-dealer program under this division.  If an
additional amount is assessed, the commissioner shall notify each
broker-dealer by mail of any additional amount assessed and levied
against it on or before the 30th day of May in each year, and that
amount shall be paid within 20 days thereafter.  If payment is not
made within 20 days, the commissioner shall assess and collect a
penalty in addition to the assessment of 1 percent of the assessment
for each month or part of a month that the payment is delayed or
withheld.
   (5) If a broker-dealer fails to pay any assessment on or before
the 30th day of the month following the day upon which payment is
due, the commissioner may by order summarily suspend or revoke the
certificate issued to the broker-dealer.  If, after that order is
made, a request for hearing is filed in writing and a hearing is not
held within 60 days thereafter, the order is deemed rescinded as of
its effective date.  During any period when its certificate is
revoked or suspended, a broker-dealer shall not conduct business
pursuant to this division except as may be permitted by order of the
commissioner; provided, however, that the revocation, suspension, or
surrender of a certificate shall not affect the powers of the
commissioner as provided under this division.
   (6) In determining the amount assessed, the commissioner shall
consider all appropriations from the State Corporations Fund for the
support of the broker-dealer program under this division and all
reimbursements applicable to the administration of the broker-dealer
program under this division.
   (p) The commissioner shall charge a fee of twenty-five dollars
($25) for the filing of a notice or report required by rule adopted
pursuant to subdivision (b) of Section 25210 or subdivision (b) of
Section 25230.
   (q) (1) Except as provided for in paragraph (2), the fee for
filing an application for an investment adviser under Section 25231
is one hundred twenty-five dollars ($125), and payment of this amount
shall keep the certificate, if granted, in effect during the
calendar year during which it is granted.  Every investment adviser
who has secured from the commissioner a certificate shall, in order
to keep the certificate in effect for an additional period, pay a
renewal fee of one hundred twenty-five dollars ($125) on or before
the 31st day of December.
   (2) Paragraph (1) shall not apply to a broker-dealer licensed
under Section 25210.
   (r) (1) Except as provided for in paragraph (2), the fee for any
routine or nonroutine regulatory examination, audit, or investigation
is the amount of the salary or other compensation paid to the
persons making the examination, audit, or investigation plus the
amount of expenses including overhead reasonably incurred in the
performance of the work.  In determining the costs associated with an
examination, audit, or investigation, the commissioner may use the
estimated average hourly cost for all persons performing
examinations, audits, or investigations for the fiscal year.
   (2) An investment adviser licensed under Section 25230 pursuant to
the Investment Adviser Registration Depository shall not be subject
to paragraph (1) only in regard to the fee for a routine regulatory
examination of its investment advisory services for which it is
licensed under Section 25230.
   (s) The fee for any hearing held by the commissioner pursuant to
Section 25142 shall be the sum determined by the commissioner to
cover the actual expense of noticing and holding the hearing.
   (t) The commissioner may fix by rule a reasonable charge for any
publications issued under his or her authority.  The charges shall
not apply to reports of the commissioner in the ordinary course of
distribution.
   (u) The fee for filing an offer under subdivision (b) of Section
25507 shall be the amount of filing fee payable under subdivision
(e), (f), (h), or (i) of this section if an application had been
filed to qualify the transaction in which the securities upon which
the offer is to be made were sold in violation of the qualification
provisions of this law.
   (v) The fee for filing an application for exemption pursuant to
subdivision (l) of Section 25100 is two hundred fifty dollars ($250).
   (w) The commissioner may by rule require payment of a fee for
filing a notice or report required by a rule adopted pursuant to
Section 25105.  The fee required in connection with a transaction as
defined by that rule shall not exceed the fees specified in
subdivision (c) based on the value of the securities sold, but the
commissioner may permit a single notice for more than one
transaction.
   (x) The fee for filing the first notice of transaction under
subdivision (n) of Section 25102 is six hundred dollars ($600).
   (y) The fee for filing a notice of transaction under subdivision
(o) of Section 25102 shall be the fee for filing an application for
qualification of the sale of securities by permit under paragraph (1)
of subdivision (b) of Section 25113 as set forth in subdivision (e)
of this section.
   (z) The fee for filing a notice of transaction under subdivision
(h) of Section 25103 shall be six hundred dollars ($600).
25608.1.  (a) The fee for an investment company filing a notice
pursuant to subdivision (b) of Section 25100.1 is two hundred dollars
($200) plus one-fifth of 1 percent of the aggregate value of the
securities sought to be sold in this state up to a maximum aggregate
fee of two thousand five hundred dollars ($2,500).
   (b) The fee for an issuer filing a notice pursuant to subdivision
(a) of Section 25102.1 is six hundred dollars ($600).
   (c) The fee for an issuer filing a notice pursuant to subdivision
(d) of Section 25102.1 is three hundred dollars ($300).
   (d) The fee for an investment adviser filing a notice pursuant to
subdivision (b) of Section 25230.1 is one hundred twenty-five dollars
($125) and the fee for filing a notice or report required by rule
adopted pursuant to subdivision (c) of Section 25230.1 is twenty-five
dollars ($25).
25608.2.  Commencing July 1, 2000, the fee provisions of subdivision
(c) of Section 25608, as they apply to the fee for filing a notice
pursuant to paragraph (4) of subdivision (f) of Section 25102, and
the fee provisions of subdivisions (a), (b), and (c) of Section
25608.1, shall be the maximum fees that may be levied on a notice
filing under subdivision (b) of Section 25100.1, subdivision (f) of
Section 25102, and subdivisions (a), (c), and (d) of Section 25102.1.
  The commissioner, however, may set the notice filing fee under
subdivision (c) of Section 25608, as it relates to a notice filing
under subdivision (f) of Section 25102, and the notice filing fees
under subdivisions (a), (b), and (c) of Section 25608.1, at amounts
below the maximum fees set forth in those sections.  The commissioner
shall set the notice filing fees under those sections for the
upcoming fiscal year on or about June 1 of each year.  If the
commissioner fails to set the notice filing fees for the upcoming
fiscal year, then the filing fees shall be the maximum fees that may
be levied under those sections for the upcoming fiscal year.
25608.3.  (a) Notwithstanding Sections 25608 and 25608.1, the
commissioner may set any fee under those sections at an amount below
the maximum fee set forth in those sections.  The commissioner shall
set the fee for the upcoming fiscal year on or about June 1 of each
year, except that for the six-month period of January 1, 2002,
through June 30, 2002, and for the 2002-03 fiscal year, the
commissioner, on January 1, 2002, shall, in a reasonable and prudent
manner, reduce any fee under Sections 25608 and 25608.1 by an amount
below the maximum fee set forth in those sections.  For the fiscal
year commencing on July 1, 2003, and thereafter, the commissioner
shall establish the level of fees adequate to cover anticipated
costs, including the maintenance of a prudent reserve, but not to
exceed the maximum fees that may be levied under Sections 25608 and
25608.1.  If, for the fiscal year commencing on July 1, 2003, or
thereafter, the commissioner fails to set the fee for the upcoming
fiscal year on or before June 1, then the fee for the next fiscal
year shall be the fee that was in effect for the current fiscal year.
   (b) In carrying out this section, the commissioner shall reduce or
suspend fees to achieve no more than a 25-percent fund balance in
the State Corporations Fund by June 30, 2007, and thereafter.
   (c) The department shall report by February 1, 2002, to the Chair
of the Joint Legislative Budget Committee and the chairs of the
budget committees on the fees to be reduced and the projected revenue
and fund balance impact on the State Corporations Fund through the
2006-07 fiscal year.  Each year from 2002 through 2007, the
department shall submit a status update report by November 1 on the
fees reduced, the revenue and fund balance impact in the prior fiscal
year, and the projected revenue and fund balance impact through the
2006-07 fiscal year.
25609.  Every final order, decision, license, or other official act
of the commissioner is subject to judicial review in accordance with
law.
25610.  The commissioner may from time to time make, amend and
rescind such rules, forms, and orders as are necessary to carry out
the provisions of this law, including rules and forms governing
applications and reports, and defining any terms, whether or not used
in this law, insofar as the definitions are not inconsistent with
the provisions of this law.  For the purpose of rules and forms, the
commissioner may classify securities, persons, and matters within his
jurisdiction, and may prescribe different requirements for different
classes.  The commissioner may in his discretion waive any
requirement of any rule or form in situations where in his opinion
such requirement is not necessary in the public interest or for the
protection of investors.
25611.  The commissioner may prepare and make available to
interested persons lists of persons whose securities are qualified
for trading purposes in this state, are exempt from qualification, or
are not subject to qualification as the commissioner may determine
to be necessary or desirable, and the commissioner may make
reasonable charges for those lists to defray the expenses of
preparation and dissemination.
25612.  No rule, form or order may be made, amended, or rescinded
unless the commissioner finds that the action is necessary or
appropriate in the public interest or for the protection of investors
and consistent with the purposes fairly intended by the policy and
provisions of this law.
25612.3.  Unless otherwise provided by rule, the commissioner shall
require the use of the following forms:
   (a) Form BD (Uniform Application for Broker-Dealer Registration)
for a broker-dealer application.
   (b) Form ADV (Uniform Application for Investment Adviser
Registration) for an investment adviser application.
   (c) Form BDW (Uniform Request for Broker-Dealer Withdrawal) for
withdrawing from licensure as a broker-dealer.
   (d) Form ADV-W (Notice of Withdrawal from Registration as
Investment Adviser) for withdrawing from licensure as an investment
adviser.
   (e) Form U-4 (Uniform Application for Securities Industry
Registration or Transfer) for the reporting of an agent of a
broker-dealer or an investment adviser representative or associated
person of an investment adviser.
   (f) Form U-5 (Uniform Termination Notice for Securities Industry
Registration) for the reporting of the termination of an agent of a
broker-dealer or an investment adviser representative or associated
person of an investment adviser.
25612.5.  (a) To encourage uniform interpretation and administration
of this law and the Franchise Investment Law (Division 5 (commencing
with Section 31000)) and effective securities and franchise
regulation and enforcement, the commissioner may cooperate with the
securities agencies or administrators of one or more states, Canadian
provinces or territories, or other countries, the Securities and
Exchange Commission, the Commodity Futures Trading Commission, the
Securities Investor Protection Corporation, any self-regulatory
organization, any national or international organization or
securities officials or agencies, and any governmental law
enforcement or regulatory agency.
   (b) The cooperation authorized by subdivision (a) includes, but is
not limited to, the following actions:
   (1) Prescribing rules and forms with a view to achieving maximum
uniformity in the form and content of registration statements,
applications, and reports wherever practicable.
   (2) Participating in a nationwide central depository for
qualification or registration of securities under this law and for
documents or records required or allowed to be maintained under this
law.
   (3) Participating in the Central Registration Depository, or any
successor or alternative nationwide or regional depository, for the
registering, certifying, or licensing of broker-dealers or agents, or
both.
   (4) Participating in the Investment Adviser Registration
Depository, or any successor or alternative nationwide or regional
depository, for the registering, certifying, or licensing of
investment advisers or investment adviser representatives, or both.
   (5) Cooperating in any regulatory activity necessary in the
administration of the Uniting and Strengthening America by Providing
Appropriate Tools Required to Intercept and Obstruct Terrorism Act of
2001 (Public Law 107-56; USA Patriot Act), consistent with state
law.
   (c) Notwithstanding any other provision of law, any application
for qualification, amendment to the application or related securities
qualification or registration document or notice under Sections
25100.1, 25101.1, 25102, 25102.1, 25110, 25120, 25130, and 25230.1 or
record otherwise required to be signed that is filed in this state
as an electronic record pursuant to a nationwide central depository
for qualification or registration of securities, or any electronic
record filed through the Central Registration Depository or the
Investment Adviser Registration Depository, shall be deemed to be a
valid original document upon reproduction to paper form by the
Department of Corporations.
   (d) For purposes of this section, "electronic record" has the same
meaning as in subdivision (g) of Section 1633.2 of the Civil Code.
25613.  The commissioner may by rule or order prescribe (1) the form
and content of financial statements required under this law, (2) the
circumstances under which consolidated financial statements shall be
filed, and (3) the circumstances under which financial statements
shall be audited by independent certified public accountants or
public accountants.
25614.  All rules of the commissioner (other than those relating
solely to the internal administration of the Department of
Corporations) shall be made, amended or rescinded in accordance with
the provisions of the Administrative Procedure Act, Chapter 4
(commencing with Section 11370) of Part 1 of Division 3 of Title 2 of
the Government Code.  Rules may be adopted prior to the effective
date of this law to become effective upon its effective date.
25615.  A document is filed when it is received by the commissioner;
but no qualification of the sale of securities shall become
effective until the appropriate fee has been paid.
25616.  The commissioner shall keep an index of all qualifications
which are or have ever been effective, all denial, suspension, or
revocation orders which have been entered and all permits and
certificates which have been issued by him under this law.
25617.  Upon request and at such reasonable charges as he prescribes
by rule, the commissioner shall furnish to any person photostatic or
other copies (certified under his seal of office if requested) of
any document which is retained as a matter of public record, except
that he shall not charge or collect any fee for photostatic or other
copies of any document furnished to public officers for use in their
official capacity.  In any judicial proceeding or prosecution, any
copy so certified is prima facie evidence of the contents of the
document certified.
25618.  The commissioner in his discretion may honor requests from
interested persons for interpretive opinions.
25619.  (a) The commissioner may destroy any applications, notices,
orders, permits, and revoked or surrendered certificates, together
with the files and folders, as useless or obsolete, four years after
the date of filing or issuance, with the approval of the Department
of General Services; provided, that a permanent record shall be
maintained of any disciplinary action taken by the commissioner.
   (b) When acting as escrow holder for securities, the commissioner
may destroy any certificates evidencing securities of any corporation
which has been dissolved or whose charter has been suspended for a
period of not less than two years for nonpayment of taxes or
penalties and may destroy any other records pertaining to the escrow
of the securities destroyed, and he or she shall have no further
liability or accountability therefor; provided, that the commissioner
shall maintain a permanent record containing such information as he
or she may by rule prescribe relating to the certificates and records
so destroyed.
   (c) Copies on microfilm or in other form which may be retained by
the commissioner in his discretion of any records destroyed under
this section shall be accepted for all purposes as equivalent to the
original when certified by the commissioner.
25620.  (a) Notwithstanding any other provision of law, the
commissioner may by rule or order prescribe circumstances under which
to accept electronic records or electronic signatures.  However,
nothing in this section requires the commissioner to accept
electronic records or electronic signatures.
   (b) For purposes of this section, the following terms have the
following meanings:
   (1) "Electronic record" means a record created, generated, sent,
communicated, received, or stored by electronic means, and includes a
record transmitted by means of facsimile machine or other telephone
transceiving equipment.
   (2) "Electronic signature" means an electronic sound, symbol, or
process attached to or logically associated with an electronic record
and executed or adopted by a person with the intent to sign the
electronic record.
   (c) The Legislature hereby finds and declares that the Department
of Corporations has continuously implemented methods to file records
electronically, including broker-dealer and investment adviser
applications, and is encouraged to continue to expand its use of
electronic filings to the extent feasible, as budget, resources, and
equipment are made available to accomplish that goal.