2016 Colorado Revised Statutes
Title 12 - Professions and Occupations
General
Article 16 - Farm Products and Farm Commodity Warehouses
Part 2 - Commodity Warehouses
§ 12-16-221. Unlawful acts

(1) It is unlawful and a violation of this part 2 for any person to:

(a) Make fraudulent charges or returns for the handling, sale, or storage or for the rendering of any service in connection with the handling, sale, or storage of any commodities. Violation of this paragraph (a) shall constitute a class 6 felony.

(b) Willfully fail or refuse to render a true account of sales or storage or to make a settlement thereon or to pay for commodities received on the date and in the manner specified in the contract with the owner or, if no date is specified in the contract or on delivery, within thirty days after the date of delivery or the date on which the person took possession of such commodities. Violation of this paragraph (b) shall constitute a class 6 felony.

(c) Intentionally make false or misleading statements as to the market conditions for commodities or false or misleading statements as to the condition, quality, or quantity of commodities received, handled, sold, or stored. Violation of this paragraph (c) shall constitute a class 6 felony.

(d) Engage in fictitious sales, in collusion, or in unfair practices to defraud the owners. Violation of this paragraph (d) shall constitute a class 6 felony.

(e) Act as a commodity handler without having obtained a license or act as a commodity handler without having filed a surety bond or irrevocable letter of credit, as provided in this part 2. Violation of this paragraph (e) shall constitute a class 6 felony.

(f) Willfully convert to his own use or benefit the commodities of another. Violation of this paragraph (f) shall constitute theft, as defined in section 18-4-401, C.R.S.

(g) Commit fraud or deception in the procurement or attempted procurement of a license. Violation of this paragraph (g) shall constitute a class 1 misdemeanor.

(h) Fail to comply with any lawful order of the commissioner concerning the administration of this part 2. Violation of this paragraph (h) shall constitute a class 1 misdemeanor.

(i) Interfere with or hinder an authorized representative of the department while performing his duties under this part 2. Violation of this paragraph (i) shall constitute a class 1 misdemeanor.

(j) Willfully alter or destroy any negotiable warehouse receipt or the record of such negotiable warehouse receipt or issue a negotiable warehouse receipt without preserving a record thereof; or issue a negotiable warehouse receipt when the commodity described is not in the building certified in the receipt; or, with intent to defraud, issue a second or other negotiable warehouse receipt for any commodity for which, or for any part of which, a valid negotiable warehouse receipt is already outstanding and in force; or, while any valid negotiable warehouse receipt is outstanding and in force, sell, pledge, mortgage, encumber, or transfer a commodity in violation of the provisions of this part 2 or permit the same to be done without the written consent of the holder of the negotiable warehouse receipt or receive such property or help to dispose of the same. Violation of this paragraph (j) shall constitute a class 6 felony.

(k) Sell commodities for less than the current market price to any person with whom he or she has any financial connection, directly or indirectly, either as an owner of the corporate stock of a corporation, as a copartner, or in any other capacity, or sell any commodities out of the purchase price of which said handler, directly or indirectly, retains any portion thereof other than the commission allowed and reported pursuant to section 12-16-112. Violation of this paragraph (k) shall constitute theft, as defined in section 18-4-401, C.R.S.

(l) Act as a commodity handler and, with intent to defraud, make, draw, utter, or deliver any check, draft, or order for the payment of money upon any bank or other depository to the owner for the purchase price of any commodities or any part thereof upon obtaining possession or control thereof, when at the time of the making, drawing, uttering, or delivery the maker or drawer has not sufficient funds in or credit with such bank or other depository for the payment of such check, draft, or order in full upon its presentation. The making, drawing, uttering, or delivery of such check, draft, or order shall be prima facie evidence of an intent to defraud. "Credit", as used in this paragraph (l), means an arrangement or understanding with the bank or depository for the payment of such check, draft, or order. Violation of this paragraph (l) shall constitute fraud by check, as defined in section 18-5-205, C.R.S.