710 IAC 6 — ARTICLE 6. ASSESSMENT OF FINES AND CIVIL PENALTIES

TITLE 710 SECURITIES DIVISION

ARTICLE 6. ASSESSMENT OF FINES AND CIVIL PENALTIES

Rule 1

710 IAC 6-1-1 710 IAC 6-1-1 Applicability

Rule 1. Definitions

710 IAC 6-1-1 Applicability

Authority: IC 23-2-2.5-42; IC 23-2-2.5-47; IC 23-2-6-22; IC 23-2-6-34; IC 23-2.5-11-6; IC 23-19-6-1; IC 23-19-6-5; IC 25-11-1-8; IC 25-11-1-14

Affected: IC 23-2; IC 23-2.5; IC 23-19; IC 25-11

Sec. 1. (a) Except as provided in subsection (b), the definitions contained in this article apply throughout this title.

(b) If a definition in this article conflicts with a definition of specific applicability in another part of this title, or in a statute that controls another part of this title, the definition of specific applicability controls.

(Securities Division; 710 IAC 6-1-1; filed Jan 12, 2026, 4:22 p.m.: 20260211-IR-710250231FRA)

710 IAC 6-1-2 710 IAC 6-1-2 "Commissioner" defined

710 IAC 6-1-2 "Commissioner" defined

Authority: IC 23-19-6-1; IC 23-2-2.5-42; IC 23-2-2.5-47; IC 23-2.5-11-6

Affected: IC 23-19-1-2; IC 23-19-6-1; IC 23-2-2.5-1

Sec. 2. "Commissioner" means the securities commissioner appointed under IC 23-19-6-1(a).

(Securities Division; 710 IAC 6-1-2; filed Jan 12, 2026, 4:22 p.m.: 20260211-IR-710250231FRA)

710 IAC 6-1-3 710 IAC 6-1-3 "Fraud" defined

710 IAC 6-1-3 "Fraud" defined

Authority: IC 23-19-6-1; IC 23-2-2.5-42; IC 23-2-2.5-47; IC 23-2.5-11-6

Affected: IC 23-19-1-2; IC 23-2-2.5-1

Sec. 3. (a) Except as provided in subsection (b), "fraud", "fraudulent", "deceit", and "defraud" have the meaning set forth in IC 23-19-1-2(9).

(b) Fraud and deceit related to franchises includes:

(1) the misrepresentation in any way of a material fact;

(2) any promise or representation or prediction concerning the future not made honestly or in good faith; or

(3) the failure or omission to state a material fact necessary to make the statements made, because of the circumstances under which they were made, not misleading.

(Securities Division; 710 IAC 6-1-3; filed Jan 12, 2026, 4:22 p.m.: 20260211-IR-710250231FRA)

710 IAC 6-1-4 710 IAC 6-1-4 "Harmed person" defined

710 IAC 6-1-4 "Harmed person" defined

Authority: IC 23-2-2.5-42; IC 23-2-2.5-47; IC 23-2.5-11-6; IC 23-19-6-1

Affected: IC 23-2-2.5-1; IC 23-19-1-2

Sec. 4. "Harmed person" means the person harmed, defrauded, misled, or deceived by the violation.

(Securities Division; 710 IAC 6-1-4; filed Jan 12, 2026, 4:22 p.m.: 20260211-IR-710250231FRA)

710 IAC 6-1-5 710 IAC 6-1-5 "Person" defined

710 IAC 6-1-5 "Person" defined

Authority: IC 23-2-2.5-42; IC 23-2-2.5-47; IC 23-2.5-11-6; IC 23-19-6-1

Affected: IC 23-2-2.5-1; IC 23-2-6-14; IC 23-19-1-2

Sec. 5. (a) Except as provided in subsection (b), "person" has the meaning set forth in IC 23-19-1-2(20).

(b) "Person", as it relates to commodities under IC 23-2-6, has the meaning set forth in IC 23-2-6-14.

(Securities Division; 710 IAC 6-1-5; filed Jan 12, 2026, 4:22 p.m.: 20260211-IR-710250231FRA)

710 IAC 6-1-6 710 IAC 6-1-6 "Respondent" defined

710 IAC 6-1-6 "Respondent" defined

Authority: IC 23-2-2.5-42; IC 23-2-2.5-47; IC 23-2.5-11-6; IC 23-19-6-1

Affected: IC 23-2-2.5-1; IC 23-19-1-2

Sec. 6. "Respondent" means the responding party in legal proceedings that a fine or civil penalty has been imposed against.

(Securities Division; 710 IAC 6-1-6; filed Jan 12, 2026, 4:22 p.m.: 20260211-IR-710250231FRA)

Rule 2

710 IAC 6-2-1 710 IAC 6-2-1 Applicability

Rule 2. Assessment of Indiana Uniform Securities Act Fines and Civil Penalties

710 IAC 6-2-1 Applicability

Authority: IC 23-19-6-1

Affected: IC 23-19-4-12; IC 23-19-6-4

Sec. 1. (a) The commissioner may impose a civil penalty in an amount not to exceed ten thousand dollars ($10,000) on a respondent for each violation under IC 23-19. Mitigating and aggravating factors can affect the amount of civil penalty imposed.

(b) Nothing in this rule requires the commissioner to impose a civil penalty for a violation.

(Securities Division; 710 IAC 6-2-1; filed Jan 12, 2026, 4:22 p.m.: 20260211-IR-710250231FRA)

710 IAC 6-2-2 710 IAC 6-2-2 Mitigating factors

710 IAC 6-2-2 Mitigating factors

Authority: IC 23-19-6-1

Affected: IC 23-19-4-12; IC 23-19-6-4

Sec. 2. Mitigating factors are extenuating circumstances that may lead to a reduced civil penalty. The mitigating circumstances that may be considered include the following:

(1) The violation resulted in no harm to the public.

(2) The respondent has had no other prior violations.

(3) The violation did not involve fraud.

(4) Any other circumstances presented by the respondent for consideration.

(Securities Division; 710 IAC 6-2-2; filed Jan 12, 2026, 4:22 p.m.: 20260211-IR-710250231FRA)

710 IAC 6-2-3 710 IAC 6-2-3 Aggravating factors

710 IAC 6-2-3 Aggravating factors

Authority: IC 23-19-6-1

Affected: IC 23-19-4-12; IC 23-19-6-4

Sec. 3. Aggravating factors are circumstances that may increase an imposed civil penalty. The aggravating circumstances that may be considered include the following:

(1) The respondent has a history of prior violations.

(2) The respondent has had a prior violation of similar behavior.

(3) The respondent's actions caused significant harm or loss to the harmed person.

(4) The respondent's actions caused significant harm or loss to multiple individuals.

(5) The respondent owed a fiduciary duty to the harmed person.

(6) The harmed person is at least sixty (60) years of age.

(7) The violation was committed while using or taking advantage of, or in connection with, a relationship based on religious affiliation or worship.

(8) The violation involved fraudulent conduct.

(9) The violation amounted to substantial gains to the respondent.

(10) The respondent obstructed or failed to comply with the division's investigation.

(11) Any other willful or intentional misconduct by the respondent.

(Securities Division; 710 IAC 6-2-3; filed Jan 12, 2026, 4:22 p.m.: 20260211-IR-710250231FRA)

710 IAC 6-2-4 710 IAC 6-2-4 Multiple violations

710 IAC 6-2-4 Multiple violations

Authority: IC 23-19-6-1

Affected: IC 23-19-4-12; IC 23-19-6-4

Sec. 4. In certain situations, several violations may have been committed. Separate violations may be grouped for the purpose of applying this policy. The total fine or civil penalty assessed in an enforcement case may include penalties for several violations or groups of violations, each calculated under this policy.

(Securities Division; 710 IAC 6-2-4; filed Jan 12, 2026, 4:22 p.m.: 20260211-IR-710250231FRA)

Rule 3

710 IAC 6-3-1 710 IAC 6-3-1 Applicability

Rule 3. Assessment of Indiana Franchise Act Fines and Civil Penalties

710 IAC 6-3-1 Applicability

Authority: IC 23-2-2.5-42; IC 23-2-2.5-47

Affected: IC 23-2-2.5

Sec. 1. (a) The commissioner may impose a civil penalty in an amount not to exceed ten thousand dollars ($10,000) on a respondent for each violation under IC 23-2-2.5. Mitigating and aggravating factors can affect the amount of civil penalty imposed.

(b) Nothing in this rule requires the commissioner to impose a civil penalty for a violation.

(Securities Division; 710 IAC 6-3-1; filed Jan 12, 2026, 4:22 p.m.: 20260211-IR-710250231FRA)

710 IAC 6-3-2 710 IAC 6-3-2 Mitigating factors

710 IAC 6-3-2 Mitigating factors

Authority: IC 23-2-2.5-42; IC 23-2-2.5-47

Affected: IC 23-2-2.5

Sec. 2. Mitigating factors are extenuating circumstances that may lead to a reduced civil penalty. The mitigating circumstances that may be considered include the following:

(1) The violation resulted in no harm to the public.

(2) The respondent has had no other prior violations.

(3) The violation did not involve fraud.

(4) Any other circumstances presented by the respondent for consideration.

(Securities Division; 710 IAC 6-3-2; filed Jan 12, 2026, 4:22 p.m.: 20260211-IR-710250231FRA)

710 IAC 6-3-3 710 IAC 6-3-3 Aggravating factors

710 IAC 6-3-3 Aggravating factors

Authority: IC 23-2-2.5-42; IC 23-2-2.5-47

Affected: IC 23-2-2.5

Sec. 3. Aggravating factors are circumstances that may increase an imposed civil penalty. The aggravating circumstances that may be considered include the following:

(1) The respondent has a history of prior violations.

(2) The respondent has had a prior violation of similar behavior.

(3) The respondent's actions caused significant harm or loss to the harmed person.

(4) The respondent's actions caused significant harm or loss to multiple individuals.

(5) The violation involved fraudulent conduct.

(6) The violation amounted to substantial gains to the respondent.

(7) The respondent obstructed or failed to comply with the division's investigation.

(8) Any other willful or intentional misconduct by the respondent.

(Securities Division; 710 IAC 6-3-3; filed Jan 12, 2026, 4:22 p.m.: 20260211-IR-710250231FRA)

710 IAC 6-3-4 710 IAC 6-3-4 Multiple violations

710 IAC 6-3-4 Multiple violations

Authority: IC 23-2-2.5-42; IC 23-2-2.5-47

Affected: IC 23-2-2.5

Sec. 4. In certain situations, several violations may have been committed. Separate violations may be grouped for the purpose of imposing a civil penalty. The total fine or civil penalty assessed in an enforcement case may include penalties for several violations or groups of violations, each calculated under this policy.

(Securities Division; 710 IAC 6-3-4; filed Jan 12, 2026, 4:22 p.m.: 20260211-IR-710250231FRA)

Rule 4

710 IAC 6-4-1 710 IAC 6-4-1 Applicability

Rule 4. Assessment of Indiana Loan Broker Act Fines and Civil Penalties

710 IAC 6-4-1 Applicability

Authority: IC 23-2.5-1-8; IC 23-2.5-1-36; IC 23-2.5-11-6

Affected: IC 23-2.5

Sec. 1. (a) The commissioner may impose a civil penalty in an amount not to exceed a maximum of ten thousand dollars ($10,000) on a respondent for each violation under IC 23-2.5. Mitigating and aggravating factors can affect the amount of civil penalty imposed.

(b) Nothing in this rule requires the commissioner to impose a civil penalty for a violation.

(Securities Division; 710 IAC 6-4-1; filed Jan 12, 2026, 4:22 p.m.: 20260211-IR-710250231FRA)

710 IAC 6-4-2 710 IAC 6-4-2 Mitigating factors

710 IAC 6-4-2 Mitigating factors

Authority: IC 23-2.5-11-6

Affected: IC 23-2.5

Sec. 2. Mitigating factors are extenuating circumstances that may lead to a reduced civil penalty. The mitigating circumstances that may be considered include the following:

(1) The violation resulted in no harm to the public.

(2) The respondent has had no other prior violations.

(3) The violation did not involve fraud.

(4) The circumstances that lead to the violation are not likely to reoccur in the future.

(5) Any other circumstances presented by the respondent for consideration.

(Securities Division; 710 IAC 6-4-2; filed Jan 12, 2026, 4:22 p.m.: 20260211-IR-710250231FRA)

710 IAC 6-4-3 710 IAC 6-4-3 Aggravating factors

710 IAC 6-4-3 Aggravating factors

Authority: IC 23-2.5-11-6

Affected: IC 23-2.5

Sec. 3. Aggravating factors are circumstances that may increase an imposed civil penalty. The aggravating circumstances that may be considered include the following:

(1) The respondent has a history of prior violations.

(2) The respondent has had a prior violation of similar behavior.

(3) The respondent's actions caused significant harm or loss to the harmed person.

(4) The respondent's actions caused significant harm or loss to multiple individuals.

(5) The violation involved fraudulent conduct.

(6) The violation amounted to substantial gains to the respondent.

(7) The respondent obstructed or failed to comply with the division's investigation.

(8) Any other willful or intentional misconduct by the respondent.

(Securities Division; 710 IAC 6-4-3; filed Jan 12, 2026, 4:22 p.m.: 20260211-IR-710250231FRA)

710 IAC 6-4-4 710 IAC 6-4-4 Multiple violations

710 IAC 6-4-4 Multiple violations

Authority: IC 23-2.5-11-6

Affected: IC 23-2.5

Sec. 4. In certain situations, several violations may have been committed. Separate violations may be grouped for the purpose of imposing a civil penalty. The total fine or civil penalty assessed in an enforcement case may include penalties for several violations or groups of violations, each calculated under this policy.

(Securities Division; 710 IAC 6-4-4; filed Jan 12, 2026, 4:22 p.m.: 20260211-IR-710250231FRA)

Rule 5

710 IAC 6-5-1 710 IAC 6-5-1 Applicability

Rule 5. Assessment of Indiana Commodities Act Fines and Civil Penalties

710 IAC 6-5-1 Applicability

Authority: IC 23-2-6-22; IC 23-2-6-34

Affected: IC 23-2-6

Sec. 1. (a) The commissioner may impose a civil penalty of not more than ten thousand dollars ($10,000) on a respondent for any single violation under IC 23-2-6. Mitigating and aggravating factors can affect the amount of civil penalty imposed.

(b) Nothing in this rule requires the commissioner to impose a civil penalty for a violation.

(Securities Division; 710 IAC 6-5-1; filed Jan 12, 2026, 4:22 p.m.: 20260211-IR-710250231FRA)

710 IAC 6-5-2 710 IAC 6-5-2 Mitigating factors

710 IAC 6-5-2 Mitigating factors

Authority: IC 23-2-6-22; IC 23-2-6-34

Affected: IC 23-2-6

Sec. 2. Mitigating factors are extenuating circumstances that may lead to a reduced civil penalty. The mitigating circumstances that may be considered include the following:

(1) The violation resulted in no harm to the public.

(2) The respondent has had no other prior violations.

(3) The violation did not involve fraud.

(4) Any other circumstances presented by the respondent for consideration.

(Securities Division; 710 IAC 6-5-2; filed Jan 12, 2026, 4:22 p.m.: 20260211-IR-710250231FRA)

710 IAC 6-5-3 710 IAC 6-5-3 Aggravating factors

710 IAC 6-5-3 Aggravating factors

Authority: IC 23-2-6-22; IC 23-2-6-34

Affected: IC 23-2-6

Sec. 3. Aggravating factors are circumstances that may increase an imposed civil penalty. The aggravating circumstances that may be considered include the following:

(1) The respondent has a history of prior violations.

(2) The respondent has had a prior violation of similar behavior.

(3) The respondent's actions caused significant harm or loss to the harmed person.

(4) The respondent's actions caused significant harm or loss to multiple individuals.

(5) The respondent owed a fiduciary duty to the harmed person.

(6) The harmed person is at least sixty (60) years of age.

(7) The violation was committed while using or taking advantage of, or in connection with, a relationship based on religious affiliation or worship.

(8) The violation involved fraudulent conduct.

(9) The violation amounted to substantial gains to the respondent.

(10) The respondent obstructed or failed to comply with the division's investigation.

(11) Any other willful or intentional misconduct by the respondent.

(Securities Division; 710 IAC 6-5-3; filed Jan 12, 2026, 4:22 p.m.: 20260211-IR-710250231FRA)

710 IAC 6-5-4 710 IAC 6-5-4 Multiple violations

710 IAC 6-5-4 Multiple violations

Authority: IC 23-2-6-22; IC 23-2-6-34

Affected: IC 23-2-6

Sec. 4. In certain situations, several violations may have been committed. Separate violations may be grouped for the purpose of applying this policy. The total fine or civil penalty assessed in an enforcement case may include penalties for several violations or groups of violations, each calculated under this policy.

(Securities Division; 710 IAC 6-5-4; filed Jan 12, 2026, 4:22 p.m.: 20260211-IR-710250231FRA)

Rule 6

710 IAC 6-6-1 710 IAC 6-6-1 Applicability

Rule 6. Assessment of Indiana Collection Agency Act Fines and Civil Penalties

710 IAC 6-6-1 Applicability

Authority: IC 25-11-1-8; IC 25-11-1-14

Affected: IC 25-11-1-15

Sec. 1. (a) The commissioner may impose a civil penalty in an amount not to exceed ten thousand dollars ($10,000) on a respondent for each violation under IC 25-11. Mitigating and aggravating factors can affect the amount of civil penalty imposed.

(b) Nothing in this rule requires the commissioner to impose a civil penalty for a violation.

(Securities Division; 710 IAC 6-6-1; filed Jan 12, 2026, 4:22 p.m.: 20260211-IR-710250231FRA)

710 IAC 6-6-2 710 IAC 6-6-2 Mitigating factors

710 IAC 6-6-2 Mitigating factors

Authority: IC 25-11-1-8; IC 25-11-1-14

Affected: IC 25-11-1-15

Sec. 2. Mitigating factors are extenuating circumstances that may lead to a reduced civil penalty. The mitigating circumstances that may be considered include the following:

(1) The violation resulted in no harm to the public.

(2) The respondent has had no other prior violations.

(3) The violation did not involve fraud.

(4) Any other circumstances presented by the respondent for consideration.

(Securities Division; 710 IAC 6-6-2; filed Jan 12, 2026, 4:22 p.m.: 20260211-IR-710250231FRA)

710 IAC 6-6-3 710 IAC 6-6-3 Aggravating factors

710 IAC 6-6-3 Aggravating factors

Authority: IC 25-11-1-8; IC 25-11-1-14

Affected: IC 25-11-1-15

Sec. 3. Aggravating factors are circumstances that may increase an imposed civil penalty. The aggravating circumstances that may be considered include the following:

(1) The respondent has a history of prior violations.

(2) The respondent has had a prior violation of similar behavior.

(3) The respondent's actions caused significant harm or loss to the harmed person.

(4) The respondent's actions caused significant harm or loss to multiple individuals.

(5) The harmed person is at least sixty (60) years of age.

(6) The violation involved fraudulent conduct.

(7) The violation amounted to substantial gains to the respondent.

(8) The respondent obstructed or failed to comply with the division's investigation.

(9) Any other willful or intentional misconduct by the respondent.

(Securities Division; 710 IAC 6-6-3; filed Jan 12, 2026, 4:22 p.m.: 20260211-IR-710250231FRA)

710 IAC 6-6-4 710 IAC 6-6-4 Multiple violations

710 IAC 6-6-4 Multiple violations

Authority: IC 25-11-1-8; IC 25-11-1-14

Affected: IC 25-11-1-15

Sec. 4. In certain situations, several violations may have been committed. Separate violations may be grouped for the purpose of applying this policy. The total fine or civil penalty assessed in an enforcement case may include penalties for several violations or groups of violations, each calculated under this policy.

(Securities Division; 710 IAC 6-6-4; filed Jan 12, 2026, 4:22 p.m.: 20260211-IR-710250231FRA)