40-266. Unlawful acts in connection with sale of equity securities. - Kansas Statutes

40-266

Chapter 40.--INSURANCE Article 2.--GENERAL PROVISIONS

      40-266.   Unlawful acts in connection with sale of equity securities. It shall be unlawful for any such beneficial owner, director or officer,directly or indirectly, to sell any equity security of such company if theperson selling the security or his principal (i) does not own the securitysold, or (ii) if owning the security, does not deliver it against such salewithin twenty (20) days thereafter, or does not within five (5) days aftersuch sale deposit it in the mails or other usual channels oftransportation; but no person shall be deemed to have violated this sectionif he proves that notwithstanding the exercise of good faith he was unableto make such delivery or deposit within such time, or that to do so wouldcause undue inconvenience or expense.

      History:   L. 1965, ch. 309, § 3; June 30.