§ 78C-18. Post-registration provisions. - North Carolina Statutes

§ 78C‑18.  Post‑registrationprovisions.

(a)        Every registeredinvestment adviser shall make and keep such accounts, correspondence,memoranda, papers, books and records as the Administrator by rule prescribes,subject to the limitations of section 222 of the Investment Advisers Act of1940 (15 U.S.C. § 80(b)‑18a).

All records so required shallbe preserved for three years unless the Administrator by rule prescribesotherwise for particular types of records.

(b)        With respect toinvestment advisers, the Administrator may require that certain information befurnished or disseminated as necessary or appropriate in the public interest orfor the protection of investors and advisory clients.  To the extent determinedby the Administrator in his discretion, information furnished to clients orprospective clients of an investment adviser pursuant to the InvestmentAdvisers Act of 1940 and the rules thereunder may be used in whole or partialsatisfaction of this requirement.

(c)        Every registeredinvestment adviser shall file such financial reports as the Administrator byrule prescribes, subject to the limitations of section 222 of the InvestmentAdvisers Act of 1940 (15 U.S.C. § 80(b)‑18a).

(d)        If the informationcontained in any document filed with the Administrator is or becomes inaccurateor incomplete in any material respect, the registrant or an investment advisercovered under federal law shall promptly file a correcting amendment, if thedocument is filed with respect to a registrant or when the amendment is requiredto be filed with the Securities and Exchange Commission with respect to aninvestment adviser covered under federal law, unless notification of thecorrection has been given under G.S. 78C‑16(b).

(e)        All the recordsreferred to in subsection (a) of this section are subject at any time or fromtime to time to such reasonable periodic, special, or other examinations byrepresentatives of the Administrator, within or without this State, as theAdministrator deems necessary or appropriate in the public interest or for theprotection of investors.  For the purpose of avoiding unnecessary duplicationof examinations, the Administrator, insofar as he deems it practicable inadministering this subsection, may cooperate with the securities administratorsof other states, the Securities and Exchange Commission, and any nationalsecurities exchange or national securities association registered under theSecurities Exchange Act of 1934. (1987 (Reg. Sess., 1988), c.1098, s. 1; 1997‑419, s. 18.)