New Jersey § 49:3-69

§ 49:3-69.

(a) If it appears to the bureau chief that any person has , or directly or indirectly controls another person who has engaged in, is engaging in, or is about to engage in any act or practice constituting a violation of any provision of this act or any rule or order hereunder, or if it appears that it will be against the public interest for any person to issue, sell, offer

for sale, purchase, offer to purchase, promote, negotiate, advertise or distribute

any securities from or within this State, the bureau chief may take, in addition to any other enforcement actions available

under this act and in the bureau chief's discretion, either or both of the following

actions: (1) issue a cease and desist order against the persons engaged in the prohibited activities

directing them to cease and desist from further illegal activity or doing any acts

in furtherance thereof. Upon entry of such an order, the bureau chief shall promptly notify each person

subject thereto that it has been entered and of the reasons therefor. In the case of an agent, notice shall also be given to the broker-dealer with which

the agent is affiliated as shown on the Central Registration Depository, and in the

case of an investment adviser representative, notice shall also be given to the investment

adviser with which the investment adviser representative is affiliated as shown on

Form ADV, 17 C.F.R. § 279.1 , or successor federal registration form; (i) The bureau chief shall entertain on no less than three days' notice an application

to lift the summary order on written application of the person subject thereto and

in connection therewith may, but need not, hold a hearing and hear testimony, but

shall provide to the person subject thereto a written statement of the reasons for

the summary order; (ii) Upon service of notice of the order issued by the bureau chief, each person subject

thereto shall have up to 15 days to respond to the bureau in the form of a written

answer and written request for a hearing. The bureau chief shall, within five days of receiving the answer and request for

a hearing, either transmit the matter to the Office of Administrative Law for a hearing

or schedule a hearing at the Bureau of Securities. Orders issued pursuant to this section shall be subject to an application to vacate

upon 10 days' notice, and in any event a preliminary hearing on the order shall be

held within 20 days after it is requested, and the filing of a motion to vacate the

order shall toll the time for filing an answer and written request for a hearing; (iii) If any person subject to the order fails to respond by either filing a written

answer and written request for a hearing with the bureau or moving to vacate the order

within the 15-day prescribed period, that person shall have waived the opportunity

to be heard and the order shall remain in effect as to that person until modified

or vacated by the bureau chief; or (2) Have an action brought by the Attorney General in the Superior Court on the bureau

chief's behalf to enjoin the acts or practices to enforce compliance with this act

or any rule or order hereunder. Upon a proper showing, a permanent or temporary injunction, restraining order, or

writ of mandamus shall be granted and a receiver or conservator may be appointed for

the defendant or the defendant's assets. In addition, upon a proper showing by the bureau chief, the court may enter an order

of rescission, restitution or disgorgement or any other order within the court's power,

directed to any person who has engaged in any act constituting a violation of any

provision of this act or any rule or order hereunder. The court may not require the bureau chief to post a bond. The court may proceed in the action in a summary manner or otherwise; (b) If it appears to the court in the action that such person has engaged in, is engaging in, or is

about to engage in any act or practice constituting a violation of any provision of this act or any rule or order hereunder , it may enjoin such person, and any agent, employee, broker, partner, officer, director

or stockholder thereof, from continuing such practices or engaging therein or doing

any acts in furtherance thereof. The court may also enjoin the issuance, sale, offer for sale, purchase, offer to

purchase, promotion, negotiation, advertisement or distribution from or within this

State of any securities by such persons, and any agent, employee, broker, partner,

officer, director or stockholder thereof, until the court shall otherwise order; (c) If the court grants injunctive relief as provided for in subsection (b) of this section , it may appoint a receiver with power to sue for, collect, receive and take into

his possession all the goods and chattels, rights and credits, moneys and effects,

lands and tenements, books, records, documents, papers, choses in action, bills, notes

and property of every description, derived by means of any practice constituting a violation of this act or any rule or order hereunder , including property with which such property has been mingled, if it cannot be identified

in kind because of such commingling, and to sell, convey and assign the same and hold

and dispose of the proceeds thereof under the direction of the court for the equal

benefit of all who establish an interest therein by reason of the use and employment

by the defendant of any practices constituting a violation of this act or any rule or order hereunder . The receiver may retain an attorney with the consent of the Attorney General and

the court. The court shall have jurisdiction of all questions arising in such proceedings and

may make such orders and judgments therein as justice shall require; (d) If injunctive relief is granted as provided for in subsection (b) of this section against a corporation, partnership, company, association or trust, the court may

appoint a receiver and may restrain the corporation, its officers, directors, stockholders,

and agents, the partnership, company or association, its officers, members and agents,

and the trust, its grantors, trustees, officers, cestuis que trustent and agents,

from exercising any of its privileges or franchises, and in the case of a trust from

executing the trust, and in all cases from collecting or receiving any debts, or paying

out, selling, assigning or transferring any of its estate, moneys, funds, lands, tenements

or effects except to the receiver appointed by the court until the court shall otherwise

order. Upon the appointment of the receiver, all the real and personal property of the corporation,

partnership, company, association or trust, and its franchises, rights, privileges

and effects shall forthwith vest in him and the corporation, partnership, company,

association or trust shall be divested of the title thereto. The receiver shall settle the estate and distribute the assets, and have all the powers

and duties conferred upon receivers by the provisions of Title 14A of the New Jersey Statutes , Corporations, General, so far as the provisions thereof are applicable.