The division may make any investigation it considers necessary to determine whether any person is violating, has violated, or is about to violate any provision of this chapter or any rule made or order issued under this chapter. As part of the investigation, the division may:
Terms Used In Utah Code 13-22-3
Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
Chapter: means a chapter, branch, area, office, or similar affiliate of a charitable organization. See Utah Code 13-22-2
Contract: A legal written agreement that becomes binding when signed.
Defendant: In a civil suit, the person complained against; in a criminal case, the person accused of the crime.
Director: means the director of the Division of Consumer Protection. See Utah Code 13-22-2
Division: means the Division of Consumer Protection of the Department of Commerce. See Utah Code 13-22-2
Evidence: Information presented in testimony or in documents that is used to persuade the fact finder (judge or jury) to decide the case for one side or the other.
Injunction: An order of the court prohibiting (or compelling) the performance of a specific act to prevent irreparable damage or injury.
Rescission: The cancellation of budget authority previously provided by Congress. The Impoundment Control Act of 1974 specifies that the President may propose to Congress that funds be rescinded. If both Houses have not approved a rescission proposal (by passing legislation) within 45 days of continuous session, any funds being withheld must be made available for obligation.
solicitation: includes :
(i)
any of the following done, or purporting to be done, for a charitable purpose:
(A)
any oral or written request, including any request by telephone, radio, television, or other advertising or communications media;
(B)
the distribution, circulation, or posting of any handbill, written advertisement, or publication; or
(C)
an application or other request for a a private grant or, if made by an individual, a public grant; or
(ii)
the sale of, offer or attempt to sell, or request of donations in exchange for any advertisement, membership, subscription, or other article in connection with which any appeal is made for any charitable purpose, or the use of the name of any charitable organization or movement as an inducement or reason for making any purchase donation, or, in connection with any sale or donation, stating or implying that the whole or any part of the proceeds of any sale or donation will go to or be donated to any charitable purpose. See Utah Code 13-22-2
State: when applied to the different parts of the United States, includes a state, district, or territory of the United States. See Utah Code 68-3-12.5
Subpoena: A command to a witness to appear and give testimony.
administer oaths, subpoena witnesses and compel their attendance, take evidence, and examine under oath any person in connection with an investigation; and
(c)
require the production of any books, papers, documents, merchandise, or other material relevant to the investigation.
(2)
Whenever it appears to the director that substantial evidence exists that any person has engaged in, is engaging in, or is about to engage in any act or practice prohibited in this chapter or constituting a violation of this chapter or any rule made or order issued under this chapter, the director may do any of the following in addition to other specific duties under this chapter:
(a)
in accordance with Title 63G, Chapter 4, Administrative Procedures Act, the director may issue an order to cease and desist from engaging in the act or practice or from doing any act in furtherance of the activity; or
(b)
the director may bring an action in the appropriate district court of this state to enjoin the acts or practices constituting the violation or to enforce compliance with this chapter or any rule made or order issued under this chapter.
(3)
Whenever it appears to the director by a preponderance of the evidence that a person has engaged in or is engaging in any act or practice prohibited in this chapter or constituting a violation of this chapter or any rule made or order issued under this chapter, the director may assess an administrative fine of up to $500 per violation up to $10,000 for any series of violations arising out of the same operative facts.
(4)
Upon a proper showing, the court hearing an action brought under Subsection (2)(b) may:
(a)
issue an injunction;
(b)
enter a declaratory judgment;
(c)
appoint a receiver for the defendant or the defendant’s assets;
(d)
order disgorgement of any money received in violation of this chapter;
(e)
order rescission of agreements violating this chapter;
(f)
impose a fine of not more than $2,000 for each violation of this chapter; and
(g)
impose a civil penalty, or any other relief the court considers just.
(5)
(a)
In assessing the amount of a fine or penalty under Subsection (3), (4)(f), or (4)(g), the director or court imposing the fine or penalty shall consider the gravity of the violation and the intent of the violator.
(b)
If it does not appear by a preponderance of the evidence that the violator acted in bad faith or with intent to harm the public, the director or court shall excuse payment of the fine or penalty.
(6)
The division may provide or contract to provide public education and voluntary education for applicants and registrants under this chapter. The education may be in the form of publications, advertisements, seminars, courses, or other appropriate means. The scope of the education may include:
(a)
the requirements, prohibitions, and regulated practices under this chapter;
(b)
suggestions for effective financial and organizational practices for charitable organizations;
(c)
charitable giving and solicitation;
(d)
potential problems with solicitations and fraudulent or deceptive practices; and
(e)
any other matter relevant to the subject of this chapter.
