523.9 Penalty for selling stock not directly owned by seller.
It shall be unlawful for any such beneficial owner, director or officer, directly or indirectly, to sell any equity security of such company if the person selling the security or the person’s principal does not own the security sold, or if owning the security, does not deliver it against such sale within twenty days thereafter, or does not within five days after such sale deposit it in the mails or other usual channels of transportation; but no person shall be deemed to have violated this section if the person proves that notwithstanding the exercise of good faith the person was unable to make such delivery or deposit within such time, or that to do so would cause undue inconvenience or expense.
[C66, 71, 73, 75, 77, 79, 81, §523.9]
Referred to in §523.10, 523.11, 523.12, 523.13, 523.14
Structure Iowa Code
Chapter 523 - ELECTIONS AND INSIDER TRADING
Section 523.1 - Proxies authorized.
Section 523.5 - Proportionate representation.
Section 523.6 - Amendment of articles.
Section 523.7 - Statement of stock ownership filed with commissioner.
Section 523.8 - Profit in trading stock to inure to company.
Section 523.9 - Penalty for selling stock not directly owned by seller.
Section 523.10 - Exceptions — rules by commissioner.
Section 523.11 - Arbitrage transactions excepted.
Section 523.12 - Equity security defined.