Prohibited practices
KRS 304.37-575
in effect304.37-575. Prohibited practices
The following practices are prohibited:
(1) Borrowing funds from the mutual insurance holding company, or its subsidiaries and affiliates, to finance the purchase of any portion of a stock offering;
(2) Payment of commissions, "special fees," and any other special payment or extraordinary compensation to officers, directors, interested persons, and affiliates, for arranging, promoting, aiding, or assisting in reorganization to a mutual insurance holding company, or for arranging, promoting, aiding, assisting, or participating in the structuring and placement of a stock offering; and
(3) Entering into an understanding or agreement transferring legal or beneficial ownership of stock to another person in avoidance of these rules.
Effective: July 15, 1998
History: Created 1998 Ky. Acts ch. 546, sec. 16, effective July 15, 1998.
Source: Kentucky Legislative Research Commission (legislature.ky.gov)URL: https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=29960Fetched: 10/20/2026