§ 352. Investigation by attorney-general. 1. Whenever it shall appear
to the attorney-general, either upon complaint or otherwise, that in the
advertisement, investment advice, purchase or sale within this state of
any commodity dealt in on any exchange within the United States of
America or the delivery of which is contemplated by transfer of
negotiable documents of title all of which are hereinafter called
commodities, or that in the issuance, exchange, purchase, sale,
promotion, negotiation, advertisement, investment advice or distribution
within or from this state, of any stocks, bonds, notes, evidences of
interest or indebtedness or other securities, including oil and mineral
deeds or leases and any interest therein, sold or transferred in whole
or in part to the purchaser where the same do not effect a transfer of
the title in fee simple to the land, or negotiable documents of title,
or foreign currency orders, calls or options therefor hereinafter called
security or securities, any person, partnership, corporation, company,
trust or association, or any agent or employee thereof, shall have
employed, or employs, or is about to employ any device, scheme or
artifice to defraud or for obtaining money or property by means of any
false pretense, representation or promise, or that any person,
partnership, corporation, company, trust or association, or any agent or
employee thereof, shall have made, makes or attempts to make within or
from this state fictitious or pretended purchases or sales of securities
or commodities or that any person, partnership, corporation, company,
trust or association, or agent or employee thereof shall have employed,
or employs, or is about to employ, any deception, misrepresentation,
concealment, suppression, fraud, false pretense or false promise, or
shall have engaged in or engages in or is about to engage in any
practice or transaction or course of business relating to the purchase,
exchange, investment advice or sale of securities or commodities which
is fraudulent or in violation of law and which has operated or which
would operate as a fraud upon the purchaser, or that any broker, dealer,
or salesman, as defined by section three hundred fifty-nine-e of this
article, or any agent or employee thereof, has sold or offered for sale
or is attempting to sell or is offering for sale any security or
securities in violation of the provisions of said section or section
three hundred fifty-nine-ee, or that any other section of this article
has been violated, any one or all of which devices, schemes, artifices,
fictitious or pretended purchases or sales of securities or commodities,
deceptions, misrepresentations, concealments, suppressions, frauds,
false pretenses, false promises, practices, transactions and courses of
business are hereby declared to be and are hereinafter referred to as a
fraudulent practice or fraudulent practices or he believes it to be in
the public interest that an investigation be made, he may in his
discretion either require or permit such person, partnership,
corporation, company, trust or association, or any agent or employee
thereof, to file with him a statement in writing under oath or otherwise
as to all the facts and circumstances concerning the subject matter
which he believes it is to the public interest to investigate, and for
that purpose may prescribe forms upon which such statements shall be
made. The attorney-general may also require such other data and
information as he may deem relevant and may make such special and
independent investigations as he may deem necessary in connection with
the matter.

2. The attorney-general, his deputy or other officer designated by him
is empowered to subpoena witnesses, compel their attendance, examine
them under oath before him or a magistrate, a court of record or a judge
or justice thereof and require the production of any books or papers
which he deems relevant or material to the inquiry. Such power of
subpoena and examination shall not abate or terminate by reason of any
action or proceeding brought by the attorney-general under this article.

3. No person shall be excused from attending such inquiry in pursuance
to the mandates of a subpoena, or from producing a paper or book, or
from being examined or required to answer a question on the ground of
failure of tender or payment of a witness fee and/or mileage, unless at
the time of such appearance or production, as the case may be, such
witness makes demand for such payment as a condition precedent to the
offering of testimony or production required by the subpoena and unless
such payment is not thereupon made. The provisions for payment of
witness fee and/or mileage do not apply to any officer, director or
person in the employ of any person, partnership, corporation, company,
trust or association whose conduct or practices are being investigated.

4. If a person subpoenaed to attend such inquiry fails to obey the
command of a subpoena without reasonable cause, or if a person in
attendance upon such inquiry shall without reasonable cause refuse to be
sworn or to be examined or to answer a question or to produce a book or
paper when ordered so to do by the officer conducting such inquiry, or
if a person, partnership, corporation, company, trust or association
fails to perform any act required hereunder to be performed, he shall be
guilty of a misdemeanor.

5. It shall be the duty of all public officers, their deputies,
assistants, subordinates, clerks or employees and all other persons to
render and furnish to the attorney-general, his deputy or other
designated officer when requested all information and assistance in
their possession or within their power. Any officer participating in
such inquiry and any person examined as a witness upon such inquiry who
shall disclose to any person other than the attorney-general the name of
any witness examined or any other information obtained upon such inquiry
except as directed by the attorney-general shall be guilty of a
misdemeanor.