Introduced Version






HOUSE BILL No. 1068

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DIGEST OF INTRODUCED BILL



Citations Affected: IC 23-17-30.

Synopsis: Donations by nonprofit corporations. Prohibits a nonprofit corporation that donates or grants money to an individual or an entity from imposing a condition or restriction on the donation or grant if the condition or restriction infringes upon a right or legal status provided by the United States Constitution or the Indiana Constitution. Allows the secretary of state to administratively dissolve a nonprofit corporation that imposes such a condition or restriction on a donation or a grant.

Effective: July 1, 2002.





Buck




    January 8, 2002, read first time and referred to Committee on Rules and Legislative Procedures.







Introduced

Second Regular Session 112th General Assembly (2002)


PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana Constitution) is being amended, the text of the existing provision will appear in this style type, additions will appear in this style type, and deletions will appear in this style type.
Additions: Whenever a new statutory provision is being enacted (or a new constitutional provision adopted), the text of the new provision will appear in this style type. Also, the word NEW will appear in that style type in the introductory clause of each SECTION that adds a new provision to the Indiana Code or the Indiana Constitution.
Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts between statutes enacted by the 2001 General Assembly.

HOUSE BILL No. 1068



    A BILL FOR AN ACT to amend the Indiana Code concerning business and other associations.

Be it enacted by the General Assembly of the State of Indiana:

SOURCE: IC 23-17-30-5; (02)IN1068.1.1. -->     SECTION 1. IC 23-17-30-5 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2002]: Sec. 5. (a) A corporation incorporated under this article that donates or grants money to an individual or an entity may not impose a condition or restriction on the donation or grant if the condition or restriction infringes upon a right or legal status provided by the Constitution of the United States or the Constitution of the State of Indiana.
    (b) The secretary of state shall commence a proceeding under section 6 of this chapter to administratively dissolve a corporation that violates this section.

SOURCE: IC 23-17-30-6; (02)IN1068.1.2. -->     SECTION 2. IC 23-17-30-6 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2002]: Sec. 6. (a) If the secretary of state determines that a ground exists under section 5 of this chapter for dissolving a corporation, the secretary of state shall serve the corporation with written notice of the determination under IC 23-17-6-4.
    (b) If the corporation does not:
        (1) correct each ground for dissolution; or
        (2) demonstrate to the reasonable satisfaction of the secretary of state that each ground determined by the secretary of state does not exist;
not later than sixty (60) days after service of the notice is perfected under IC 23-17-6-4 , the secretary of state may administratively dissolve the corporation by signing a certificate of dissolution that recites the grounds for dissolution and the effective date of the dissolution. The secretary of state shall file the original of the certificate and serve a copy on the corporation under IC 23-17-6-4.
    (c) A corporation administratively dissolved continues the corporation's corporate existence but may not carry on any activities except those necessary to wind up and liquidate the corporation's affairs under IC 23-17-22-5 and notify the corporation's claimants under IC 23-17-22-6 and IC 23-17-22-7.
    (d) The administrative dissolution of a corporation does not terminate the authority of the corporation's registered agent.