Code of Colorado Regulations
200 - Department of Revenue
213 - Natural Medicine Division
1 CCR 213-1 - COLORADO REGULATED NATURAL MEDICINE RULES
Part 2 - Applications and Licenses
Section 1 CCR 212-3-2-2140 - Disclosure of Financial Interests and Owners of Natural Medicine Business License

Universal Citation: 200 CO Code Regs 1 CCR 212-3-2-2140

Current through Register Vol. 47, No. 17, September 10, 2024

Basis and Purpose - 2140

The statutory authority for this rule includes but is not limited to sections 44-50-202(1)(b), 44-50-203(1)(a), 44-50-203(1)(b), 44-50-203(1)(d), 44-50-203(1)(e), 44-50-203(1)(n), 44-50-203(2)(a), 44-50-203(2)(l), 44-50-203(2)(q), and 44-50-203(2)(r), C.R.S. The purpose of this rule is to comply with the statutory prohibition on a person having a financial interest in more than five Natural Medicine Business Licenses. This rule identifies disclosures that are required by Natural Medicine Businesses to determine compliance with the statutory limitation on the number of licenses that an individual can have a financial interest in.

A. An Applicant for a Natural Medicine Business License must disclose all Owners with any Financial Interest in each initial, renewal, and change of ownership application. Failure to accurately disclose all Owners of a Natural Medicine Business may result in denial of an application or administrative action against the License.

B. An Applicant for a Natural Medicine Business License must also disclose the following agreements to the Division with each initial application. The Natural Medicine Business shall also disclose each of the following to the Division with each renewal application if the agreement has not previously been disclosed or has changed since the last application. The following agreements do not necessarily constitute a Financial Interest for purposes of the number of Natural Medicine Businesses a person holds:

1. A real or personal property lease;

2. Secured or unsecured promissory notes;

3. Agreements with a Natural Medicine Business regarding intellectual property;

4. Management agreement(s) with the Natural Medicine Business; and

5. Insurance policy(ies) issued to the Natural Medicine Business.

C. A combination of the agreements identified in subparagraph B above may result in a person having a Financial Interest in a Natural Medicine Business if the agreements shift the financial benefit or risk from the Owner to the person or persons with the agreements with the Natural Medicine Business.

D. A Natural Medicine Business must maintain documents identifying the source of all funds invested into a Natural Medicine Business. Natural Medicines Businesses shall not accept nor utilize any funds that are from activity that is not lawful under the Natural Medicine Code.

E. An Owner shall not have a Financial Interest in more than five Natural Medicine Business Licenses. An application may be denied or a License may be subject to administrative discipline where an Owner possesses or would possess a Financial Interest in more than five Natural Medicine Business Licenses.

Disclaimer: These regulations may not be the most recent version. Colorado may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
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