N.J. Admin. Code § 17:16-4.3

Current through Register Vol. 56, No. 24, December 18, 2024
Section 17:16-4.3 - Restrictions
(a) The Division shall not engage an investment management firm to provide investment management services for the benefit of a State Pension and Annuity Fund, and shall not recommend that a separate account invest with an investment management firm, if, within the two years prior to such engagement or recommendation, any political contribution or payment to a political party covered by this subchapter has been made or paid by:
1. The investment management firm, its parent company, or any other person or entity that controls the investment management firm;
2. Any investment management professional associated with such investment management firm;
3. Any third party solicitor associated with such investment management firm; or
4. Any political action committee controlled by the investment management firm, its parent company, or any other entity that controls the investment management firm, or by an investment management professional of such investment management firm or controlling entity.
(b) The Division shall terminate the contract of any investment management firm if it is discovered that, within the two years prior to such engagement or during the term of such engagement, any political contribution or payment to a political party covered by this subchapter was made or paid by:
1. The investment management firm, its parent company, or any other person or entity that controls the investment management firm;
2. Any investment management professional associated with such investment management firm;
3. Any third party solicitor who solicited the Division to engage the investment management firm and was still associated with the investment management firm at the time of the contribution or payment; or
4. Any political action committee controlled by the investment management firm, its parent company, or any other entity that controls the investment management firm, or by an investment management professional of such investment management firm or controlling entity.
(c) The provisions of (a) and (b) above shall not, however, prohibit the engagement or require the termination of an investment management firm, or prohibit the recommendation of an investment, if the only political contributions made by a person noted above within the two years prior to, and during, any such engagement were/are made by the contributor to State officials for whom the contributor was/is entitled to vote. Political contributions made by a contributor, pursuant to this subsection, shall not exceed $ 250.00 per State official, per election.
(d) The provisions of (a) and (b) above shall not, however, prohibit the engagement or require the termination of an investment management firm, or prohibit the recommendation of an investment, if the only payments to any political party made by a person noted above within the two years prior to, and during, any such engagement did/do not exceed $ 250.00 per political party, per year.
(e) The provisions of (a) through (d) above shall apply to political contributions and payments to political parties made by any individual or entity for the 12-month period prior to such individual or entity becoming an investment management firm, investment management professional, or third party solicitor.

N.J. Admin. Code § 17:16-4.3

Amended by R.2005 d.275, effective 8/15/2005.
See: 37 N.J.R. 1126(a), 37 N.J.R. 3050(a).
Rewrote (a)1 and 4.
Amended by R.2006 d.317, effective 9/5/2006.
See: 38 N.J.R. 2039(a), 38 N.J.R. 3632(a).
In introductory paragraph of (a), substituted "Pension and Annuity Funds" for "or its pension funds".
Amended by R.2014 d.038, effective 3/3/2014.
See: 45 N.J.R. 1477(a), 46 N.J.R. 442(a).
Rewrote the section.