Section 436.2001. Securities" defined.

Rule 1.  As used in these rules, "securities" means any of the following:

(a)    Stocks or bonds registered by the securities and exchange commission or the office of financial and insurance services of the Michigan department of consumer and industry services which are offered for public sale in the state of Michigan and the values of which are regularly reported  in  a  nationally recognized financial publication.

(b)   Obligations of the United States, including bonds, notes, and bills.

(c)   Obligations which are guaranteed fully as to principal and interest by the United States, except those requiring partial payment of principal.

(d)  General obligations of the state of Michigan.

(e)    Unlimited tax general obligation bonds of political subdivisions of the state which are payable directly from the levying of general ad valorem taxes without limitation as to rate or amount.

(f)    An irrevocable trust  which contains     a    guaranteed      minimum     corpus    of

$50,000.00, which has as trustee a financial institution registered in this state, and which provides for the state of Michigan as first beneficiary and claimant of a distribution of up to $50,000.00 from the trust to satisfy judgments arising from liability under section 801 of 1998 P.A. 58, MCL 436.1801.

(g)  An irrevocable letter of credit or a certificate of deposit issued by a bank, savings bank, savings and loan association, or credit union which is licensed to do business in this state and which is pledged to the state  of Michigan as first claimant for distribution of up to $50,000.00 to satisfy judgments arising from liability under section 801 of 1998  P.A.  58,  MCL 436.1801.

History: 1988 AACS; 2003 AACS.