1. A. Upon the suspension or revocation of the state charter , federal license, or bond of a warehouseman, the State Board of Agriculture may file a lien against all assets of the warehouseman with the county clerk of any county in which the warehouseman has property .
2. B. The Board shall publish notice for two (2) consecutive weeks in a newspaper of general circulation in the area of the public warehouse when the warehouse charter is suspended or revoked.
3. C. When the charter of a warehouseman is renewed after suspension or revocation , the Board shall publish notice for two (2) consecutive weeks in a newspaper of general circulation in the area of the public warehouse that the warehouse is in compliance with the Public Warehouse and Commodity Indemnity Act.

4. D. Upon suspension of the charter , the Board may seize all commodities under the control of the warehouseman, including commodities stored or forwarded to other locations. The Board, upon revocation of the charter, shall seize all commodity stocks of the warehouseman including any commodities stored or forwarded to other locations and sell the commodities . Funds generated by the sale of seized commodities shall be distributed in the following manner:

   1. 1. The Board shall receive an amount equal to the cost of salvage operations;
   2. 2. All remaining funds shall be proportioned among all producers storing commodities with the warehouseman. No person shall receive payment of funds greater than the fair market value of the commodity lost by the producer on the date of seizure;
   3. 3. Funds generated in excess of the payments required by the Public Warehouse and Commodity Indemnity Act shall be deposited in the Indemnity; and
   4. 4. The persons responsible for violations of the Public Warehouse and Commodity Indemnity Act resulting in a charter revocation or commodity seizure shall not be eligible to claim or recover proceeds from the sale or interest accrued on the proceeds from the sale of seized commodities unless approved by the Board.
5. E. A person storing commodities with a warehouseman not holding a valid charter or federal license is not eligible to file a claim or recover damages under the Public Warehouse and Commodity Indemnity Act.

6. F.

   1. 1. Upon revocation of the warehouse charter, the Board shall identify any loss to the depositors and obtain proof . The Board shall immediately notify any bonding company providing a bond for a loss. As soon as practicable, the Board shall communicate the amount of the loss , proof , and the date of loss and seizure to the bonding company. The bonding company shall within thirty (30) calendar days remit to the Board the amount of the loss or the face amount of the bond, whichever is less.
   2. 2. Failure by the bonding company to surrender the funds shall result in a nonrefundable penalty assessment payable to the Board of one percent (1%) per month plus interest of one percent (1%) per month of the face amount of the bond commencing with the date of loss and continuing until the surety funds are surrendered. The Board shall account for all the surety received until all depositor claims against the charter holder are paid as provided in the Public Warehouse and Commodity Indemnity Act. When all claims have been paid, all unexpended bond surety funds including accrued interest, except penalties, shall be returned to the bonding company.
   3. 3. The provisions of this section shall not prohibit the Board from pursuing any other remedy provided by law.
7. G. The Board shall establish a date of loss which shall be the same as the date of seizure for all claims of loss against a warehouseman. The Board shall publish the date of loss as set forth in subsection B of this section and shall notify by registered mail all depositors who may have a claim against a warehouseman of the date of loss and deadline for filing claims.
8. H. To be eligible to file a claim of loss and receive payment as provided in the Public Warehouse and Commodity Indemnity Act, a person shall establish ownership or title to commodities stored or warehoused with the warehouseman against whom the loss is alleged. Evidence of ownership or title shall include uncanceled warehouse receipts or scale tickets. The Board shall determine the sufficiency of evidence of ownership or title.
9. I. Depositors shall, within one hundred twenty (120) days of the order of the Board establishing the date of loss, file a written claim of loss with the Board. If the claim of loss is not filed within the allotted time, the depositor shall forfeit all rights to remuneration or payment .

Laws 1955, HB 505, p. 80, art. 9(B), § 4, emerg. eff. June 3, 1955; Amended by Laws 1985, SB 249, c. 144, § 1, emerg. eff. June 7, 1985; Amended by Laws 1987, HB 1429, c. 125, § 5, emerg. eff. June 2, 1987; Amended by Laws 1990, SB 223, c. 155, § 3, emerg. eff. May 1, 1990; Amended by Laws 1997, HB 1156, c. 10, § 4, emerg. eff. March 31, 1997 (superseded document available); Amended by Laws 2000, SB 1402, c. 243, § 86, emerg. eff. May 24, 2000 (superseded document available).