A. It shall be unlawful for any person willingly, knowingly, or fraudulently to represent, make, issue, deliver, use or submit, or to participate in representing, making, issuing, delivering, using, or submitting any fictitious, false or fraudulent offer, agreement, contract, or other instrument concerning:

1. The sale of timber or the right to cut or harvest or remove timber from a site or from real property not owned or leased by that person; or

2. The sale of timber or the right to cut or harvest or remove timber that is not owned by that person.

B. It shall be unlawful for a timber owner to, knowingly or with intent to defraud, fail to pay in a timely manner the applicable owners the full price of all the purchased timber.

1. A timber owner acts with intent to defraud if the timber owner disperses, uses, or diverts money with the intent to deprive an owner of the purchase money.

2. Unless otherwise agreed to in writing, a timber owner is presumed to have acted with intent to defraud if the timber owner does not pay all applicable owners for the purchase price of the timber not later than forty-five (45) calendar days after the date the timber owner collects money for the timber.

C. Any person convicted of violating the provisions of this section shall be guilty of:

1. A felony if the timber to be sold or right to cut or harvest the timber pursuant to subsection A of this section is valued at more than Two Hundred Dollars ($200.00). Upon conviction the person shall be subject to the imposition of a fine of not more than Ten Thousand Dollars ($10,000.00), or by imprisonment in the State Penitentiary for not more than five (5) years, or to both; or

2. A misdemeanor if the timber to be sold or right to cut or harvest the timber pursuant to subsection A of this section is valued at Two Hundred Dollars ($200.00) or less. Upon conviction the person shall be subject to the imposition of a fine of not more than One Thousand Dollars ($1,000.00), or by imprisonment in the county jail not to exceed one (1) year, or to both.

Added by Laws 1995, c. 238, § 6, eff. Nov. 1, 1995. Amended by Laws 1997, c. 133, § 103, eff. July 1, 1999; Laws 1999, 1st Ex. Sess., c. 5, § 39, eff. July 1, 1999; Laws 2001, c. 113, § 45, emerg. eff. April 18, 2001. Renumbered from § 1301-310.3 of this title by Laws 2001, c. 113, § 56, emerg. eff. April 18, 2001. Amended by Laws 2002, c. 173, § 13, emerg. eff. May 6, 2002.

NOTE: Laws 1998, 1st Ex. Sess., c. 2, § 23 amended the effective date of Laws 1997, c. 133, § 103 from July 1, 1998, to July 1, 1999.