Moreland

On April 4, 1986, the Department of Corporations, respondent, issued a desist and refrain order pursuant to Corporations Code section 255 32 alleging William Moreland, appellant, offered securities to the public without complying with various provisions in the Corporate Securities Law of 1968. (§ 25000 et seq.) Soon thereafter, appellant request ed an administrative hearing on the order, which ultimately was held on April 25, 1986. Just prior to the hearing, the parties entered into a stipulation wherein it was agreed the sole issue to be resolved at the hearing was whether the investments were securities within the meaning of the Corporate Securities Law.

The administrative law judge issued a proposed decision on May 27, 1986, concluding the investments were “securities,” thereby upholding the desist and refrain order. Respondent formally adopted this proposed decision as its own decision on May 29, 1986.

On July 24, 1986, appellant filed a petition for writ of mandate in the Kern County Superior Court seeking a review of this decision. After conducting an independent review of the administrative record, the trial court denied this petition on October 24, 1986. This…