As part of the state budget process, state agencies must appear and testify before legislative budget committees. I recall some stressful moments testifying on the Corporations Committee Budget before a budget committee chaired by then Senator Steve Peace who who was already famous for writing and producing Attack of the Killer Tomatoes! among other solanum lycopersicum attack films.
In notorious defiance of the California Constitution, the legislature in 2002 established the Victims of Corporate Fraud Compensation Fund. See Victims of Corporate Fraud. The purpose of the fund is to provide “restitution to the victims of a corporate fraud”. Several years later, Sacramento Bee reporter Dan Morain wrote a devastating article on the fund: Fraud Victims Fund
California Secretary of State Debra Bowen recently gave notice of proposed amendments to the regulations governing the Victims of Corporate Fraud Compensation Fund. California corporations and foreign corporations qualified to transact intrastate business here pay an annual $2.50 fee that is deposited into the VCFC Fund. In 2004, the Secretary of State adopted regulations governing