Section 750.219e - Prohibited conduct; violation as felony; penalty; exception; “financial institution” defined. - Michigan Statutes

THE MICHIGAN PENAL CODE (EXCERPT)
Act 328 of 1931

750.219e Prohibited conduct; violation as felony; penalty; exception; “financial institution” defined.

Sec. 219e.

(1) Except as otherwise provided by law, a person shall not do any of the following:

(a) Prepare or submit an application for a loan or other extension of credit in another person's name without authorization from that other person.

(b) Receive or possess an application for a loan or other extension of credit knowing or having reason to know the application was prepared or submitted in violation of subsection (1).

(c) Receive or possess any instrument or device for accessing the proceeds of a loan or other extension of credit knowing or having reason to know the instrument or device was obtained as a result of a violation of subsection (1).

(2) A person who violates this section is guilty of a felony punishable by imprisonment for not more than 4 years or a fine of not more than $2,500.00, or both.

(3) Subsection (1) does not apply to a financial institution or an affiliate, licensee, or franchisee of a financial institution or to a director, officer, or employee of a financial institution or an affiliate, licensee, or franchisee of a financial institution who does any of the following:

(a) Prepares or submits an application in another person's name without prior actual knowledge that the application is being prepared or was prepared in violation of subsection (1).

(b) Submits an application prepared in another person's name to a federal, state, or local law enforcement agency or regulatory agency.

(c) Submits an application prepared in another person's name to a credit reporting bureau or other person to determine whether the application was prepared in violation of subsection (1) or any other law or regulation.

(d) Receives or possesses an application prepared in another person's name without prior actual knowledge that the application was prepared in violation of subsection (1).

(e) Receives or possesses an instrument or device obtained as a result of a violation of subsection (1) without prior actual knowledge that the instrument or device was obtained as a result of a violation of subsection (1).

(4) As used in this section, “financial institution” means any of the following:

(a) A regulated lender as defined in section 2 of the credit reform act, 1995 PA 162, MCL 445.1852.

(b) A person licensed under the Michigan BIDCO act, 1986 PA 89, MCL 487.1101 to 487.2001.

(c) A person licensed or registered under the mortgage brokers, lenders, and servicers licensing act, 1987 PA 173, MCL 445.1651 to 445.1684.

(d) A person licensed or registered under the secondary mortgage loan act, 1981 PA 125, MCL 493.51 to 493.81.

(e) A person subject to the retail installment sales act, 1966 PA 224, MCL 445.851 to 445.873.

(f) A person subject to the motor vehicle sales finance act, 1950 PA 27, MCL 492.101 to 492.141.

(g) A person chartered or regulated by the office of the comptroller of the currency, the federal deposit insurance corporation, the federal reserve, or the office of thrift management.

History: Add. 1999, Act 164, Eff. Feb. 3, 2000