§ 27-72-4 - License suspension, revocation or refusal to renew. [Effective July 1, 2010.]. - Rhode Island Statutes

SECTION 27-72-4

   § 27-72-4  License suspension, revocationor refusal to renew. [Effective July 1, 2010.]. – (a) The commissioner may suspend, revoke or refuse to renew the license of anylicensee if the commissioner finds that:

   (1) There was any material misrepresentation in theapplication for the license;

   (2) The licensee or any officer, partner, member or directorhas been guilty of fraudulent or dishonest practices, is subject to a finaladministrative action or is otherwise shown to be untrustworthy or incompetentto act as a licensee;

   (3) The provider demonstrates a pattern of unreasonablywithholding payments to policy owners;

   (4) The licensee no longer meets the requirements for initiallicensure;

   (5) The licensee or any officer, partner, member or directorhas been convicted of a felony, or of any misdemeanor of which criminal fraudis an element; or the licensee has pleaded guilty or nolocontendere withrespect to any felony or any misdemeanor of which criminal fraud or moralturpitude is an element, regardless whether a judgment of conviction has beenentered by the court;

   (6) The provider has entered into any life settlementcontract using a form that has been approved pursuant to this chapter;

   (7) The provider has failed to honor contractual obligationsset out in a life settlement contract;

   (8) The provider has assigned, transferred or pledged asettled policy to a person other than a provider licensed in this state, apurchaser, an accredited investor or qualified institutional buyer as definedrespectively in Regulation D, Rule 501 or Rule 144A of the Federal SecuritiesAct of 1933, as amended, financing entity, special purpose entity, or relatedprovider trust; or

   (9) The licensee or any officer, partner, member or keymanagement personnel has violated any of the provisions of this chapter.

   (b) Before the commissioner denies a license application orsuspends, revokes or refuses to renew the license of any licensee under thischapter, the commissioner shall conduct a hearing in accordance with thisstate's laws governing administrative hearings.