§ 2546 - Termination or suspension of authorized delegate activity - Vermont Statutes

§ 2546. Termination or suspension of authorized delegate activity

(a) The commissioner may issue an order suspending or barring any authorized delegate or any responsible individual, director, officer, member, manager, partner or principal equity owner of such authorized delegate, from continuing to be or becoming an authorized delegate of any licensee during the period for which such order is in effect, or may order that an authorized delegate cease and desist in any specified conduct, if the commissioner finds that:

(1) the authorized delegate has violated this chapter or applicable state or federal law or a lawful order of the commissioner under this chapter;

(2) the authorized delegate does not cooperate with an examination or investigation by the commissioner;

(3) the authorized delegate engages in fraud, intentional misrepresentation, or gross negligence;

(4) the authorized delegate is convicted of any act involving fraud or dishonesty;

(5) the competence, experience, character, or general fitness of the authorized delegate or a person in control of the authorized delegate indicates that it is not in the public interest to permit the authorized delegate to provide money services;

(6) the authorized delegate is engaging in an unsafe or unsound practice; or

(7) the authorized delegate is convicted of a violation of a state or federal anti-money-laundering statute.

(b) In determining whether an authorized delegate is engaging in an unsafe or unsound practice, the commissioner may consider the volume and condition of the authorized delegate's provision of money services, the magnitude of the loss, the gravity of the violation of this chapter, and the previous conduct of the authorized delegate.

(c) Any authorized delegate or other person to whom an order is issued under this section may apply to the commissioner to modify or rescind such order. The commissioner shall not grant such application unless the commissioner finds that it is in the public interest to do so, and that it is reasonable to believe that such person will, if and when such person is permitted to resume being an authorized delegate of a licensee, comply with all applicable provisions of this chapter and of any regulation or order issued under this title.

(d) The authorized delegate shall receive 15 days' notice and an opportunity to be heard before such order shall be issued. Mailing notice by certified mail to the authorized delegate's current address as stated on the license shall be presumptive evidence of its receipt by the authorized delegate. The licensee shall be sent, by certified mail, copies of all notices sent to any of its authorized delegates pursuant to this section. However, if the commissioner finds that the public safety or welfare imperatively requires emergency action, action with no prior notice or prior opportunity to be heard may be taken, pending proceedings for suspension or other action. Upon issuance of a suspension or bar order, the licensee shall terminate its relationship with such authorized delegate according to the terms of the order. (Added 2001, No. 55, § 1, eff. Jan. 1, 2002.)