2019 Connecticut General Statutes
Title 36a - The Banking Law of Connecticut
Chapter 669 - Regulated Activities
Section 36a-671a - Suspension, revocation or refusal to renew license or taking other action. Enforcement powers of commissioner. Removal from office and from employment or retention. Temporary order to cease business.
(a) The commissioner may suspend, revoke or refuse to renew any license or take any other action, in accordance with the provisions of section 36a-51, for any reason that would be sufficient grounds for the commissioner to deny an application for a license under sections 36a-671 to 36a-671f, inclusive, or if the commissioner finds that the licensee or any control person, qualified individual, branch manager, trustee, employee or agent of such licensee has done any of the following: (1) Made any material misstatement in the application; (2) committed any fraud or misappropriated funds; (3) violated any provision of this title or of any regulation or order adopted or issued pursuant thereto pertaining to such person, or any other law or regulation applicable to the conduct of such licensee's debt negotiation business; or (4) failed to perform any agreement with a debtor.
(b) Whenever it appears to the commissioner that (1) any person has violated, is violating or is about to violate the provisions of sections 36a-671 to 36a-671f, inclusive, or any regulation adopted thereunder; (2) any person is, was or would be a cause of the violation of any such provision or regulation due to an act or omission such person knew or should have known would contribute to such violation; or (3) any licensee or any control person, qualified individual, branch manager, trustee, employee or agent of such licensee has committed any fraud, misappropriated funds or failed to perform any agreement with a debtor, the commissioner may take action against such person or licensee in accordance with sections 36a-50 and 36a-52. For purposes of sections 36a-671 to 36a-671f, inclusive, each engagement and each offer to engage in debt negotiation shall constitute a separate violation.
(c) Upon complaint, the commissioner may review any fees or charges assessed by a person engaging or offering to engage in debt negotiation services and order the reduction of such fees or charges or repayment of such amount of the fees or charges that the commissioner deems excessive, taking into consideration the fees that other persons performing similar debt negotiation services charge for such services and the benefit to the consumer of such services. In conducting an investigation pursuant to this subsection, the commissioner shall have the same authority as specified in section 36a-17.
(d) The commissioner may order a licensee to remove any individual conducting business under sections 36a-671 to 36a-671f, inclusive, from office and from employment or retention as an independent contractor in the debt negotiation business in this state in accordance with section 36a-51a.
(e) The commissioner may issue a temporary order to cease business under a license if the commissioner determines that such license was issued erroneously. Such temporary order shall be issued in accordance with subsection (j) of section 36a-24b.
(P.A. 09-208, S. 33; P.A. 11-216, S. 42; P.A. 14-7, S. 10; P.A. 18-173, S. 68.)
History: P.A. 11-216 amended Subsec. (a) to add reference to Sec. 36a-671e, amended Subsec. (b) to add references to Sec. 36a-671e and add provision re each engagement and offer to engage in debt negotiation to constitute a separate violation, and amended Subsec. (c) to make technical changes, effective July 13, 2011; P.A. 14-7 amended Subsec. (a) to replace reference to Sec. 36a-671d with reference to Sec. 36a-671e, effective May 8, 2014; P.A. 18-173 amended Subsec. (a) by replacing reference to Sec. 36a-671e with reference to Sec. 36a-671f, replacing “proprietor, director, officer, member, partner, shareholder” with “control person, qualified individual, branch manager”, replacing reference to provisions of Secs. 36a-671 to 36a-671e with reference to provisions of title or any regulation or order adopted or issued pursuant to title in Subdiv. (3), amended Subsec. (b) by designating existing provisions re person violating provisions of sections as Subdiv. (1) and amending same by replacing reference to Sec. 36a-671e with reference to Sec. 36a-671f, and adding reference to regulation adopted under section, adding Subdiv. (2) re person is, was or would be cause of violation, designating existing provisions re fraud, misappropriated funds or failure to perform agreement as Subdiv. (3) and amending same by replacing “proprietor, director, officer, member, partner, shareholder” with “control person, qualified individual, branch manager”, and replacing reference to Sec. 36a-671e with reference to Sec. 36a-671f, added Subsec. (d) re commissioner's authority to order licensee to remove individual from office, employment or retention as independent contractor, added Subsec. (e) re commissioner's authority to issue temporary order, and made technical changes.
