2021 Louisiana Laws
Revised Statutes
Title 6 - Banks and Banking
§1393. Violations
RS 1393 - Violations
The department may take an enforcement measure against a licensee, registrant, or person that is neither a licensee nor registrant but is engaging in virtual currency business activity with, or on behalf of, a resident in any of the following instances:
(1) The licensee, registrant, or person materially violates any provision of this Chapter, a rule adopted or order issued pursuant to any provision of this Chapter, or law of this state other than this Chapter which applies to virtual currency business activity of the violator with, or on behalf of, a resident.
(2) The licensee, registrant, or person does not cooperate substantially with an investigation by the department, fails to pay a fee, or fails to submit a report or documentation.
(3) The licensee, registrant, or person, in the conduct of its virtual currency business activity with, or on behalf, of a resident, engages in any of the following:
(a) An unsafe or unsound act or practice.
(b) An unfair or deceptive act or practice.
(c) Fraud or intentional misrepresentation.
(d) Another dishonest act.
(e) Misappropriation of legal tender, virtual currency, or other value held by a fiduciary.
(4) An agency of the United States or another state takes an action against the licensee, registrant, or person, which would constitute an enforcement measure if the department had taken the action.
(5) The licensee, registrant, or person is convicted of a crime related to its virtual currency business activity with, or on behalf of, a resident or involving fraud or felonious activity that, as determined by the department, makes the licensee, registrant, or person unsuitable to engage in virtual currency business activity.
(6) Any of the following occurs:
(a) The licensee, registrant, or person becomes insolvent.
(b) The licensee, registrant, or person makes a general assignment for the benefit of its creditors.
(c) The licensee, registrant, or person becomes the debtor, alleged debtor, respondent, or person in a similar capacity in a case or other proceeding under any bankruptcy, reorganization, arrangement, readjustment, insolvency, receivership, dissolution, liquidation, or similar law, and does not obtain from the court, within a reasonable time, confirmation of a plan or dismissal of the case or proceeding.
(d) The licensee, registrant, or person applies for, or permits the appointment of, a receiver, trustee, or other agent of a court for itself or for a substantial part of its assets.
(7) The licensee, registrant, or person makes a material misrepresentation to the department.
Acts 2020, No. 341, §1.
