2012 New York Consolidated Laws
FIS - Financial Services Law
Article 4 - (402 - 409) FINANCIAL FRAUDS PREVENTION
408 - Civil penalty.

 
    §  408.  Civil  penalty.  (a)  In  addition  to  any civil or criminal
  liability provided by law, the  superintendent  may,  after  notice  and
  hearing, levy a civil penalty:
    (1) not to exceed five thousand dollars per offense, for:
    (A)  any  intentional  fraud  or  intentional  misrepresentation  of a
  material fact  with  respect  to  a  financial  product  or  service  or
  involving any person offering to provide or providing financial products
  or services; or
    (B)  any  violation of state or federal fair debt collection practices
  or federal or state fair lending laws; and
    (2) not to exceed one thousand dollars for any other violation of this
  chapter or the regulations issued thereunder, provided that there  shall
  be no civil penalty under this section for violations of article five of
  this chapter or the regulations issued thereunder; and
    (3) provided, however, that:
    (A)  penalties for regulated persons under the banking law shall be as
  provided for in the banking law  and  penalties  for  regulated  persons
  under  the  insurance law shall be as provided for in the insurance law;
  and
    (B) the superintendent shall not impose or collect any  penalty  under
  this  section  in  addition  to  any penalty or fine for the same act or
  omission that is imposed under the insurance law or banking law; and
    (C)  nothing  in  this  section  shall  affect  the  construction   or
  interpretation  of the term "fraud" as it is used in any other provision
  of the consolidated or unconsolidated law.
    (b) Civil penalties received by the superintendent  pursuant  to  this
  section  shall  be applied on an annual basis as follows: funds shall be
  applied first to reduce the assessments  charged  on  persons  regulated
  under  the  insurance  law  and  the banking law pursuant to section two
  hundred six of this chapter up  to  the  full  amount  paid  by  persons
  regulated  under  the  insurance  law  and banking law for the operating
  expenses of the  financial  frauds  and  consumer  protection  unit  not
  attributable  to  regulation  under the insurance or banking law for the
  fiscal year in which such penalties are received, such amount  shall  be
  applied to any assessment in the following year, and any remaining funds
  shall  be  paid  to  the  general  fund.  The  superintendent shall have
  discretion to determine how operating  expenses  which  are  not  solely
  attributable to regulating persons under either the insurance law or the
  banking law shall be allocated.