State Codes and Statutes

Statutes > California > Fin > 5330

FINANCIAL CODE
SECTION 5330



5330.  The commissioner may impose civil penalties on any savings
association, and any institution-affiliated party as follows:
   (a) Except as provided in subdivision (b) or in subdivisions (c)
and (d), any savings association which, and any
institution-affiliated party who, commits any of the following
violations shall forfeit and pay a civil penalty of not more than
five thousand dollars ($5,000) for each day during which the
violation continues:
   (1) Violation of any statute or regulation.
   (2) Violation of any order issued by the commissioner.
   (3) Violation of any condition imposed in writing by the
commissioner in connection with the grant of any application or other
request by the savings association.
   (4) Violation of any written agreement between the savings
association and the commissioner.
   (b) Any savings association which, and any institution-affiliated
party who, (1) commits any violation specified in subdivision (a),
(2) recklessly engages in an unsafe or unsound practice in conducting
the affairs of the savings association, or (3) breaches any
fiduciary duty shall forfeit and pay a civil penalty of not more than
twenty-five thousand dollars ($25,000) for each day during which the
violation, practice, or breach continues if the violation, practice,
or breach (1) is part of a pattern of misconduct, (2) causes or is
likely to cause more than a minimal loss to the savings association,
or (3), was committed by an institution-affiliated party and results
in pecuniary gain or other benefit to that institution-affiliated
party.
   (c) Notwithstanding subdivisions (a) and (b), any savings
association which, and any institution-affiliated party who, (1)
knowingly commits any violation specified in subdivision (a), engages
in any unsafe or unsound practice in conducting the affairs of the
savings association, or breaches any fiduciary duty, and (2)
knowingly or recklessly causes a substantial loss to the savings
association or, in the case of an institution-related party, a
substantial pecuniary gain or other benefit to the
institution-related party results by reason of violation, practice or
breach, shall forfeit and pay a civil penalty in an amount not to
exceed the maximum amount determined under this subdivision for each
day during which the violation, practice, or breach continues. The
maximum daily amount of any civil penalty which may be assessed
pursuant to this subdivision for any violation, practice, or breach
described in the subdivision is as follows:
   (1) In the case of any person other than a savings association, an
amount not to exceed one million dollars ($1,000,000).
   (2) In the case of any savings institution, an amount not to
exceed the lesser of one million dollars ($1,000,000) or 1 percent of
the total assets of the association.
   (d) (1) Any penalty imposed under subdivisions (a), (b), or (c)
may be assessed and collected by the commissioner by written notice.
   (2) If, with respect to any assessment under paragraph (1) a
hearing is not requested pursuant to subdivision (g) within the
period of time allowed under subdivision (g), the assessment shall
constitute a final and unappealable order.
   (e) The commissioner may compromise, modify or remit any penalty
which may be assessed or which has been assessed pursuant to
subdivision (a), (b), or (c).
   (f) In determining the amount of any penalty imposed under
subdivision (a), (b), or (c), the commissioner shall take into
account the appropriateness of the penalty with respect to all of the
following:
   (1) The size of financial resources and good faith of the savings
association or other person charged.
   (2) The gravity of the violation, practice, or breach.
   (3) The history of previous violations, unsafe or unsound
practices, or breaches of fiduciary duty.
   (4) Such other matters as justice may require.
   (g) The savings association or other person against whom any
penalty is assessed under this section shall be afforded a
departmental hearing if the association or person submits a request
for a hearing within 20 days after the issuance of the notice of
assessment.
   (h) (1) If any savings association or institution-related party
fails to pay an assessment after any civil monetary penalty assessed
under this section has become final, the department shall recover the
amount assessed by action in superior court.
   (2) Notwithstanding any other provision of law, review under
Section 8055 of the validity or appropriateness of any civil penalty
assessed under this section shall be conducted solely pursuant to
Section 1085 of the Code of Civil Procedure.
   (i) All penalties collected under authority of this section shall
be deposited in the Savings and Loan Account in the Financial
Institutions Fund.

State Codes and Statutes

Statutes > California > Fin > 5330

FINANCIAL CODE
SECTION 5330



5330.  The commissioner may impose civil penalties on any savings
association, and any institution-affiliated party as follows:
   (a) Except as provided in subdivision (b) or in subdivisions (c)
and (d), any savings association which, and any
institution-affiliated party who, commits any of the following
violations shall forfeit and pay a civil penalty of not more than
five thousand dollars ($5,000) for each day during which the
violation continues:
   (1) Violation of any statute or regulation.
   (2) Violation of any order issued by the commissioner.
   (3) Violation of any condition imposed in writing by the
commissioner in connection with the grant of any application or other
request by the savings association.
   (4) Violation of any written agreement between the savings
association and the commissioner.
   (b) Any savings association which, and any institution-affiliated
party who, (1) commits any violation specified in subdivision (a),
(2) recklessly engages in an unsafe or unsound practice in conducting
the affairs of the savings association, or (3) breaches any
fiduciary duty shall forfeit and pay a civil penalty of not more than
twenty-five thousand dollars ($25,000) for each day during which the
violation, practice, or breach continues if the violation, practice,
or breach (1) is part of a pattern of misconduct, (2) causes or is
likely to cause more than a minimal loss to the savings association,
or (3), was committed by an institution-affiliated party and results
in pecuniary gain or other benefit to that institution-affiliated
party.
   (c) Notwithstanding subdivisions (a) and (b), any savings
association which, and any institution-affiliated party who, (1)
knowingly commits any violation specified in subdivision (a), engages
in any unsafe or unsound practice in conducting the affairs of the
savings association, or breaches any fiduciary duty, and (2)
knowingly or recklessly causes a substantial loss to the savings
association or, in the case of an institution-related party, a
substantial pecuniary gain or other benefit to the
institution-related party results by reason of violation, practice or
breach, shall forfeit and pay a civil penalty in an amount not to
exceed the maximum amount determined under this subdivision for each
day during which the violation, practice, or breach continues. The
maximum daily amount of any civil penalty which may be assessed
pursuant to this subdivision for any violation, practice, or breach
described in the subdivision is as follows:
   (1) In the case of any person other than a savings association, an
amount not to exceed one million dollars ($1,000,000).
   (2) In the case of any savings institution, an amount not to
exceed the lesser of one million dollars ($1,000,000) or 1 percent of
the total assets of the association.
   (d) (1) Any penalty imposed under subdivisions (a), (b), or (c)
may be assessed and collected by the commissioner by written notice.
   (2) If, with respect to any assessment under paragraph (1) a
hearing is not requested pursuant to subdivision (g) within the
period of time allowed under subdivision (g), the assessment shall
constitute a final and unappealable order.
   (e) The commissioner may compromise, modify or remit any penalty
which may be assessed or which has been assessed pursuant to
subdivision (a), (b), or (c).
   (f) In determining the amount of any penalty imposed under
subdivision (a), (b), or (c), the commissioner shall take into
account the appropriateness of the penalty with respect to all of the
following:
   (1) The size of financial resources and good faith of the savings
association or other person charged.
   (2) The gravity of the violation, practice, or breach.
   (3) The history of previous violations, unsafe or unsound
practices, or breaches of fiduciary duty.
   (4) Such other matters as justice may require.
   (g) The savings association or other person against whom any
penalty is assessed under this section shall be afforded a
departmental hearing if the association or person submits a request
for a hearing within 20 days after the issuance of the notice of
assessment.
   (h) (1) If any savings association or institution-related party
fails to pay an assessment after any civil monetary penalty assessed
under this section has become final, the department shall recover the
amount assessed by action in superior court.
   (2) Notwithstanding any other provision of law, review under
Section 8055 of the validity or appropriateness of any civil penalty
assessed under this section shall be conducted solely pursuant to
Section 1085 of the Code of Civil Procedure.
   (i) All penalties collected under authority of this section shall
be deposited in the Savings and Loan Account in the Financial
Institutions Fund.


State Codes and Statutes

State Codes and Statutes

Statutes > California > Fin > 5330

FINANCIAL CODE
SECTION 5330



5330.  The commissioner may impose civil penalties on any savings
association, and any institution-affiliated party as follows:
   (a) Except as provided in subdivision (b) or in subdivisions (c)
and (d), any savings association which, and any
institution-affiliated party who, commits any of the following
violations shall forfeit and pay a civil penalty of not more than
five thousand dollars ($5,000) for each day during which the
violation continues:
   (1) Violation of any statute or regulation.
   (2) Violation of any order issued by the commissioner.
   (3) Violation of any condition imposed in writing by the
commissioner in connection with the grant of any application or other
request by the savings association.
   (4) Violation of any written agreement between the savings
association and the commissioner.
   (b) Any savings association which, and any institution-affiliated
party who, (1) commits any violation specified in subdivision (a),
(2) recklessly engages in an unsafe or unsound practice in conducting
the affairs of the savings association, or (3) breaches any
fiduciary duty shall forfeit and pay a civil penalty of not more than
twenty-five thousand dollars ($25,000) for each day during which the
violation, practice, or breach continues if the violation, practice,
or breach (1) is part of a pattern of misconduct, (2) causes or is
likely to cause more than a minimal loss to the savings association,
or (3), was committed by an institution-affiliated party and results
in pecuniary gain or other benefit to that institution-affiliated
party.
   (c) Notwithstanding subdivisions (a) and (b), any savings
association which, and any institution-affiliated party who, (1)
knowingly commits any violation specified in subdivision (a), engages
in any unsafe or unsound practice in conducting the affairs of the
savings association, or breaches any fiduciary duty, and (2)
knowingly or recklessly causes a substantial loss to the savings
association or, in the case of an institution-related party, a
substantial pecuniary gain or other benefit to the
institution-related party results by reason of violation, practice or
breach, shall forfeit and pay a civil penalty in an amount not to
exceed the maximum amount determined under this subdivision for each
day during which the violation, practice, or breach continues. The
maximum daily amount of any civil penalty which may be assessed
pursuant to this subdivision for any violation, practice, or breach
described in the subdivision is as follows:
   (1) In the case of any person other than a savings association, an
amount not to exceed one million dollars ($1,000,000).
   (2) In the case of any savings institution, an amount not to
exceed the lesser of one million dollars ($1,000,000) or 1 percent of
the total assets of the association.
   (d) (1) Any penalty imposed under subdivisions (a), (b), or (c)
may be assessed and collected by the commissioner by written notice.
   (2) If, with respect to any assessment under paragraph (1) a
hearing is not requested pursuant to subdivision (g) within the
period of time allowed under subdivision (g), the assessment shall
constitute a final and unappealable order.
   (e) The commissioner may compromise, modify or remit any penalty
which may be assessed or which has been assessed pursuant to
subdivision (a), (b), or (c).
   (f) In determining the amount of any penalty imposed under
subdivision (a), (b), or (c), the commissioner shall take into
account the appropriateness of the penalty with respect to all of the
following:
   (1) The size of financial resources and good faith of the savings
association or other person charged.
   (2) The gravity of the violation, practice, or breach.
   (3) The history of previous violations, unsafe or unsound
practices, or breaches of fiduciary duty.
   (4) Such other matters as justice may require.
   (g) The savings association or other person against whom any
penalty is assessed under this section shall be afforded a
departmental hearing if the association or person submits a request
for a hearing within 20 days after the issuance of the notice of
assessment.
   (h) (1) If any savings association or institution-related party
fails to pay an assessment after any civil monetary penalty assessed
under this section has become final, the department shall recover the
amount assessed by action in superior court.
   (2) Notwithstanding any other provision of law, review under
Section 8055 of the validity or appropriateness of any civil penalty
assessed under this section shall be conducted solely pursuant to
Section 1085 of the Code of Civil Procedure.
   (i) All penalties collected under authority of this section shall
be deposited in the Savings and Loan Account in the Financial
Institutions Fund.

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