§412:2-308  Order of immediate suspension;procedure; effective date; hearing; enforcement.  (a)  In order to act withthe utmost speed, the commissioner may issue an order immediately suspending aninstitution-affiliated party upon a determination that:

(1)  The grounds specified in section 412:2-306 arepresent; and

(2)  The protection of depositors or the financialinstitution warrants the immediate suspension and prohibition of theinstitution-affiliated party from further participation in the conduct of theaffairs of the financial institution or any other Hawaii financial institution.

The order shall be accompanied by a notice ofcharges that states the alleged violation, wrongful practice, or breach, and asummary of the facts in support of the allegation.  The notice of charges shallset forth a time and place for a hearing to determine whether the temporaryorder shall be converted to a permanent removal or prohibition order.  Anyorder of immediate suspension issued to an institution-affiliated party shallalso be served upon the affiliated Hawaii financial institution.

(b)  The order shall be effective upon serviceon the institution-affiliated party.  The order shall remain in effect until apermanent removal or prohibition order is issued after a hearing, a permanentremoval or prohibition order is consented to, or the charges are dismissed uponcompletion of a hearing.  Any institution-affiliated party contesting theissuance of the suspension order may do so by applying to the circuit court foran injunction.

(c)  Within ten days after service of a noticeof charges, unless an earlier date or later date is set by the commissionerupon request of the affected party, the commissioner shall hold a hearing inaccordance with chapter 91.  If no appearance is made at the scheduled hearingby the party or the party's authorized representative, the party shall bedeemed to have consented to the issuance of the suspension order and thecommissioner may convert the suspension order into a permanent removal orprohibition order.  Any permanent removal or prohibition order issued after ahearing held in accordance with this subsection shall become effective afterservice upon the institution-affiliated party and shall remain effective untilmodified or terminated by the commissioner.  Any appeal of a permanent removalor prohibition order shall be made to the circuit court in accordance withchapter 91.

(d)  Any order of immediate suspension may beenforced in the circuit court upon application by the commissioner.  Anypermanent order of removal or prohibition issued in accordance with thissection may be enforced as provided for in section 412:2-307(c). [L 1993, c350, pt of §1; am L 2006, c 228, §9]

 

Rules of Court

 

  Appeals, see HRCP rule 72.

  Injunctions, see HRCP rule 65.