16a-2-303a.   Denial, revocation or suspension ofregistration of residential mortgage loan originator.(1) The administrator may deny, revoke or suspend theregistration of a residential mortgageloan originator if the administrator finds that:

      (a)   The applicant or registrant has repeatedly or willfullyviolated the provisions ofK.S.A. 16a-1-101 through 16a-9-102, and amendments thereto, or any rule andregulation,order or administrative interpretation lawfully made pursuant to such sectionsof this act;

      (b)   the applicant or registrant has filed with the administrator any document or statementfalsely representing or omitting a material fact;

      (c)   the applicant or registrant has been convicted of any crime involvingfraud, dishonesty ordeceit, except that no registration shall be granted to any loan originatorwho:

      (i)   Has had a mortgage loan originator license or registration revoked in anygovernmental jurisdiction; or

      (ii)   has been convicted of, pled guilty or nolo contendere to, a felony in adomestic,foreign or military court:

      (A)   During the seven-year period preceding the date of the application forlicensing andregistration; or

      (B)   at any time preceding such date of application, if such felony involvedan act offraud, dishonesty, deceit, a breach of trust or money laundering;

      (d)   the applicant or registrant has been the subject of any disciplinaryaction by this or anyother state or federal agency;

      (e)   a final judgment has been entered against the applicant or registrant ina civil actionand the administrator finds the conduct on which the judgment is basedindicates that itwould be contrary to the public interest to permit such person to beregistered;

      (f)   the applicant or registrant has engaged in deceptive business practices;

      (g)   facts or conditions exist which would clearly have justified theadministrator in refusing togrant a registration had these facts or conditions been known to exist at thetime theapplication for the registration was made;

      (h)   the applicant or registrant has not completed all requirements forregistration or renewal,including successfully passing a standardized examination and completing allpre-licensingor continuing education requirements;

      (i)   the administrator is unable to determine that the financialresponsibility, character and fitnessof the applicant or registrant are such as to warrant belief that theapplicant's or registrant'sresidential mortgage loan origination activity will be operated honestly andfairly within thepurposes of this act.

      (2)   None of the following actions shall deprive the administrator of anyjurisdiction or right toinstitute or proceed with any disciplinary proceeding against suchregistration, to render adecision suspending, revoking or refusing to renew such registration, or toestablish and makea record of the facts of any violation of law for any lawful purpose:

      (a)   The imposition of an administrative penalty under this section;

      (b)   the lapse or suspension of any registration issued under this act byoperation of law;

      (c)   the registrant's failure to renew any registration issued under this act;or

      (d)   the registrant's voluntary surrender of any registration issued underthis act.

      (3)   This section shall be part of and supplemental to the uniform consumercredit code.

      History:   L. 2009, ch. 29, § 2; July 1.