9-2207.   Denial, suspension or revocation of licenseor registration; notice; disciplinary proceedings.(a) The commissioner may deny, suspend, revoke, orrefuse to renew a license orregistrationissued pursuant to this act, if the commissionerfinds, after notice and opportunity for a hearing conducted inaccordance with the provisions of the administrative procedures act, that:

      (1)   The applicant, licensee or registrant has repeatedly orwillfullyviolated anysection of this act or any rule and regulation or order lawfully made pursuantto this act;

      (2)   facts or conditions exist which would have justifiedthe denial of the license,registration or renewal had these facts or conditions existed or been known toexist at the time the application for the license, registration orrenewal was made;

      (3)   the applicant, licensee or registrant has filed withthecommissioner any documentor statement containing any false representation of a material fact or fails tostate a material fact;

      (4)   the applicant, licensee or registrant has beenconvicted of anycrimeinvolving fraud,dishonesty or deceit, except that no registration shall be granted to anyloan originator who:

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

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

      (i)   During the seven-year period preceding the date of the application forlicensing and registration; or

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

      (5)   the applicant, licensee or registrant has engaged in orisengaging in deceptivebusiness practices;

      (6)   the applicant, licensee or registrant, or an employeeof theapplicant, licensee orregistrant, has been the subject of any disciplinaryaction by this agency or any other state or federal regulatory agency;

      (7)   a final judgment has been entered against theapplicant, licenseeor registrant ina civil action and the commissioner finds, based upon the conduct on which thejudgment is based, that licensing or registration of such person wouldbe contrary to thepublic interest;

      (8)   the applicant, licensee or registrant, or an employeeof theapplicant, licensee orregistrant has been convicted of engaging in mortgage business activity withoutauthorization pursuant to K.S.A. 9-2203, and amendments thereto or asubstantially similar offense in another state; or

      (9)   the applicant, licensee or registrant has refused tofurnishinformation requiredby the commissioner within a reasonable period of time as established by thecommissioner.

      (b)   None of the following actions shall deprive the commissioner of anyjurisdiction or right to institute or proceed with any disciplinary proceedingagainst such license or registration to render a decision suspending, revokingor refusing to renew such license or registration or to establish and make arecord of the facts of any violation of law for any lawful purpose:

      (1)   The imposition of an administrative penalty;

      (2)   the lapse or suspension of any license or registration issued under thisact by operationof law;

      (3)   the licensee's or registrant's failure to renew any license orregistration issued underthis act; or

      (4)   the licensee's or registrant's voluntary surrender of any license orregistration issued under this act.

      History:   L. 1996, ch. 175, § 7;L. 1999, ch. 45, § 7;L. 2000, ch. 17, § 2;L. 2001, ch. 88, § 8;L. 2009, ch. 29, § 8; July 1.