Vermont § 3837 - License revocation and denial

§ 3837. License revocation and denial

• (a) Life settlement providers. The Commissioner may suspend or revoke and may refuse to issue or renew the license
  of a life settlement provider if the Commissioner finds that: (1) there was any material misrepresentation in the application for the license; (2) the licensee or any officer, partner, member, or key management personnel have been
  convicted of fraudulent or dishonest practices or are subject to a civil judicial
  adjudication under federal, foreign, or State law or to an administrative action issued
  by any jurisdiction showing the licensee or any officer, partner, member, or key management
  personnel to be untrustworthy or incompetent; (3) the licensee demonstrates a pattern of unreasonable payments to policy owners; (4) the licensee or any officer, partner, member, or key management personnel have been
  found guilty of or have pleaded guilty or nolo contendere to any felony or to a misdemeanor
  involving fraud or moral turpitude, regardless of whether a judgment of conviction
  has been entered by the court; (5) the licensee has entered into any life settlement contract that has not been approved
  pursuant to this subchapter; (6) the licensee has failed to honor contractual obligations set out in a life settlement
  contract; (7) the licensee no longer meets the requirements for initial licensure; (8) the licensee has assigned, transferred, or pledged a policy subject to a life settlement
  contract to a person other than a life settlement provider licensed in this state,
  an accredited investor or qualified institutional buyer as defined respectively in
  Rule 501(a) or Rule 144A promulgated under the Federal Securities Act of 1933, as
  amended, a financing entity, a special purpose entity, or a related provider trust; (9) the licensee or any officer, partner, member, or key management personnel has violated
  any provision of this subchapter or a rule adopted or order issued under this subchapter; (10) the licensee or any officer, partner, member, or key management personnel have violated
  any provision of 9 V.S.A. chapter 150 (the Vermont Uniform Securities Act); or (11) the licensee has, in the conduct of his or her affairs, used fraudulent, coercive,
  or dishonest practices or has shown himself or herself to be incompetent, untrustworthy
  or financially irresponsible. (b) Life settlement brokers. The Commissioner may refuse to issue or renew or may suspend or revoke the license
  of a life settlement broker if the Commissioner finds that: (1) there was any material misrepresentation in the application for the license; (2) the licensee has been convicted of fraudulent or dishonest practices or is subject
  to a civil judicial adjudication under federal, foreign, or State law or to an administrative
  action issued by any jurisdiction showing the licensee or any officer, partner, member,
  or key management personnel to be untrustworthy or incompetent; (3) the licensee has been found guilty of or has pleaded guilty or nolo contendere to
  any felony or to a misdemeanor involving fraud, dishonesty, breach of trust, or moral
  turpitude, regardless of whether a judgment of conviction has been entered by the
  court; (4) the licensee no longer meets the requirements for initial licensure; (5) the licensee has engaged in any one or more of the acts or conditions set forth in
  subsection 4804(a) of this title; (6) the licensee has violated any provision of this subchapter or a rule adopted or order
  issued under this subchapter; (7) the licensee or any officer, partner, member, or key management personnel have violated
  any provision of 9 V.S.A. chapter 150 (the Vermont Uniform Securities Act); or (8) the licensee has otherwise engaged in bad-faith conduct with one or more policy owners. (Added 2009, No. 53, § 1, eff. Jan. 1, 2010.)