(a) Subject to the hearing provisions of § 11-518 of this subtitle, the Commissioner may suspend or revoke the license of any licensee if the licensee or any owner, director, officer, member, partner, stockholder, employee, or agent of the licensee: (1) Makes any material misstatement in an application for a license; (2) Is convicted under the laws of the United States or of any state of: (i) A felony; or (ii) A misdemeanor that is directly related to the fitness and qualification of the person to engage in the mortgage lending business; (3) In connection with any mortgage loan or loan application transaction: (i) Commits any fraud; (ii) Engages in any illegal or dishonest activities; or (iii) Misrepresents or fails to disclose any material facts to anyone entitled to that information; (4) Violates any provision of this subtitle or any rule or regulation adopted under it or any other law regulating mortgage loan lending in the State; or (5) Otherwise demonstrates unworthiness, bad faith, dishonesty, or any other quality that indicates that the business of the licensee has not been or will not be conducted honestly, fairly, equitably, and efficiently. (b) In determining whether the license of a licensee should be suspended or revoked for a reason described in subsection (a)(2) of this section, the Commissioner shall consider: (1) The nature of the crime; (2) The relationship of the crime to the activities authorized by the license; (3) With respect to a felony, the relevance of the conviction to the fitness and qualification of the licensee to engage in the mortgage lending business; (4) The length of time since the conviction; and (5) The behavior and activities of the licensee since the conviction. (c) (1) The Commissioner may enforce the provisions of this subtitle, regulations adopted under § 11-503 of this subtitle, and the applicable provisions of Title 12 of the Commercial Law Article by: (i) Issuing an order: 1. To cease and desist from the violation and any further similar violations; and 2. Requiring the violator to take affirmative action to correct the violation including the restitution of money or property to any person aggrieved by the violation; and (ii) Imposing a civil penalty not exceeding $10,000 for each violation. (2) If a violator fails to comply with an order issued under paragraph (1)(i) of this subsection, the Commissioner may impose a civil penalty not exceeding $25,000 for each violation from which the violator failed to cease and desist or for which the violator failed to take affirmative action to correct. (d) The Commissioner may file a petition in the circuit court for any county seeking enforcement of an order issued under this section. (e) In determining the amount of financial penalty to be imposed under subsection (c) of this section, the Commissioner shall consider: (1) The seriousness of the violation; (2) The good faith of the violator; (3) The violator's history of previous violations; (4) The deleterious effect of the violation on the public and mortgage industry; (5) The assets of the violator; and (6) Any other factors relevant to the determination of the financial penalty. (f) The employment of a mortgage originator licensed under Subtitle 6 of this title by a mortgage lender does not relieve the mortgage lender of a responsibility under this subtitle, a rule or regulation adopted under this subtitle, or a law governing mortgage lending in the State.
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