HF 3145

as introduced - 84th Legislature (2005 - 2006) Posted on 12/15/2009 12:00am

A bill for an act
relating to commerce; requiring licensed mortgage originators and servicers to
know Minnesota lending laws and ethical lending practices; amending Minnesota
Statutes 2004, section 58.06, subdivision 2.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2004, section 58.06, subdivision 2, is amended to read:

Subd. 2.

Application contents.

The application must contain the name and
complete business address or addresses of the license applicant. If the license applicant
is a partnership, limited liability partnership, association, limited liability company,
corporation, or other form of business organization, the application must contain the
names and complete business addresses of each partner, member, director, and principal
officer. The application must also include a description of the activities of the license
applicant, in the detail and for the periods the commissioner may require. The application
must also include all of the following:

(a) an affirmation under oath that the applicant:

(1) will maintain competent staff new text begin , knowledgeable about Minnesota lending law
and ethical lending practices, new text end and adequate staffing levels, through direct employees or
otherwise, to meet the requirements of this chapter;

(2) will advise the commissioner of any material changes to the information
submitted in the most recent application within ten days of the change;

(3) will advise the commissioner in writing immediately of any bankruptcy petitions
filed against or by the applicant or licensee;

(4) is financially solvent;

(5) complies with federal and state tax laws;

(6) complies with sections 345.31 to 345.60, the Minnesota unclaimed property
law; and

(7) is, or that a person in control of the license applicant is, at least 18 years of age;

(b) information as to the mortgage lending, servicing, or brokering experience of the
applicant and persons in control of the applicant;

(c) information as to criminal convictions, excluding traffic violations, of persons in
control of the license applicant;

(d) whether a court of competent jurisdiction has found that the applicant or persons
in control of the applicant have engaged in conduct evidencing gross negligence, fraud,
misrepresentation, or deceit in performing an act for which a license is required under
this chapter;

(e) whether the applicant or persons in control of the applicant have been the subject
of: an order of suspension or revocation, cease and desist order, or injunctive order, or
order barring involvement in an industry or profession issued by this or another state or
federal regulatory agency or by the Secretary of Housing and Urban Development within
the ten-year period immediately preceding submission of the application; and

(f) other information required by the commissioner.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective August 1, 2006.
new text end