N.Y. Banking Law § 592-a: Application process to register as a mortgage broker

§ 592-a. Application process to register as a mortgage broker. 1. Upon

the filing of an application for registration, if the superintendent

shall find that the financial responsibility, experience, character, and

general fitness of the applicant, and of the members thereof if the

applicant is a co-partnership or association, and of the officers and

directors thereof if the applicant is a corporation, are such as to

command the confidence of the community and to warrant belief that the

business will be operated honestly, fairly, and efficiently within the

purpose of this article, the superintendent shall thereupon register the

applicant as a mortgage broker on a roll maintained for that purpose at

the department of financial services, and issue a certificate attesting

to such registration in duplicate. If the superintendent shall not so

find, the superintendent shall not register such applicant, and shall

notify the applicant of the denial. The superintendent shall transmit

one copy of such certificate to the applicant and file another in the

office of the department of financial services. Upon receipt of such

certificate a mortgage broker shall be authorized to engage in the

business of placing, processing and negotiating mortgage loans. Such

registration shall remain in full force and effect until it is

surrendered by the licensee or revoked or suspended as hereinafter

provided, except that such registration, notwithstanding any provisions

of subdivision five of section seventeen of this chapter to the

contrary, shall expire upon the registrant's failure to pay the required

assessment charged pursuant to such section seventeen thirty days after

the date or dates such payment or payments are due. If the registrant

fails to pay such charged assessment by the date or dates such payment

or payments are due, then the registrant shall be required to pay, in

addition, a late fee in the amount of one hundred dollars. Such

registration shall be reinstated if the registrant pays such assessment

charged and any applicable late fees and/or interest within sixty days

of such expiration. The superintendent shall approve or deny every

application for registration hereunder within ninety days from the

filing of a complete application provided, however, that failure to act

within the prescribed period shall not be deemed approval of any such

application.

2. The superintendent may refuse to issue a certificate pursuant to

this article if he or she shall find that the applicant, or any person

who is a director, officer, partner, agent, employee, substantial

stockholder of the applicant, consultant or person having a relationship

with the applicant similar to a consultant, (a) has been convicted of a

crime involving an activity which is a felony under this chapter or

under article one hundred fifty-five, one hundred seventy, one hundred

seventy-five, one hundred seventy-six, one hundred eighty, one hundred

eighty-five, one hundred eighty-seven, one hundred ninety, two hundred,

two hundred ten or four hundred seventy of the penal law or any

comparable felony under the laws of any other state or the United

States, provided that such crime would be a felony if committed and

prosecuted under the laws of this state or (b) has had a license or

registration revoked by the superintendent or (c) has been a director,

partner, or substantial stockholder of an entity which has had a license

or registration revoked by the superintendent or (d) has been an agent,

employee or officer of an entity, or a consultant to, or person having

had a similar relationship with, any entity which has had a license or

registration revoked by the superintendent where such person shall have

been found by the superintendent to bear responsibility in connection

with the revocation. The term "substantial stockholder", as used in this

subdivision, shall be deemed to refer to a person owning or controlling

directly or indirectly ten per centum or more of the total outstanding

stock of a corporation.