{"data":{"id":"us-ky/krs-286.6-092","jurisdiction":"us-ky","citation":"KRS 286.6-092","heading":"Failure to make reports or pay charges -- Notice of charges --","body":"Injunctions.\n(1) If any credit union fails to make the report prescribed by KRS 286.6 -090 within\nfifteen (15) days after it is due, or fails to pay the charges required by this subtitle,\nincluding the charges for delay in filing reports, the commissioner shall give notice\nto the credit union of his intention to revoke the certificate of approval of the\ncorporation. If failure continues for fifteen (15) days after the notice, the\ncommissioner may, in his discretion, revoke the certificate of approval and take\npossession of the property and business of the credit union until such time as the\ncommissioner permits it to resume business, or until its affairs are liquidated.\n(2) If the commissio ner has knowledge or reasonable cause to believe that any credit\nunion, or any director, officer, employee, agent, or other person participating in the\nconduct of the affairs of the credit union has engaged in violations of law, or\ncharter, bylaw, or admin istrative regulation of the department, or in unsafe or\nunsound business practices, or a breach of any written agreement with the\ndepartment, the commissioner may issue and serve upon the credit union, director,\nofficer, employee, agent, or other person a notice of charges containing a statement\nof facts with respect to alleged violations or practices and shall fix the time and\nplace at which an administrative hearing shall be held to determine whether an order\nto cease and desist should issue against the c redit union, director, officer, employee,\nagent, or other person. The hearing shall be conducted in accordance with KRS\nChapter 13B.\n(3) Unless the party or parties so served shall appear at the hearing personally or by a\nduly-authorized representative, th ey shall be deemed to have consented to the\nissuance of the cease and desist order.\n(4) If there is consent, or if upon the record made at any hearing the commissioner shall\nfind that any violation or unsafe or unsound practice specified in the notice of\ncharges has been established, the commissioner may issue and serve upon the credit\nunion, director, officer, employee, agent, or other person a final order to cease and\ndesist from any violation or practice and, further, to take affirmative action to\ncorrect the conditions resulting from any violation or practice.\n(5) If the commissioner shall determine that the violation or practice, as specified in the\nnotice of charges pursuant to subsection (2) of this section, or the continuation\nthereof, is likely to c ause insolvency or substantial dissipation of assets or earnings\nof the credit union, or is likely to otherwise seriously prejudice the interests of its\nmembers, the commissioner may issue an emergency order pursuant to KRS\n13B.125 requiring the credit uni on, director, officer, employee, agent, or other\nperson to immediately upon service cease and desist from any violation or practice.\n(6) Unless set aside, limited, or suspended, as provided by subsection (7) of this\nsection, an emergency cease and desist o rder shall remain effective and enforceable\npending completion of the administrative hearing.\n(7) Within ten (10) days after service of an emergency cease and desist order, the party\nor parties served may apply to the Circuit Court of the residence of the individual or\nof the principal office of the credit union for an injunction setting aside, limiting, or\nsuspending the enforcement, operation, or effectiveness of the order pending\ncompletion of an administrative hearing, and the court shall have jurisdict ion to\nissue an injunction.\n(8) In the case of violation or threatened violation of, or failure to obey, an emergency\ncease and desist order or a cease and desist order issued pursuant to this section, the\ncommissioner may apply to the Circuit Court of the residence of the individual or of\nthe principal office of the credit union for an injunction to enforce the order, and it\nshall be the duty of the court to issue the injunction.","path":[],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=14764","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:57:13Z","sha256":"fdcdf36c6fc76bbf1e8ab63e0d9134546c6789dc000de6f99bf4a8bc2b025898","source_id":"us-ky","stale":false,"prev":"us-ky/krs-286.6-090","next":"us-ky/krs-286.6-095"},"notice":"GroundRules: Original legal text. Not legal advice."}