{"data":{"id":"us-ky/krs-286.8-090","jurisdiction":"us-ky","citation":"KRS 286.8-090","heading":"Denial, suspension, or revocation of license -- Jurisdiction of Franklin","body":"Circuit Court.\n(1) The commissioner may suspend; revoke; place on probation; condition; refuse to\nissue or renew a license, registration, or exemption; or accept surrender of a license,\nregistration, or exemption in lieu of revocation or suspension; or issue a cease and\ndesist order if the commissioner finds that the person, applicant, licensee, or\nregistrant:\n(a) Does not meet, no longer meets, or has failed to comply with the requirements\nof this subtitle;\n(b) Is unfit through lack of financial responsibility or experience to conduct the\nbusiness of a mortgage loan company or mortgage loan broker, as the case\nmay be;\n(c) Does not conduct his business in accordance with the law or the method of\nbusiness includes or would include activities which are illegal where\nperformed;\n(d) Collects interest at a usurious rate;\n(e) Is in such financial condition that he cannot continue in business with safety\nto his customers;\n(f) Is guilty of fraud in connection with any transaction governed by this subtitle,\nor is the subject of an administrative cease and desist order or similar order, or\na permanent or temporary injunction of any court of competent jurisdiction\nentered under any other federal or state act;\n(g) Has made any misrepresentations or false statements to, or concealed any\nessential or material fact from, any person in the mortgage lending process, or\nhas engaged in a course of business that has worked or tended to work a fraud\nupon any person or would so operate;\n(h) Has made or caused to be made to the commissioner any false representation\nof material fact or has suppressed or withheld from the commissioner any\ninformation that the person possesses and which, if submitted to the\ncommissioner, would have rendered the person ineligible to be licensed,\nregistered, or exempted from licensing or registration under this subtitle;\n(i) Has failed to account to persons interest for all funds received for the escrow\naccount required under KRS 286.8-130;\n(j) Has refused to permit an examination or investigation by the commissioner of\nhis books and affairs or has refused or failed, within a reasonable time, to\nfurnish any information or make any report that may be required by the\ncommissioner under the provisions of this subtitle;\n(k) Has been convicted of any misdemeanor of which an essential element is\nfraud, breach of trust, or dishonesty, or any felony, or has pending against him\nany felony charge;\n(l) Has had any license, registration, or c laim of exemption related to the\nfinancial services industry denied, suspended, or revoked under the laws of\nthis state or any other state of the United States, or has surrendered or\nterminated any license, registration, or claim of exemption issued by thi s state\nor any other jurisdiction under threat of administrative action;\n(m) Has employed or contracted with a person who has failed to register or has\nhad a license or registration denied, revoked, or suspended in this\nCommonwealth or another state;\n(n) Has demonstrated incompetence or untrustworthiness to act as a licensee or\nregistrant or to continue a claim of exemption granted by application under\nthis subtitle;\n(o) Has failed to pay any required fee under this subtitle;\n(p) Has abandoned an applicati on by failing to provide the commissioner any\ninformation required under this subtitle, or requested by the commissioner, to\ncomplete an application;\n(q) Has influenced, or attempted to influence through coercion, extortion, or\nbribery, the development, reporting, result, or review of a real estate appraisal\nsought in connection with a mortgage loan;\n(r) Has failed to comply with an administrative or court order imposing child\nsupport obligations;\n(s) Has failed to pay state income taxes or to comply with a ny administrative or\ncourt order directing the payment of state income tax;\n(t) Has improperly used notes or other resources to complete an examination for\na license or registration;\n(u) Has violated any provision of KRS 360.100; or\n(v) Has violated any pr ovision of this subtitle, administrative regulation\npromulgated hereunder, or order issued by the commissioner.\n(2) Any person whose license, registration, or claim of exemption has been denied,\nsuspended, revoked, or surrendered in lieu of revocation or s uspension under this\nsection is prohibited from participating in any business activity of a registrant or\nlicensee under this subtitle and from engaging in any business activity on the\npremises where a licensee or registrant under this subtitle is conducting its business.\n(3) The commissioner shall execute a written order whenever a license, registration, or\nclaim of exemption issued pursuant to this subtitle is suspended or revoked. The\ncommissioner shall serve the written order upon the licensee, registra nt, or person\nclaiming the exemption. The written order shall be sent by certified mail, return\nreceipt requested, postage prepaid, to the last known principal business address of\nsuch licensee, registrant, or person claiming the exemption, as set forth in  the\nrecords of the commissioner. The written order shall be deemed to have been\nreceived by the licensee, registrant, or person claiming the exemption three (3)\nbusiness days following the mailing thereof.\n(4) Any person who continues to participate in an y business activity covered by this\nsubtitle after such person's license, registration, or claim of exemption has been\nrevoked, suspended, or denied shall be subject to the penalties in this section, KRS\n286.8-046, and KRS 286.8-990 and shall be in violation of KRS 367.170.\n(5) Any person who has had a license, registration, or claim of exemption denied by the\ncommissioner shall not be eligible to apply for a license, registration, or claim of\nexemption under this subtitle until after expiration of one (1) year from the date of\ndenial.\n(6) Any person who has had a license, registration, or claim of exemption revoked by\nthe commissioner shall not be eligible to apply for a license, registration, or claim of\nexemption under this subtitle until after expiration  of three (3) years from the date\nof revocation. A person whose license, registration, or claim of exemption has been\nrevoked twice shall be deemed permanently revoked and shall not again be eligible\nfor a license, registration, or claim of exemption under this subtitle.\n(7) The provisions of this section shall be in addition to any other penalties or remedies\navailable, including the penalties of KRS 286.8-046.\n(8) The commissioner may notify the Department of Revenue which may institute an\naction in the name of the Commonwealth of Kentucky in the Franklin Circuit Court,\nor any court of competent jurisdiction, for the recovery of any civil penalty, fine,\ncost, or fee assessed or levied under this subtitle.\n(9) The commissioner may file a complaint in the Fr anklin Circuit Court, or any court\nof competent jurisdiction, for a temporary restraining order or injunction, against\nany person, where the commissioner has reason to believe from evidence\nsatisfactory to the commissioner that such person has violated, or is about to violate,\na provision in this subtitle, for the purpose of restraining and enjoining such person\nfrom continuing or engaging in the violation or doing any act in furtherance thereof.\nThe court shall have jurisdiction over the proceeding and sha ll have the power to\nenter an order or judgment awarding preliminary or final injunctive relief that is\nproper. Any person who violates a temporary restraining order or injunction issued\nby the court entered as a result of a violation of this subtitle shal l be held in\ncontempt of court.\n(10) The surrender or expiration of a license, registration, or exemption shall not affect\nthe licensee's civil or criminal liability for acts committed prior to the surrender or\nexpiration. No revocation, suspension, refusa l to renew, surrender, or expiration of\nany license, registration, or exemption shall impair or affect the obligation of any\npreexisting lawful contract between the licensee and the borrower. The surrender or\nexpiration of a license, registration, or exemp tion shall not affect a proceeding to\nsuspend or revoke a license or registration.","path":[],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=14867","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:57:14Z","sha256":"6d056e6457fb801b0590b1b269bdf626397f18df8f72898a45b37112d33f8520","source_id":"us-ky","stale":false,"prev":"us-ky/krs-286.8-080","next":"us-ky/krs-286.8-100"},"notice":"GroundRules: Original legal text. Not legal advice."}