<section article="gfi" article_name="Financial Institutions" number="2-101" title_number="2" title_name="Commissioner and Boards" subtitle_number="1" subtitle_name="Commissioner of Financial Regulation"> <level label="a"> <text>There is a Commissioner of Financial Regulation in the Maryland Department of Labor.</text> </level> <level label="b"> <text>There is an Office of Financial Regulation under the Commissioner in the Maryland Department of Labor.</text> </level> <level label="c"> <text>The Commissioner is the head of the Office of Financial Regulation.</text> </level> </section> <section article="gfi" article_name="Financial Institutions" number="2-102" title_number="2" title_name="Commissioner and Boards" subtitle_number="1" subtitle_name="Commissioner of Financial Regulation"> <level label="a"> <text>The Commissioner is appointed by the Secretary of Labor with the approval of the Governor and the advice and consent of the Senate.</text> </level> <level label="b"> <text>The Commissioner serves at the pleasure of the Secretary of Labor.</text> </level> <level label="c"> <text>The Commissioner shall have at least 5 years of experience in state or national banking regulation or management, which may include service as a bank director.</text> </level> <level label="d"> <text>The Commissioner is entitled to the salary provided in the State budget.</text> </level> </section> <section article="gfi" article_name="Financial Institutions" number="2-103" title_number="2" title_name="Commissioner and Boards" subtitle_number="1" subtitle_name="Commissioner of Financial Regulation"> <level label="a"> <text>With the approval of the Secretary of Labor, the Commissioner shall appoint:</text> <level label="1"> <text>A Deputy Commissioner for Depository Activities; and</text> </level> <level label="2"> <text>A Deputy Commissioner for Non–Depository Activities.</text> </level> </level> <level label="b"> <text>The Deputy Commissioners appointed under subsection (a) of this section serve at the pleasure of the Commissioner and are employees of the Commissioner’s office.</text> </level> <level label="c"> <level label="1"> <text>The Deputy Commissioner for Depository Activities shall have at least 5 years of experience in the regulation or management of financial institutions.</text> </level> <level label="2"> <text>The Deputy Commissioner for Non–Depository Activities shall have at least 5 years of experience in the regulation or management of persons required to be licensed or registered under this article or the Commercial Law Article.</text> </level> </level> <level label="d"> <text>The Deputy Commissioners appointed under subsection (a) of this section are entitled to the salary provided in the State budget.</text> </level> <level label="e"> <text>In addition to any other powers and duties set forth in this article:</text> <level label="1"> <text>The Deputy Commissioner for Depository Activities has the powers and duties of the Commissioner:</text> <level label="i"> <text>To the extent delegated by the Commissioner;</text> </level> <level label="ii"> <text>If the office of the Commissioner is vacant; and</text> </level> <level label="iii"> <text>If for any reason the Commissioner is unable to perform the duties of the office; and</text> </level> </level> <level label="2"> <text>The Deputy Commissioner for Non–Depository Activities has the powers and duties of the Commissioner to the extent delegated by the Commissioner.</text> </level> </level> </section> <section article="gfi" article_name="Financial Institutions" number="2-104" title_number="2" title_name="Commissioner and Boards" subtitle_number="1" subtitle_name="Commissioner of Financial Regulation"> <level label="a"> <level label="1"> <text>In this section the following words have the meanings indicated.</text> </level> <level label="2"> <text>“Applicant” means an applicant for employment with the Commissioner.</text> </level> <level label="3"> <text>“Central Repository” means the Criminal Justice Information System Central Repository of the Department of Public Safety and Correctional Services.</text> </level> <level label="4"> <text>“Employee” means a full–time or part–time employee of the Commissioner, including a temporary employee or a contractual employee.</text> </level> </level> <level label="b"> <text>The Commissioner may employ a staff in accordance with the State budget.</text> </level> <level label="c"> <text>The Commissioner shall apply to the Central Repository for a State and national criminal history records check for each applicant prior to an offer of employment.</text> </level> <level label="d"> <text>The Commissioner may apply to the Central Repository for a State and national criminal history records check for an employee.</text> </level> <level label="e"> <text>As part of the application for a criminal history records check, the Commissioner shall submit to the Central Repository:</text> <level label="1"> <text>Two complete sets of the legible fingerprints taken on forms approved by the Director of the Central Repository and the Director of the Federal Bureau of Investigation;</text> </level> <level label="2"> <text>The fee authorized under § 10–221(b)(7) of the Criminal Procedure Article for access to Maryland criminal history records; and</text> </level> <level label="3"> <text>The mandatory processing fee required by the Federal Bureau of Investigation for a national criminal history records check.</text> </level> </level> <level label="f"> <text>In accordance with §§ 10–201 through 10–234 of the Criminal Procedure Article, the Central Repository shall forward to the subject applicant or employee and the Commissioner the applicant’s or employee’s criminal history record information.</text> </level> <level label="g"> <text>Information obtained from the Central Repository under this section:</text> <level label="1"> <text>Shall be confidential;</text> </level> <level label="2"> <text>May not be redisseminated; and</text> </level> <level label="3"> <text>Shall be used only for the employment purpose authorized by this section.</text> </level> </level> <level label="h"> <text>The subject of a criminal history records check under this section may contest the contents of the printed statement issued by the Central Repository as provided in § 10–223 of the Criminal Procedure Article.</text> </level> <level label="i"> <text>In considering any felony or misdemeanor conviction of an individual as it relates to the individual’s qualification for employment with the Commissioner, the Commissioner shall consider:</text> <level label="1"> <text>The nature of the crime;</text> </level> <level label="2"> <text>The relevance of the crime to the duties and responsibilities related to employment;</text> </level> <level label="3"> <text>The length of time since the conviction; and</text> </level> <level label="4"> <text>The behavior and activities of the individual since the conviction.</text> </level> </level> </section> <section article="gfi" article_name="Financial Institutions" number="2-104.1" title_number="2" title_name="Commissioner and Boards" subtitle_number="1" subtitle_name="Commissioner of Financial Regulation"> <level label="a"> <level label="1"> <text>In this section the following words have the meanings indicated.</text> </level> <level label="2"> <text>“Servicing” means:</text> <level label="i"> <text>Receiving scheduled periodic payments from a student loan borrower according to the terms of a student education loan;</text> </level> <level label="ii"> <text>Applying the payments according to the student education loan terms; and</text> </level> <level label="iii"> <text>Performing other administrative services.</text> </level> </level> <level label="3"> <text>“Student education loan” means any loan, notwithstanding any election of law or designation of status in any contract, used for financing postsecondary education or other postsecondary school–related expenses.</text> </level> <level label="4"> <text>“Student loan borrower” means:</text> <level label="i"> <text>A resident of the State who has received or agreed to pay a student education loan; or</text> </level> <level label="ii"> <text>A resident who shares repayment responsibility with a resident described under item (i) of this paragraph.</text> </level> </level> <level label="5"> <text>“Student Loan Ombudsman” means an individual, whether a paid employee or a volunteer, whom the Commissioner designates to serve as a liaison between student loan borrowers and student loan servicers.</text> </level> <level label="6"> <level label="i"> <text>“Student loan servicer” means a person, regardless of location, responsible for servicing a student education loan to a student loan borrower.</text> </level> <level label="ii"> <text>“Student loan servicer” includes a trust entity performing or receiving the benefit of student education loan servicing.</text> </level> </level> </level> <level label="b"> <level label="1"> <text>The Commissioner shall designate an individual to serve as the Student Loan Ombudsman.</text> </level> <level label="2"> <level label="i"> <text>Each student loan servicer in the State shall designate an individual to represent the student loan servicer in communications with the Student Loan Ombudsman.</text> </level> <level label="ii"> <text>A student loan servicer shall provide the Student Loan Ombudsman the name, telephone number, and e–mail address of the designee required under subparagraph (i) of this paragraph.</text> </level> </level> </level> <level label="c"> <text>The Student Loan Ombudsman, in consultation with the Commissioner, shall receive and process complaints about student education loan servicing, including:</text> <level label="1"> <text>Receiving and reviewing complaints from student loan borrowers;</text> </level> <level label="2"> <text>Attempting to resolve complaints received under item (1) of this subsection, including by collaborating with institutions of higher education, student loan servicers, and any other participants in student loan lending, such as the Board of Regents of the University System of Maryland and the Maryland Higher Education Commission; and</text> </level> <level label="3"> <text>Compiling and analyzing complaint data.</text> </level> </level> <level label="d"> <text>The Student Loan Ombudsman may refer any matter that is abusive, unfair, deceptive, or fraudulent to the Office of the Attorney General for civil enforcement or criminal prosecution.</text> </level> <level label="e"> <text>The Student Loan Ombudsman, in consultation with the Commissioner, shall disseminate information about student education loans and servicing by:</text> <level label="1"> <text>Helping student loan borrowers understand their rights and responsibilities under the terms of student education loans;</text> </level> <level label="2"> <text>Providing information to the public, State agencies, elected officials, and other individuals regarding student loan borrower problems and concerns;</text> </level> <level label="3"> <text>Disseminating information about the availability of the Student Loan Ombudsman to assist those with student education loan servicing concerns, including disseminating the information to:</text> <level label="i"> <text>Student loan borrowers;</text> </level> <level label="ii"> <text>Potential student loan borrowers;</text> </level> <level label="iii"> <text>State higher education institutions; and</text> </level> <level label="iv"> <text>Student loan servicers; and</text> </level> </level> <level label="4"> <text>Developing and disseminating information to increase awareness of and participation in the federal Public Service Loan Forgiveness Program in accordance with § 3–1804 of the Labor and Employment Article.</text> </level> </level> <level label="f"> <level label="1"> <text>The Student Loan Ombudsman shall:</text> <level label="i"> <text>Analyze and monitor the development and implementation of federal, State, and local laws, regulations, and policies on student loan borrowers;</text> </level> <level label="ii"> <text>Disclose the complaint data it compiles and analyzes under subsection (c) of this section, including:</text> <level label="1"> <text>Noting any trends in the data; and</text> </level> <level label="2"> <text>Identifying the names of student loan servicers engaging in any abusive, unfair, deceptive, or fraudulent practices; and</text> </level> </level> <level label="iii"> <text>Make recommendations regarding:</text> <level label="1"> <text>Statutory and regulatory methods to resolve student loan borrower problems and concerns; and</text> </level> <level label="2"> <text>Necessary changes to State law to ensure that the student education loan servicing industry is fair, transparent, and equitable, including whether the State should require licensing or registration of student loan servicers.</text> </level> </level> </level> <level label="2"> <text>On or before January 1 each year, the Student Loan Ombudsman shall report its findings and recommendations to the General Assembly in accordance with § 2–1257 of the State Government Article.</text> </level> </level> <level label="g"> <level label="1"> <text>On or before October 1, 2019, the Student Loan Ombudsman, in consultation with the Commissioner, shall establish a student loan borrower education course.</text> </level> <level label="2"> <text>The course shall:</text> <level label="i"> <text>Include educational presentations and material about student education loans; and</text> </level> <level label="ii"> <text>Review the following:</text> <level label="1"> <text>Common student education loan terms;</text> </level> <level label="2"> <text>Documentation requirements for student education loan applications;</text> </level> <level label="3"> <text>Monthly payment obligations for student education loans;</text> </level> <level label="4"> <text>Income–based repayment options for student education loans;</text> </level> <level label="5"> <text>Student education loan forgiveness programs; and</text> </level> <level label="6"> <text>Student education loan disclosure requirements.</text> </level> </level> </level> </level> <level label="h"> <text>The Student Loan Ombudsman may refer any complaint from student loan borrowers to the Commissioner for investigation under § 26–604 of the Education Article.</text> </level> </section> <section article="gfi" article_name="Financial Institutions" number="2-105" title_number="2" title_name="Commissioner and Boards" subtitle_number="1" subtitle_name="Commissioner of Financial Regulation"> <text>The Commissioner exercises the powers and performs the duties of the office subject to the authority of the Secretary of Labor.</text> </section> <section article="gfi" article_name="Financial Institutions" number="2-105.1" future_version_removed="true" title_number="2" title_name="Commissioner and Boards" subtitle_number="1" subtitle_name="Commissioner of Financial Regulation"> <level label="a"> <level label="1"> <text>In this section the following words have the meanings indicated.</text> </level> <level label="2"> <text>“Collection agency” has the meaning stated in § 7–101 of the Business Regulation Article.</text> </level> <level label="3"> <text>“Consumer reporting agency” has the meaning stated in § 14–1201 of the Commercial Law Article.</text> </level> <level label="4"> <text>“Credit services business” has the meaning stated in § 14–1901 of the Commercial Law Article.</text> </level> <level label="5"> <text>“Debt management services provider” has the meaning stated in § 12–901 of this article.</text> </level> <level label="6"> <text>“Money transmission” has the meaning stated in § 12–401 of this article.</text> </level> <level label="7"> <text>“Mortgage lender” has the meaning stated in § 11–501 of this article.</text> </level> <level label="8"> <text>“Mortgage originator” has the meaning stated in § 11–601 of this article.</text> </level> <level label="9"> <text>“Provide check cashing services” has the meaning stated in § 12–101 of this article.</text> </level> <level label="10"> <text>“Sales finance company” has the meaning stated in § 11–401 of this article.</text> </level> </level> <level label="b"> <text>The Commissioner may adopt and enforce regulations reasonably necessary to carry out the authority and responsibility of the office of Commissioner.</text> </level> <level label="c"> <level label="1"> <text>The Commissioner may participate in NMLS for:</text> <level label="i"> <text>Collection agencies;</text> </level> <level label="ii"> <text>Debt management services providers;</text> </level> <level label="iii"> <text>Mortgage lenders;</text> </level> <level label="iv"> <text>Mortgage originators;</text> </level> <level label="v"> <text>Persons who engage in money transmission;</text> </level> <level label="vi"> <text>Persons who are required to be licensed under Title 11, Subtitle 2 of this article;</text> </level> <level label="vii"> <text>Persons who are required to be licensed under Title 11, Subtitle 3 of this article;</text> </level> <level label="viii"> <text>Persons who are required to be licensed under Title 12, Subtitle 1 of this article;</text> </level> <level label="ix"> <text>Persons who are required to be licensed under Title 14, Subtitle 19 of the Commercial Law Article;</text> </level> <level label="x"> <text>Sales finance companies; and</text> </level> <level label="xi"> <text>Consumer reporting agencies.</text> </level> </level> <level label="2"> <text>To facilitate participation in NMLS, the Commissioner may adopt regulations that waive or modify the requirements of:</text> <level label="i"> <text>Title 11, Subtitles 4, 5, and 6 of this article with respect to sales finance companies, mortgage lenders, and mortgage originators;</text> </level> <level label="ii"> <text>Title 12, Subtitles 1, 4, and 9 of this article with respect to providers of check cashing services, persons who engage in money transmission, and providers of debt management services;</text> </level> <level label="iii"> <text>Title 11, Subtitle 2 of this article;</text> </level> <level label="iv"> <text>Title 11, Subtitle 3 of this article;</text> </level> <level label="v"> <text>Title 7 of the Business Regulation Article with respect to collection agencies;</text> </level> <level label="vi"> <text>Title 14, Subtitle 19 of the Commercial Law Article; and</text> </level> <level label="vii"> <text>Title 14, Subtitle 12 of the Commercial Law Article.</text> </level> </level> </level> </section> <section article="gfi" article_name="Financial Institutions" number="2-106" title_number="2" title_name="Commissioner and Boards" subtitle_number="1" subtitle_name="Commissioner of Financial Regulation"> <text>The Commissioner shall adopt an official seal. A description and impression of the seal shall be filed with the Secretary of State.</text> </section> <section article="gfi" article_name="Financial Institutions" number="2-107" title_number="2" title_name="Commissioner and Boards" subtitle_number="1" subtitle_name="Commissioner of Financial Regulation"> <text>On or before December 31 of each year, the Commissioner shall submit to the Governor and, as provided under § 2–1257 of the State Government Article, the General Assembly an annual report that includes, at a minimum, the following information concerning the most recently completed fiscal year ending June 30:</text> <level label="1"> <text>Operations of the office of the Commissioner;</text> </level> <level label="2"> <text>Amendments proposed by the Commissioner regarding the laws the Commissioner administers;</text> </level> <level label="3"> <text>Failures of licensed persons and State–chartered financial institutions;</text> </level> <level label="4"> <text>A summary of the composite ratings of banking institutions and State–chartered credit unions; and</text> </level> <level label="5"> <text>A breakdown by license category of the number of penalties assessed and instances of consumer recovery.</text> </level> </section> <section article="gfi" article_name="Financial Institutions" number="2-108" future_version_removed="true" title_number="2" title_name="Commissioner and Boards" subtitle_number="1" subtitle_name="Commissioner of Financial Regulation"> <level label="a"> <text>The Commissioner shall charge and collect, in advance, the following nonrefundable fees:</text> <level label="1"> <text>An examination fee for a new commercial bank charter under § 3–203 of this article..............................................................................................$15,000</text> </level> <level label="2"> <text>A filing fee for an agreement of consolidation, merger, or transfer of assets under § 3–703 of this article:</text> <level label="i"> <text>Between two commercial banks $3,000</text> </level> <level label="ii"> <text>Among three or more commercial banks $5,000</text> </level> </level> <level label="3"> <text>An application fee for a banking institution to have an affiliate under § 5–403 of this article $750</text> </level> <level label="4"> <text>A fee for a conversion of a national banking association, a federal stock savings and loan association, or a federal stock savings bank into a commercial bank under § 3–801 of this article or a federal mutual savings bank into a savings bank under § 4–701.1 of this article:</text> <level label="i"> <text>Filing fee $7,000</text> </level> <level label="ii"> <text>Examination fee $3,000</text> </level> </level> <level label="5"> <text>Subject to subsection (b) of this section, a branch fee for:</text> <level label="i"> <text>An application of a banking institution or other–state bank to open a branch under §§ 5–1003 and 5–1005(a) of this article $600;</text> <text>or</text> </level> <level label="ii"> <text>An expedited notice of a banking institution or other–state bank to open a branch under §§ 5–1003 and 5–1005(b) of this article $400</text> </level> </level> <level label="6"> <text>An application fee for a foreign banking permit under § 12–208 of this article.................................................................................................................$500</text> </level> <level label="7"> <text>A renewal fee for a foreign banking permit under § 12–210 of this article.........................................................................................................................$500</text> </level> <level label="8"> <text>A fee for a certificate of valid charter if requested by or on behalf of a person other than a banking institution...............................................................$50</text> </level> <level label="9"> <text>A fee for a certified copy of a document $50</text> </level> <level label="10"> <text>An application fee for conversion of a savings bank to a capital stock commercial bank under § 4–703 of this article………………………………$5,000</text> </level> </level> <level label="b"> <text>The branch fee under subsection (a)(5) of this section does not apply to:</text> <level label="1"> <text>A branch that is acquired by a banking institution through a merger or consolidation with, or transfer to the banking institution of all or substantially all of the assets of, a bank or an insured depository institution; or</text> </level> <level label="2"> <text>An other–state bank chartered by a state that does not charge a fee to a banking institution for establishing a branch in that state.</text> </level> </level> </section> <section article="gfi" article_name="Financial Institutions" number="2-109" title_number="2" title_name="Commissioner and Boards" subtitle_number="1" subtitle_name="Commissioner of Financial Regulation"> <text>Except as otherwise provided by law, the Commissioner shall pay all money collected by the Commissioner under this article into the General Fund of this State.</text> </section> <section article="gfi" article_name="Financial Institutions" number="2-110" title_number="2" title_name="Commissioner and Boards" subtitle_number="1" subtitle_name="Commissioner of Financial Regulation"> <level label="a"> <text>The Commissioner and the Deputy Commissioners appointed under § 2–103 of this subtitle shall devote full time to their duties.</text> </level> <level label="b"> <text>The Commissioner and the Deputy Commissioners appointed under § 2–103 of this subtitle may not:</text> <level label="1"> <text>Be an officer or director of any State banking institution or national banking association, or in any entity engaged in the business of making loans; or</text> </level> <level label="2"> <text>Engage in any other business relating to banks and financial institutions or lending.</text> </level> </level> </section> <section article="gfi" article_name="Financial Institutions" number="2-111" title_number="2" title_name="Commissioner and Boards" subtitle_number="1" subtitle_name="Commissioner of Financial Regulation"> <level label="a"> <text>The Commissioner, employees of the Commissioner’s office, and other State employees acting under supervision of the Commissioner’s office may not own stock in any institution that is subject to examination or supervision by the Commissioner.</text> </level> <level label="b"> <text>This section does not apply to a member share account of the Commissioner, an employee of the Commissioner’s office, or other State employees acting under the supervision of the Commissioner’s office held at a credit union that has a membership of over 60,000 State employees.</text> </level> </section> <section article="gfi" article_name="Financial Institutions" number="2-112" title_number="2" title_name="Commissioner and Boards" subtitle_number="1" subtitle_name="Commissioner of Financial Regulation"> <level label="a"> <text>Except as provided in subsection (b) of this section, the Commissioner, employees of the Commissioner’s office, and other State employees acting under the supervision of the Commissioner’s office may not:</text> <level label="1"> <text>Become indebted to any institution that is subject to the jurisdiction of the Commissioner; or</text> </level> <level label="2"> <text>Engage or be interested in the sale of securities of or in the negotiation of loans for others to or with any banking institution or credit union.</text> </level> </level> <level label="b"> <text>This section does not apply to a loan that is:</text> <level label="1"> <text>Made to a member of a credit union that has a membership of over 60,000 State employees; and</text> </level> <level label="2"> <text>Approved by:</text> <level label="i"> <text>A credit committee approval under § 6-603(a)(1) of this article; and</text> </level> <level label="ii"> <text>The Board of Directors.</text> </level> </level> </level> <level label="c"> <text>The Commissioner, employees of the Commissioner’s office, and other State employees acting under the supervision of the Commissioner’s office may not:</text> <level label="1"> <text>Serve as an officer, director, or committee member of a credit union; or</text> </level> <level label="2"> <text>Exercise any voting rights in a credit union.</text> </level> </level> <level label="d"> <text>Any person who violates any provision of this section is subject to forfeiture of that person’s office or employment.</text> </level> </section> <section article="gfi" article_name="Financial Institutions" number="2-113" future_version_removed="true" title_number="2" title_name="Commissioner and Boards" subtitle_number="1" subtitle_name="Commissioner of Financial Regulation"> <level label="a"> <text>In this section, “affiliate” has the meaning stated in § 5–401(b) of this article.</text> </level> <level label="b"> <text>Except as provided in subsection (d) of this section, the investigative and enforcement powers of the Commissioner authorized under this subtitle are in addition to any investigative or enforcement powers of the Commissioner authorized under any other provision of law.</text> </level> <level label="c"> <text>For fiscal year 2001 and each fiscal year thereafter, the Governor shall include in the annual budget bill an appropriation to the Office of Financial Regulation funding the positions necessary to implement the investigative and enforcement powers authorized under this subtitle.</text> </level> <level label="d"> <text>Except as provided in §§ 2–113.1 and 2–117 of this subtitle, the provisions of §§ 2–114 through 2–117, inclusive, of this subtitle do not apply to:</text> <level label="1"> <text>Any bank, trust company, savings bank, savings and loan association, or credit union incorporated or chartered under the laws of this State or the United States that maintains its principal office in this State;</text> </level> <level label="2"> <text>Any out–of–state bank, as defined in § 5–1001 of this article, having a branch that accepts deposits in this State;</text> </level> <level label="3"> <text>Any institution incorporated under federal law as a savings association or savings bank that does not maintain its principal office in this State but has a branch that accepts deposits in this State; or</text> </level> <level label="4"> <text>An affiliate of an institution described in item (1), (2), or (3) of this subsection over which the Commissioner has no jurisdiction.</text> </level> </level> </section> <section article="gfi" article_name="Financial Institutions" number="2-113.1" title_number="2" title_name="Commissioner and Boards" subtitle_number="1" subtitle_name="Commissioner of Financial Regulation"> <level label="a"> <text>A regulated person, as defined in § 2–117 of this subtitle, may not:</text> <level label="1"> <text>Issue an advertisement or make a representation that is false, misleading, or deceptive;</text> </level> <level label="2"> <text>Impose, as a condition for a loan, a restriction on obtaining credit, property, or service from a competitor unless the restriction is reasonably necessary to secure the loan;</text> </level> <level label="3"> <text>Impose, as a condition for a service, a restriction on obtaining credit, property, or service from a competitor; or</text> </level> <level label="4"> <text>Engage in an act or a practice that is anticompetitive, unfair, deceptive, abusive, or injurious to the public interest.</text> </level> </level> <level label="b"> <text>The Commissioner may further define specific acts or practices that are anticompetitive, unfair, deceptive, abusive, or injurious to the public interest.</text> </level> <level label="c"> <text>Notwithstanding § 2–113(d) of this subtitle, a financial institution or a subsidiary or an affiliate of a financial institution is subject to this section whenever the financial institution or subsidiary or affiliate engages in activity:</text> <level label="1"> <text>For which it maintains or is required to maintain a license or registration issued by the Commissioner or the State Collection Agency Licensing Board; or</text> </level> <level label="2"> <text>Subject to a provision of law, regulation, rule, or order over which the Commissioner has jurisdiction, other than activity subject to any of Titles 3 through 9 of this article.</text> </level> </level> </section> <section article="gfi" article_name="Financial Institutions" number="2-114" title_number="2" title_name="Commissioner and Boards" subtitle_number="1" subtitle_name="Commissioner of Financial Regulation"> <level label="a"> <text>The Commissioner may:</text> <level label="1"> <text>Make public or private investigations as the Commissioner considers necessary to:</text> <level label="i"> <text>Determine whether a person has violated a provision of law, regulation, rule, or order over which the Commissioner has jurisdiction; or</text> </level> <level label="ii"> <text>Aid in the enforcement of a law or in the prescribing of regulations, rules, and orders over which the Commissioner has jurisdiction;</text> </level> </level> <level label="2"> <text>Require or permit a person to file a statement in writing, under oath or otherwise as the Commissioner determines, as to all the facts and circumstances concerning the matter to be investigated; and</text> </level> <level label="3"> <text>Subject to the provisions of Title 4 of the General Provisions Article:</text> <level label="i"> <text>Deny records of an investigation; or</text> </level> <level label="ii"> <text>Publish information concerning a violation of a law, regulation, rule, or order over which the Commissioner has jurisdiction.</text> </level> </level> </level> <level label="b"> <text>For the purpose of an investigation or proceeding, the Commissioner or an officer designated by the Commissioner may administer oaths and affirmations, subpoena witnesses, compel witness attendance, take evidence, and require the production of books, papers, correspondence, memoranda, agreements, or other documents or records that the Commissioner considers relevant or material to the inquiry.</text> </level> <level label="c"> <level label="1"> <text>In case of contumacy by or refusal to obey a subpoena issued to a person, the circuit court of the county in which the person resides or transacts business, on application by the Commissioner, may issue to the person an order requiring the person to appear before the Commissioner or the officer designated by the Commissioner to produce documentary evidence if so ordered or to give evidence touching the matter under investigation or in question.</text> </level> <level label="2"> <text>Failure to obey the order of the court may be punished by the court as a contempt of court.</text> </level> </level> </section> <section article="gfi" article_name="Financial Institutions" number="2-115" title_number="2" title_name="Commissioner and Boards" subtitle_number="1" subtitle_name="Commissioner of Financial Regulation"> <level label="a"> <text>When the Commissioner determines that a person has engaged in an act or practice constituting a violation of a law, regulation, rule or order over which the Commissioner has jurisdiction, and that immediate action against the person is in the public interest, the Commissioner may in the Commissioner’s discretion issue, without a prior hearing, a summary order directing the person to cease and desist from engaging in the activity, provided that the summary cease and desist order gives the person:</text> <level label="1"> <text>Notice of the opportunity for a hearing before the Commissioner to determine whether the summary cease and desist order should be vacated, modified, or entered as final; and</text> </level> <level label="2"> <text>Notice that the summary cease and desist order will be entered as final if the person does not request a hearing within 15 days of receipt of the summary cease and desist order.</text> </level> </level> <level label="b"> <text>When the Commissioner determines after notice and a hearing, unless the right to notice and a hearing is waived, that a person has engaged in an act or practice constituting a violation of a law, regulation, rule, or order over which the Commissioner has jurisdiction, the Commissioner may in the Commissioner’s discretion and in addition to taking any other action authorized by law:</text> <level label="1"> <text>Issue a final cease and desist order against the person;</text> </level> <level label="2"> <text>Suspend or revoke the license of the person;</text> </level> <level label="3"> <text>Issue a penalty order against the person imposing a civil penalty not exceeding:</text> <level label="i"> <text>$10,000 for a first violation; and</text> </level> <level label="ii"> <text>$25,000 for each subsequent violation;</text> </level> </level> <level label="4"> <text>Issue an order against the person requiring the person to take affirmative action to correct the violation, including making restitution to any person aggrieved by the violation; or</text> </level> <level label="5"> <text>Take any combination of the actions specified in this subsection.</text> </level> </level> <level label="c"> <text>In determining the amount of financial penalty to be imposed under subsection (b) of this section, the Commissioner shall consider the following factors:</text> <level label="1"> <text>The seriousness of the violation;</text> </level> <level label="2"> <text>The good faith of the violator;</text> </level> <level label="3"> <text>The violator’s history of previous violations;</text> </level> <level label="4"> <text>The deleterious effect of the violation on the public and the industry involved;</text> </level> <level label="5"> <text>The assets of the violator; and</text> </level> <level label="6"> <text>Any other factors relevant to the determination of the financial penalty.</text> </level> </level> <level label="d"> <text>Notice of any hearing under this section shall be given and the hearing shall be held in accordance with the Administrative Procedure Act.</text> </level> </section> <section article="gfi" article_name="Financial Institutions" number="2-116" title_number="2" title_name="Commissioner and Boards" subtitle_number="1" subtitle_name="Commissioner of Financial Regulation"> <level label="a"> <text>When it appears to the Commissioner that a person is about to engage in an act or practice constituting a violation of a law, regulation, rule, or order over which the Commissioner has jurisdiction, the Commissioner may bring an action in the circuit court of the county in which the person resides or transacts business to obtain one or more of the following remedies:</text> <level label="1"> <text>A temporary restraining order; or</text> </level> <level label="2"> <text>A temporary or permanent injunction.</text> </level> </level> <level label="b"> <text>When it appears to the Commissioner that a person has engaged in an act or practice constituting a violation of a law, regulation, rule, or order over which the Commissioner has jurisdiction, the Commissioner may bring an action in the circuit court of the county in which the person resides or transacts business to obtain one or more of the following remedies:</text> <level label="1"> <text>A temporary restraining order;</text> </level> <level label="2"> <text>A temporary or permanent injunction;</text> </level> <level label="3"> <text>A civil penalty not exceeding:</text> <level label="i"> <text>$10,000 for a first violation; and</text> </level> <level label="ii"> <text>$25,000 for each subsequent violation;</text> </level> </level> <level label="4"> <text>A declaratory judgment;</text> </level> <level label="5"> <text>An order preventing access to the violator’s assets;</text> </level> <level label="6"> <text>Rescission;</text> </level> <level label="7"> <text>Restitution; and</text> </level> <level label="8"> <text>Any other relief as the court deems just.</text> </level> </level> <level label="c"> <text>The Commissioner may not be required to post a bond in an action under this section.</text> </level> </section> <section article="gfi" article_name="Financial Institutions" number="2-117" title_number="2" title_name="Commissioner and Boards" subtitle_number="1" subtitle_name="Commissioner of Financial Regulation"> <level label="a"> <text>In this section, “regulated person” means:</text> <level label="1"> <text>A person required to be licensed or registered under this article, whether or not the person maintains a license or registration;</text> </level> <level label="2"> <text>A collection agency required to be licensed under the Business Regulation Article, whether or not the collection agency maintains a license;</text> </level> <level label="3"> <text>A person required to be licensed by or registered with the Commissioner under applicable provisions of the Commercial Law Article, whether or not the person maintains a license or registration; or</text> </level> <level label="4"> <text>A person otherwise engaging in activity subject to a provision of law, regulation, rule, or order over which the Commissioner has jurisdiction.</text> </level> </level> <level label="b"> <text>This section does not apply to:</text> <level label="1"> <text>Information relating to publicly adjudicated disciplinary or enforcement actions against a regulated person; or</text> </level> <level label="2"> <text>Information or material provided to NMLS.</text> </level> </level> <level label="c"> <text>Except as otherwise provided in this article, a person, including the Commissioner and an employee of and the attorney for the Commissioner’s office, may not disclose any information obtained or generated in the course of exercising the Commissioner’s authority to examine regulated persons.</text> </level> <level label="d"> <text>The Commissioner and an employee of and the attorney for the Commissioner’s office may disclose the information described in subsection (c) of this section:</text> <level label="1"> <text>If performing a public duty to report on or take special action relating to a regulated person;</text> </level> <level label="2"> <text>If testifying as a witness in a criminal proceeding;</text> </level> <level label="3"> <text>If informing a director, officer, member, partner, employee, or agent of a regulated person of the results of an examination;</text> </level> <level label="4"> <text>If providing information to any state or federal agency having supervisory authority over the regulated person; and</text> </level> <level label="5"> <text>If entering information into evidence under seal in a public enforcement hearing.</text> </level> </level> <level label="e"> <text>Subject to subsections (f), (g), and (l) of this section, and notwithstanding any other provision of State or federal law, the Commissioner may:</text> <level label="1"> <text>Enter into information sharing agreements with any federal or state regulatory agency having authority over regulated persons or with any federal or state law enforcement agency, including the Office of Foreign Assets Control, and any successor to these agencies, and any agency of a foreign country with primary responsibility for regulating regulated persons, if the agreements prohibit the agencies from disclosing any shared information about a regulated person without the prior written consent from the Commissioner regarding disclosure of the particular information; and</text> </level> <level label="2"> <text>Exchange information about a regulated person, including information obtained or generated during an examination, with any federal or other state’s regulatory agency having authority over the regulated person or with any federal or state law enforcement agency, including the Office of Foreign Assets Control, and any successor to these agencies, and any agency of a foreign country with primary responsibility for regulating regulated persons.</text> </level> </level> <level label="f"> <text>Information shared by the Commissioner under subsection (e) of this section may not be disclosed by an agency under federal or other states’ laws governing the disclosure of public information, or by subpoena, discovery, or admission into evidence in private civil litigation or administrative process, without the prior written consent of the Commissioner.</text> </level> <level label="g"> <text>If the Commissioner receives a record from an agency under an information sharing agreement authorized by subsection (e)(1) of this section and the agency expressly retains ownership of the record, either in writing or by law or regulation, the Commissioner:</text> <level label="1"> <text>May not disclose the record to any person that requests the record under Title 4, Subtitles 1 through 5 of the General Provisions Article; and</text> </level> <level label="2"> <text>Shall forward the request for the record to the agency that owns the record for processing in accordance with the laws or regulations governing disclosure of the agency’s records.</text> </level> </level> <level label="h"> <text>Notwithstanding § 2–113(d) of this subtitle, a financial institution or a subsidiary or an affiliate of a financial institution is subject to this section whenever the financial institution or subsidiary or affiliate engages in activity:</text> <level label="1"> <text>For which it maintains or is required to maintain a license or registration issued by the Commissioner or the State Collection Agency Licensing Board; or</text> </level> <level label="2"> <text>Subject to a provision of law, regulation, rule, or order over which the Commissioner has jurisdiction, other than activity subject to any of Titles 3 through 9 of this article.</text> </level> </level> <level label="i"> <text>Any provision of Title 4, Subtitles 1 through 5 of the General Provisions Article relating to the disclosure of any information described in subsection (c) of this section shall be superseded by the requirements of this section.</text> </level> <level label="j"> <text>Except as otherwise provided in this section, all information disclosed by the Commissioner or an employee of or the attorney for the Commissioner’s office to any person as permitted under subsections (d) and (e) of this section:</text> <level label="1"> <text>Remains the property of the Commissioner; and</text> </level> <level label="2"> <text>May not be further disclosed by any person without the prior written permission of the Commissioner.</text> </level> </level> <level label="k"> <text>A person who violates any provision of this section is guilty of a misdemeanor and on conviction is subject to:</text> <level label="1"> <text>Forfeiture of the person’s office or employment; and</text> </level> <level label="2"> <text>A fine not exceeding $1,000 or imprisonment not exceeding 2 years or both.</text> </level> </level> <level label="l"> <text>This section does not authorize the Commissioner to share or exchange information in any way that is prohibited by federal law.</text> </level> </section> <section article="gfi" article_name="Financial Institutions" number="2-117.1" title_number="2" title_name="Commissioner and Boards" subtitle_number="1" subtitle_name="Commissioner of Financial Regulation"> <level label="a"> <text>This section does not apply to information relating to publicly adjudicated disciplinary or enforcement actions against banking institutions or credit unions and designated by the Commissioner for access to the public.</text> </level> <level label="b"> <text>Except as otherwise provided in this article:</text> <level label="1"> <text>A person, including the Commissioner and an employee of and the attorney for the Commissioner’s office, may not disclose any information obtained or generated in the course of exercising the Commissioner’s authority to examine banking institutions or credit unions under this article; and</text> </level> <level label="2"> <text>The Commissioner and the employees of and the attorney for the Commissioner’s office may not disclose:</text> <level label="i"> <text>The name of any debtor of a banking institution or credit union; or</text> </level> <level label="ii"> <text>Any information about the private accounts with or transactions of a banking institution or credit union.</text> </level> </level> </level> <level label="c"> <text>The Commissioner and an employee of and the attorney for the Commissioner’s office may disclose the information described in subsection (b) of this section:</text> <level label="1"> <text>If performing a public duty to report on or take special action about the business of a banking institution or credit union;</text> </level> <level label="2"> <text>If testifying as a witness in a criminal proceeding;</text> </level> <level label="3"> <text>If informing any director or authorized officer, employee, or agent of a banking institution or credit union of the results of an examination;</text> </level> <level label="4"> <text>If providing information to any state or federal agency having supervisory authority over the banking institution or credit union;</text> </level> <level label="5"> <text>If providing information about a banking institution to the Federal Deposit Insurance Corporation, if the banking institution:</text> <level label="i"> <text>Is applying for insurance from the Federal Deposit Insurance Corporation; and</text> </level> <level label="ii"> <text>Asks the Commissioner to do so;</text> </level> </level> <level label="6"> <text>If providing information about a banking institution to the Board of Governors of the Federal Reserve Bank System or the Federal Reserve Bank of Richmond, if the banking institution:</text> <level label="i"> <text>Is applying for membership in the Federal Reserve System; and</text> </level> <level label="ii"> <text>Asks the Commissioner to do so;</text> </level> </level> <level label="7"> <text>If providing information about a banking institution to the Office of the Comptroller of the Currency, if the banking institution:</text> <level label="i"> <text>Is applying to convert to, consolidate or merge with, or transfer assets to a national banking association; and</text> </level> <level label="ii"> <text>Asks the Commissioner to do so;</text> </level> </level> <level label="8"> <text>If providing information about a banking institution to any other state bank regulatory agency if the banking institution:</text> <level label="i"> <text>Is applying to consolidate or merge with or transfer assets to an other–state bank; and</text> </level> <level label="ii"> <text>Asks the Commissioner to do so;</text> </level> </level> <level label="9"> <text>If providing information about a credit union to a credit union share guaranty corporation, if the credit union:</text> <level label="i"> <text>Is insured by the credit union share guaranty corporation; or</text> </level> <level label="ii"> <level label="1"> <text>Is applying for insurance from the credit union share guaranty corporation; and</text> </level> <level label="2"> <text>Asks the Commissioner to do so;</text> </level> </level> </level> <level label="10"> <text>If providing information about a credit union to the National Credit Union Administration, if the credit union:</text> <level label="i"> <level label="1"> <text>Is applying for insurance from the National Credit Union Administration; and</text> </level> <level label="2"> <text>Asks the Commissioner to do so; or</text> </level> </level> <level label="ii"> <level label="1"> <text>Is applying to convert to or merge with a federal credit union; and</text> </level> <level label="2"> <text>Asks the Commissioner to do so;</text> </level> </level> </level> <level label="11"> <text>If providing information about a credit union to another state bank regulatory agency, if the credit union:</text> <level label="i"> <text>Is applying to merge with an other–state credit union; and</text> </level> <level label="ii"> <text>Asks the Commissioner to do so; and</text> </level> </level> <level label="12"> <text>If entering information into evidence under seal in a public enforcement hearing.</text> </level> </level> <level label="d"> <text>Subject to subsections (e), (f), and (j) of this section, and notwithstanding any other provision of State law, the Commissioner may:</text> <level label="1"> <text>Enter into information sharing agreements with any federal or state regulatory agency having authority over banking institutions or credit unions, a federal home loan bank, or any federal or state law enforcement agency, including the Office of Foreign Asset Control, and any successor to these agencies, provided that the agreements prohibit the agencies from disclosing any shared information about a banking institution or credit union without the prior written consent from the Commissioner regarding disclosure of the particular information; and</text> </level> <level label="2"> <text>Exchange information about a banking institution or a credit union, including information obtained or generated during an examination, with any federal or other state’s regulatory agency having authority over the banking institution or credit union or with any federal or state law enforcement agency.</text> </level> </level> <level label="e"> <text>Information shared by the Commissioner under subsection (d) of this section may not be disclosed by an agency under federal or other states’ laws governing the disclosure of public information, or by subpoena, discovery, or admission into evidence in private civil litigation or administrative process, without the prior written consent of the Commissioner.</text> </level> <level label="f"> <text>If the Commissioner receives a record from an agency under an information sharing agreement authorized by subsection (d)(1) of this section and the agency expressly retains ownership of the record, either in writing or by law or regulation, the Commissioner:</text> <level label="1"> <text>May not disclose the record to any person that requests the record under Title 4, Subtitles 1 through 5 of the General Provisions Article; and</text> </level> <level label="2"> <text>Shall forward the request for the record to the agency that owns the record for processing in accordance with the laws or regulations governing disclosure of the agency’s records.</text> </level> </level> <level label="g"> <text>Any provision of Title 4, Subtitles 1 through 5 of the General Provisions Article relating to the disclosure of any information described in subsection (b) of this section shall be superseded by the requirements of this section.</text> </level> <level label="h"> <text>Except as otherwise provided in this section, all information disclosed by the Commissioner or an employee of or the attorney for the Commissioner’s office to any person as permitted under subsections (c) and (d) of this section:</text> <level label="1"> <text>Remains the property of the Commissioner; and</text> </level> <level label="2"> <text>May not be further disclosed by any person without the prior written permission of the Commissioner.</text> </level> </level> <level label="i"> <text>A person who violates any provision of this section is guilty of a misdemeanor and on conviction is subject to:</text> <level label="1"> <text>Forfeiture of the person’s office or employment; and</text> </level> <level label="2"> <text>A fine not exceeding $1,000 or imprisonment not exceeding 2 years or both.</text> </level> </level> <level label="j"> <text>This section does not authorize the Commissioner to share or exchange information in any way that is prohibited by federal law.</text> </level> </section> <section article="gfi" article_name="Financial Institutions" number="2-118" title_number="2" title_name="Commissioner and Boards" subtitle_number="1" subtitle_name="Commissioner of Financial Regulation"> <level label="a"> <text>In this section, “Fund” means the Banking Institution and Credit Union Regulation Fund established under this section.</text> </level> <level label="b"> <text>There is a Banking Institution and Credit Union Regulation Fund that consists of:</text> <level label="1"> <text>All revenue received for the chartering and regulation of persons who engage in the business of a banking institution or credit union under this article; and</text> </level> <level label="2"> <text>Any other fee, assessment, or revenue received by the Commissioner from banking institutions and credit unions under this article.</text> </level> </level> <level label="c"> <text>Notwithstanding subsection (b) of this section, the Commissioner shall pay all fines and penalties collected by the Commissioner from banking institutions and credit unions under this article into the General Fund of the State.</text> </level> <level label="d"> <text>The purpose of the Fund is to pay all the costs and expenses incurred by the Commissioner that are related to the regulation of banking institutions and credit unions under this article, including:</text> <level label="1"> <text>Expenditures authorized under this article;</text> </level> <level label="2"> <text>Investments authorized under § 2–118.1 of this subtitle; and</text> </level> <level label="3"> <text>Any other expense authorized in the State budget.</text> </level> </level> <level label="e"> <level label="1"> <text>All the costs and expenses of the Commissioner relating to the regulation of banking institutions and credit unions under this article shall be included in the State budget.</text> </level> <level label="2"> <text>Any expenditures from the Fund to cover costs and expenses of the Commissioner may be made only:</text> <level label="i"> <text>By an appropriation from the Fund approved by the General Assembly in the annual State budget; or</text> </level> <level label="ii"> <text>By the budget amendment procedure provided for in § 7–209 of the State Finance and Procurement Article.</text> </level> </level> <level label="3"> <text>If, in any given fiscal year, the amount of the revenue collected by the Commissioner and deposited into the Fund exceeds the actual appropriation for the Commissioner to regulate banking institutions and credit unions under this article, the excess amount shall be carried forward within the Fund.</text> </level> </level> <level label="f"> <level label="1"> <text>The State Treasurer is the custodian of the Fund.</text> </level> <level label="2"> <text>The State Treasurer shall deposit payments received from the Commissioner into the Fund.</text> </level> </level> <level label="g"> <level label="1"> <text>The Fund is a continuing, nonlapsing fund that is not subject to § 7–302 of the State Finance and Procurement Article, and may not be deemed a part of the General Fund of the State.</text> </level> <level label="2"> <text>Unless otherwise provided by law, no part of the Fund may revert or be credited to:</text> <level label="i"> <text>The General Fund of the State; or</text> </level> <level label="ii"> <text>A special fund of the State.</text> </level> </level> </level> </section> <section article="gfi" article_name="Financial Institutions" number="2-118.1" title_number="2" title_name="Commissioner and Boards" subtitle_number="1" subtitle_name="Commissioner of Financial Regulation"> <level label="a"> <level label="1"> <text>In this section the following words have the meanings indicated.</text> </level> <level label="2"> <text>“Fund” means the Maryland Community Investment Venture Fund.</text> </level> <level label="3"> <text>“Low– to moderate–income tract” has the meaning stated in § 5–203 of this article.</text> </level> </level> <level label="b"> <level label="1"> <text>There is a Maryland Community Investment Venture Fund.</text> </level> <level label="2"> <text>The Fund is a private venture fund that:</text> <level label="i"> <text>Is an instrumentality of the State; and</text> </level> <level label="ii"> <text>Uses public and private investment funds.</text> </level> </level> </level> <level label="c"> <level label="1"> <text>Subject to paragraph (2) of this subsection, the purpose of the Fund is to develop opportunities for banking institutions and credit unions to better serve the needs of low– to moderate–income tracts by:</text> <level label="i"> <text>Promoting the development of financial product or financial product underwriting innovations that enhance access to capital, funding, and other financial services for consumers and businesses in low– to moderate–income tracts in the State through investments, grants, and other forms of financial assistance;</text> </level> <level label="ii"> <text>Deploying, testing, and evaluating the innovations for providing capital and funding to consumers and businesses in low– to moderate–income tracts in the State; and</text> </level> <level label="iii"> <text>Promoting and making the innovations available to banking institutions and credit unions for use in enhancing access to capital, funding, and other financial services for consumers and businesses in low– to moderate–income tracts in the State.</text> </level> </level> <level label="2"> <text>With the approval of the Commissioner, the purpose of the Fund may be altered in a manner that is consistent with the intent and requirements of this section.</text> </level> </level> <level label="d"> <level label="1"> <level label="i"> <text>The Commissioner shall establish a governance structure for the Fund.</text> </level> <level label="ii"> <text>The Commissioner may collaborate with investors in the Fund when establishing the governance structure.</text> </level> </level> <level label="2"> <text>The Commissioner, or the Commissioner’s designee, shall serve on the governing body of the Fund.</text> </level> </level> <level label="e"> <level label="1"> <text>The Commissioner may use up to $250,000 from the Banking Institution and Credit Union Regulation Fund established under § 2–118 of this subtitle to cover the expenses associated with establishing and administering the Fund, including accounting, advisory, third–party service provider, marketing, and other necessary expenses.</text> </level> <level label="2"> <text>To encourage private investment, the Commissioner may provide an equity capital investment in the Fund in an amount up to $2,500,000 from the Banking Institution and Credit Union Regulation Fund.</text> </level> </level> <level label="f"> <level label="1"> <text>Through June 30, 2030, the Commissioner may match an investment made in the Fund by a banking institution or credit union up to the amount of the assessment credit earned by the banking institution or credit union in accordance with § 5–203(d) or § 6–712(c)(4) of this article.</text> </level> <level label="2"> <text>The Commissioner may not make an investment in the Fund after June 30, 2030.</text> </level> </level> <level label="g"> <text>All investment returns or return of capital from the Fund with respect to an investment authorized by the Commissioner shall be credited to the Banking Institution and Credit Union Regulation Fund.</text> </level> <level label="h"> <text>At the direction of the Commissioner, and in addition to any customary and appropriate audits of the Fund, the governing body of the Fund shall obtain the services of an independent third party designated by the Commissioner on an annual basis to evaluate whether the investments made to the Fund comply with this section.</text> </level> <level label="i"> <level label="1"> <text>If the Commissioner determines that separate private venture funds are necessary to accomplish the purpose of the Fund, the Commissioner may use money from the Fund to establish additional private venture funds.</text> </level> <level label="2"> <text>An additional private venture fund established in accordance with this subsection shall comply with the requirements of subsections (b) through (f) of this section.</text> </level> </level> <level label="j"> <level label="1"> <text>The Fund is a special, nonlapsing fund that is not subject to § 7–302 of the State Finance and Procurement Article and may not be deemed a part of the General Fund of the State.</text> </level> <level label="2"> <text>Unless otherwise provided by law, no part of the Fund may revert or be credited to:</text> <level label="i"> <text>The General Fund of the State; or</text> </level> <level label="ii"> <text>Except as provided in subsection (g) of this section, a special fund of the State.</text> </level> </level> </level> <level label="k"> <level label="1"> <text>The State Treasurer is the custodian of the Fund.</text> </level> <level label="2"> <text>The State Treasurer shall invest the money of the Fund in the same manner as other State money may be invested.</text> </level> <level label="3"> <text>Any interest earnings of the Fund shall be credited to the Fund.</text> </level> </level> <level label="l"> <text>The Commissioner may adopt regulations reasonably necessary to carry out this section.</text> </level> </section> <section article="gfi" article_name="Financial Institutions" number="2-119" title_number="2" title_name="Commissioner and Boards" subtitle_number="1" subtitle_name="Commissioner of Financial Regulation"> <text>For fiscal year 2009 and each fiscal year thereafter, the Governor shall include in the annual budget bill an appropriation to the Office of Financial Regulation for the purpose of regulating banking institutions and credit unions.</text> </section> <section article="gfi" article_name="Financial Institutions" number="2-120" title_number="2" title_name="Commissioner and Boards" subtitle_number="1" subtitle_name="Commissioner of Financial Regulation"> <level label="a"> <level label="1"> <text>In this section the following words have the meanings indicated.</text> </level> <level label="2"> <text>“Board” means the State Collection Agency Licensing Board established under Title 7 of the Business Regulation Article.</text> </level> <level label="3"> <text>“Fund” means the Non–Depository Special Fund established under this section.</text> </level> <level label="4"> <text>“License” means any license issued by the Commissioner or the Board under applicable law.</text> </level> <level label="5"> <text>“License category” refers to all licenses issued by either the Commissioner or the Board under any of the following provisions:</text> <level label="i"> <text>Title 11, Subtitle 2 of this article;</text> </level> <level label="ii"> <text>Title 11, Subtitle 3 of this article;</text> </level> <level label="iii"> <text>Title 11, Subtitle 4 of this article;</text> </level> <level label="iv"> <text>Title 11, Subtitle 5 of this article;</text> </level> <level label="v"> <text>Title 11, Subtitle 6 of this article;</text> </level> <level label="vi"> <text>Title 12, Subtitle 1 of this article;</text> </level> <level label="vii"> <text>Title 12, Subtitle 4 of this article;</text> </level> <level label="viii"> <text>Title 12, Subtitle 9 of this article; or</text> </level> <level label="ix"> <text>Title 7 of the Business Regulation Article.</text> </level> </level> <level label="6"> <text>“Licensed person” means any person required by law to be licensed by either the Commissioner or the Board, regardless of whether the person maintains the required license.</text> </level> <level label="7"> <text>“Registered person” means any person required by law to be registered by the Commissioner or the Board, regardless of whether the person maintains the required registration.</text> </level> <level label="8"> <text>“Regulated person” means:</text> <level label="i"> <text>A licensed person or registered person; or</text> </level> <level label="ii"> <text>Any person otherwise engaging in activity subject to a provision of law, regulation, rule, or order over which the Commissioner has jurisdiction, other than activity subject to any of Titles 3 through 9 of this article.</text> </level> </level> </level> <level label="b"> <text>There is a Non–Depository Special Fund that consists of:</text> <level label="1"> <text>All revenues received from licensing fees from each licensed person;</text> </level> <level label="2"> <text>All revenues received from registration fees from each registered person;</text> </level> <level label="3"> <text>All revenues received from annual assessments under subsection (h) of this section;</text> </level> <level label="4"> <text>Income from the investments that the State Treasurer makes for the Fund; and</text> </level> <level label="5"> <text>Any other fee, examination or investigation fee or assessment, or revenue received by the Commissioner or the Board with respect to any regulated person.</text> </level> </level> <level label="c"> <text>Notwithstanding subsection (b) of this section:</text> <level label="1"> <text>The Commissioner and the Board shall pay all fines and penalties collected from any regulated person into the General Fund of the State; and</text> </level> <level label="2"> <text>Revenue received by the Commissioner for use of the Foreclosed Property Registry established under Title 7 of the Real Property Article shall be paid by the Commissioner to the Foreclosed Property Registry Fund established under § 7–105.14 of the Real Property Article.</text> </level> </level> <level label="d"> <text>The purpose of the Fund is to cover the direct and indirect costs of fulfilling the statutory and regulatory duties of the Commissioner and the Board related to regulated persons.</text> </level> <level label="e"> <level label="1"> <text>The annual State budget shall include the costs and expenses of the Commissioner and the Board relating to subsection (d) of this section.</text> </level> <level label="2"> <text>Any expenditures from the Fund to cover costs and expenses of the Commissioner and the Board relating to subsection (d) of this section may be made only:</text> <level label="i"> <text>With an appropriation from the Fund approved by the General Assembly in the annual State budget; or</text> </level> <level label="ii"> <text>By the budget amendment procedure under § 7–209 of the State Finance and Procurement Article.</text> </level> </level> <level label="3"> <text>If, in any fiscal year, the amount of the revenue collected by the Commissioner and the Board and deposited into the Fund exceeds the actual appropriation for the Commissioner and the Board under paragraph (2)(i) of this subsection, the excess amount shall be carried forward within the Fund.</text> </level> </level> <level label="f"> <level label="1"> <text>The State Treasurer is the custodian of the Fund.</text> </level> <level label="2"> <text>The State Treasurer shall deposit payments received from the Commissioner and the Board into the Fund.</text> </level> </level> <level label="g"> <level label="1"> <level label="i"> <text>The Fund is a special, nonlapsing fund that is not subject to § 7–302 of the State Finance and Procurement Article.</text> </level> <level label="ii"> <text>The Fund may not be deemed a part of the General Fund of the State.</text> </level> </level> <level label="2"> <text>Unless otherwise provided by law, no part of the Fund may revert or be credited to:</text> <level label="i"> <text>The General Fund of the State; or</text> </level> <level label="ii"> <text>Any other special fund of the State.</text> </level> </level> </level> <level label="h"> <level label="1"> <text>In order to ensure the Fund contains sufficient amounts to achieve its purpose under subsection (d) of this section, the Commissioner may impose an annual assessment on any licensed person not more than once each year.</text> </level> <level label="2"> <text>In calculating an assessment with respect to any licensed person, the Commissioner may consider:</text> <level label="i"> <text>The costs incurred by the Commissioner or the Board in supervising licensed persons of that license category;</text> </level> <level label="ii"> <text>The type of business conducted in the State by that licensed person;</text> </level> <level label="iii"> <text>The volume of business that licensed person conducts in the State;</text> </level> <level label="iv"> <text>Assets of the licensed person; and</text> </level> <level label="v"> <text>Any other factor the Commissioner considers appropriate.</text> </level> </level> <level label="3"> <text>A licensed person shall pay any assessment imposed under this section to the Commissioner within 30 calendar days after the assessment is imposed.</text> </level> <level label="4"> <level label="i"> <text>Failure by a licensed person to timely pay an annual assessment under this section is a violation of this section.</text> </level> <level label="ii"> <text>The Commissioner may take action for the violation against the licensed person and the license under applicable law.</text> </level> </level> </level> </section> <section article="gfi" article_name="Financial Institutions" number="2-121" title_number="2" title_name="Commissioner and Boards" subtitle_number="1" subtitle_name="Commissioner of Financial Regulation"> <level label="a"> <text>Before using a trade name to engage in any activity requiring a license or registration from the Commissioner or the State Collection Agency Licensing Board, the licensed or registered person shall:</text> <level label="1"> <text>Register the trade name with the State Department of Assessments and Taxation; and</text> </level> <level label="2"> <text>Obtain the approval of the Commissioner, or the State Collection Agency Licensing Board if licensed by the Board, to use the trade name by:</text> <level label="i"> <text>Designating on an original license or registration application or on a license or registration renewal application through NMLS the trade name under which the licensed or registered person will engage in licensed activity in the State; or</text> </level> <level label="ii"> <text>If the person wishes to begin using a trade name before renewing a license or registration, notifying the Commissioner, or the State Collection Agency Licensing Board if licensed by the Board, in writing by listing the trade name in the person’s NMLS record.</text> </level> </level> </level> <level label="b"> <text>After receiving approval from the Commissioner or from the State Collection Agency Licensing Board if licensed by the Board for the use of a trade name, the licensed or registered person shall:</text> <level label="1"> <text>Maintain registration of the trade name in accordance with § 1–406 of the Corporations and Associations Article and any implementing regulations;</text> </level> <level label="2"> <text>List the trade name in NMLS; and</text> </level> <level label="3"> <text>Immediately notify the Commissioner, or the State Collection Agency Licensing Board if licensed by the Board, if the person amends, cancels, or otherwise fails to renew the registration of the trade name.</text> </level> </level> </section> <section article="gfi" article_name="Financial Institutions" number="2-122" title_number="2" title_name="Commissioner and Boards" subtitle_number="1" subtitle_name="Commissioner of Financial Regulation"> <level label="a"> <text>The Commissioner may examine a third–party service provider as to services and activities performed on behalf of the regulated entity to the same extent as if the service or activity was performed by the regulated entity.</text> </level> <level label="b"> <text>To the extent authorized by law, regulation, or any other agreement to which the Office of Financial Regulation is a party, the Commissioner shall notify a person licensed by the Commissioner of any examination initiated by the Commissioner of any third–party service provider who performs activities relating to financial services on behalf of the licensed person.</text> </level> <level label="c"> <text>The power of the Commissioner to examine a third–party service provider under this section is not limited to services and activities conducted on the premises of a regulated entity.</text> </level> <level label="d"> <text>After commencement of an examination of a person licensed by the Commissioner or any third–party service provider who performs activities relating to financial services on behalf of a person licensed by the Commissioner:</text> <level label="1"> <text>The Commissioner may request information from the third–party service provider who performs activities relating to financial services for the licensed person; and</text> </level> <level label="2"> <text>If the licensed person has access to the information, the licensed person may provide the information to the Commissioner:</text> <level label="i"> <text>With the consent of the Commissioner; or</text> </level> <level label="ii"> <text>If the third–party service provider fails to provide the information.</text> </level> </level> </level> <level label="e"> <text>The Commissioner may collect a fee in connection with each examination to cover the cost of the examination from:</text> <level label="1"> <text>The examined third–party service provider; or</text> </level> <level label="2"> <text>If the examined third–party service provider fails to cover the cost of the examination within 60 days after the date the Commissioner sends an invoice for the examination to the third–party service provider, the regulated entity that contracts with the third–party service provider.</text> </level> </level> <level label="f"> <text>The Commissioner may accept the results of an examination of a federal supervisory agency or responsible supervisory agency of another state as the results of an examination by the Commissioner under this section.</text> </level> <level label="g"> <text>The Commissioner may examine:</text> <level label="1"> <text>All books, accounts, and records of a regulated entity or a third–party service provider as the Commissioner determines necessary to conduct a complete examination; and</text> </level> <level label="2"> <text>Any officer, director, or employee of the regulated entity or, as appropriate, the third–party service provider, under oath, who may provide information on behalf of the regulated entity or the third–party service provider.</text> </level> </level> <level label="h"> <level label="1"> <text>The Commissioner is authorized to take an enforcement action against any third–party service provider who:</text> <level label="i"> <text>Refuses to submit to an examination;</text> </level> <level label="ii"> <text>Refuses to pay any assessed fee for the cost of the examination; or</text> </level> <level label="iii"> <text>Engages in activities that the Commissioner deems unsafe or unsound.</text> </level> </level> <level label="2"> <text>The Commissioner may advise any regulated entity that uses the services of a third–party service provider who refuses to submit to examination or engages in unsafe or unsound activities that the continued use of the third–party service by the regulated entity may constitute unsafe or unsound activity.</text> </level> </level> <level label="i"> <text>The Commissioner, and any employee of the Commissioner’s office, shall hold as confidential, as provided in §§ 2–117 and 2–117.1 of this subtitle, any information obtained or generated in the course of exercising the Commissioner’s authority to examine third–party service providers.</text> </level> <level label="j"> <text>The examination powers of the Commissioner authorized under this section are in addition to any examination powers of the Commissioner authorized under any other provision of law.</text> </level> </section> <section article="gfi" article_name="Financial Institutions" number="2-401" title_number="2" title_name="Commissioner and Boards" subtitle_number="4" subtitle_name="Termination of Certain Provisions"> <text>Subject to the evaluation and reestablishment provisions of the Program Evaluation Act, the provisions of this article that create the office of the Commissioner of Financial Regulation or relate to the powers and duties of the Commissioner and any regulations adopted under these provisions shall terminate and be of no effect after July 1, 2032.</text> </section>