Haw. Code R. § 16-24-16 - Presumptive disqualification criteria

(a) Managerial resource test. The following factors shall give rise to a rebuttable presumption that the criterion regarding the general character of management has not been met, if the applicant or any individual member of management has:

(1) Been convicted of, or has pleaded nolo contendere to, any crime involving an act of fraud or dishonesty;

(2) Consented to or suffered a judgment in any civil or administrative action based upon conduct involving an act of fraud or dishonesty;

(3) Consented to or suffered any indictment, formal investigation, examination, or civil or administrative proceedings that resulted in any agreement, undertaking, consent, or order issued by any federal or state court, any department, agency, or commission of the United States government, any state or municipality, any self-regulatory trade or professional organization, or any foreign government or governmental entity, which involves an act of fraud or dishonesty;

(4) Consented to or suffered the suspension or revocation of any professional, occupational, or vocational license based upon conduct involving an act of fraud or dishonesty;

(5) Knowingly made or caused to be made in any application or report filed with the commissioner or in any proceeding before the commissioner, any written or oral statement which was, at the time and in light of the circumstances under which it was made, false or misleading with respect to material fact, or has omitted to state in any application or report any material fact which was required to be stated;

(6) Committed any violation of, or aided, abetted, counseled, commanded, induced, or procured the violation by any other person of, any provision of state law or rule relating to the business of money transmission;

(7) Been involved in the denial of or the withdrawal by the applicant or its affiliates, after receipt of formal or informal notice of an intent to deny, of:

(A) Any application relating to the organization of a money transmitter,

(B) An application to acquire any money transmitter or subsidiary or holding company thereof; or

(C) A notice relating to a change in control of any money transmitter, or subsidiary or holding company thereof;

(8) Been placed in receivership or conservatorship during the preceding ten years;

(9) Was a management official or director of a money transmitter which entered into receivership or conservatorship, was placed in a management consignment program, or was liquidated during his or her tenure or within two years thereafter.

(b) Financial history and condition test. Liability for amounts of debt which, in the opinion of the commissioner, create excessive risks of default and pressure on the money transmitter shall give rise to a rebuttable presumption that the applicant has not satisfied the financial history and condition criterion.

(c) Subsections (a) and (b) shall not be deemed an exclusive list of the grounds upon which the commissioner may find that the relevant criteria have not been met.

Notes

Haw. Code R. § 16-24-16

[Eff 7/23/07] (Auth: HRS §§ 489D-33, 489D-34) (Imp: HRS §§ 489D-2, 489D-9, 489D-11)