§ 11-109-602 — Assessment of civil money penalties by banking board

Colorado § 11-109-602

• Jurisdiction: Colorado
• Title 11: Financial
• Art.: Trust Companies

Text

(1) (a) (I)
After notice and a hearing as provided in article 4 of title 24 and after making a
determination that no other appropriate governmental agency has taken similar
action against such person for the same act or practice, the banking board may
assess against and collect a civil penalty from:

(A) Any person who has violated any final cease-and-desist order issued by
the banking board pursuant to section 11-109-104 (1)(c); and

(B) A trust company that, or any executive officer, director, employee, agent,
or other person participating in the conduct of the affairs of such trust company
who, violates or knowingly permits any person to violate any of the provisions of
this article 109 or any rule promulgated pursuant to this article 109 or engages or
participates in any unsafe or unsound practice in connection with a trust company.
The civil money penalty must not exceed five thousand dollars per day for each day
such violation continues. This provision shall include, but not be limited to, the
following violations: Making, or causing to be made, delinquent payment of
assessments under this section; submitting, or causing to be submitted, delinquent
reports, including but not limited to call reports; or knowingly submitting, or
causing to be submitted, to the banking board any report or statement that
contains materially false or misleading information.

(II) The banking board may, at its option and upon waiver of the right to a
public hearing by a respondent, close to the public any hearing concerning an
assessment of a civil money penalty, an order of suspension or removal from office,
an order to cease and desist from any unlawful or unsafe and unsound practices, or
any other formal enforcement action by the banking board.

(b) For the purposes of this section, a violation shall include, but is not
limited to, any action, by any person alone or with another person, that causes,
brings about, or results in the participation in, counseling of, or aiding or abetting of
a violation.

(2) Civil money penalties shall be assessed by written notice of assessment
of a civil money penalty served upon the person to be assessed. The notice of
assessment of a civil money penalty shall state the amount of the penalty, the
period for payment, the legal authority for the assessment, and the matters of fact
or law constituting the grounds for assessment. The notice of assessment of a civil
money penalty shall constitute a final order for purposes of judicial review pursuant
to section 24-4-106, C.R.S.

(3) The banking board may determine the amount of any civil money penalty
assessed against any executive officer, director, employee, agent, or other person
participating in the affairs of a trust company, except as expressly limited by this
article 109. In determining the amount of the civil money penalty to be assessed,
the banking board shall consider the good faith of the person assessed, the gravity
of the violation, any previous violations by the person assessed, the nature and
extent of any past violations, and such other matters as the banking board may
deem appropriate; except that the civil money penalty must not exceed five
thousand dollars per day for each day the person assessed remains in violation.

(4) Civil money penalties assessed pursuant to this section shall be due and
payable and collected within thirty days after the notice of assessment of a civil
money penalty is issued by the banking board; except that the banking board may,
in its discretion, compromise, modify, or set aside any civil money penalty. Any civil
money penalty collected pursuant to this section shall be transmitted to the state
treasurer, who shall credit the same to the general fund.

Legislative History

Source: L. 2003: Entire article added with relocations, p. 1193, � 3, effective July 1. L. 2024: IP(1)(a)(I), (1)(a)(I)(B), and (3) amended, (HB 24-1351), ch. 461, p. 3198, � 10, effective August 7.