§ 28-1-29-5 — License application; findings by the department; felonies; financial statements; denial; hearing

Indiana § 28-1-29-5

• Jurisdiction: Indiana
• Art. 1: DEPARTMENT OF FINANCIAL INSTITUTIONS
• Ch. 29: Debt Management Companies

Text

(a) Every person doing business as a debt
management company shall make application to the department for a
license to engage in such business. Such application shall be in the
form prescribed by the director and shall contain such information as
the director may require.
(b) The department may not issue a license unless the department
finds that the financial responsibility, character, and fitness of:
(1) the applicant and any significant affiliate of the applicant;
(2) each executive officer, director, or manager of the applicant,
or any other individual having a similar status or performing a
similar function for the applicant;
(3) if known, each person directly or indirectly owning of record
or owning beneficially at least ten percent (10%) of the
outstanding shares of any class of equity security of the applicant;
and
(4) each of the applicant's:
(A) employees; or
(B) agents;
authorized to initiate transactions involving the trust account
required under section 9 of this chapter;
warrant belief that the business will be operated honestly and fairly
under this chapter. The department is entitled to request evidence of an
applicant's financial responsibility, character, and fitness.
(c) An application submitted under this section must indicate
whether any individuals described in subsection (b)(2), (b)(3), or
(b)(4):
(1) are, at the time of the application, under indictment for a
felony under Indiana law or the laws of any other jurisdiction; or
(2) have been convicted of a felony under Indiana law or the laws
of any other jurisdiction.
(d) Unless waived upon written request to and approval by the
director, an application submitted to the department under this section
must include copies of the applicant's audited financial statements for
the applicant's most recently concluded fiscal year and, if available, for
the applicant's two (2) fiscal years immediately preceding the
applicant's most recently concluded fiscal year, including a:
(1) balance sheet;
(2) statement of income or loss;
(3) statement of changes in shareholder equity; and
(4) statement of changes in financial position.
A financial statement required to be submitted under this subsection
must be prepared, by an independent certified public accountant
authorized to do business in the United States, in accordance with
AICPA Statements on Standards for Accounting and Review Services
(SSARS) and in accordance with United States generally accepted
accounting principles.
(e) The department may deny an application under this section if the
director of the department determines that the application was
submitted for the benefit of, or on behalf of, a person who does not
qualify for a license.
(f) Upon written request, an applicant is entitled to a hearing under
IC 4-21.5 on the question of the qualifications of the applicant for a
license.
Formerly: Acts 1971, P.L.397, SEC.1; Acts 1972, P.L.10,
SEC.6. As amended by P.L.42-1993, SEC.52; P.L.80-1998, SEC.11;
P.L.10-2006, SEC.34 and P.L.57-2006, SEC.34; P.L.213-2007,
SEC.46; P.L.217-2007, SEC.44; P.L.90-2008, SEC.29; P.L.35-2010,
SEC.123; P.L.216-2013, SEC.22; P.L.69-2018, SEC.46.