§ 28-5-1-15 — Authority of department; examination of affiliates; examination of vendors

Indiana § 28-5-1-15

• Jurisdiction: Indiana
• Art. 5: INDUSTRIAL LOAN AND INVESTMENT
• Ch. 1: Industrial Loan and Investment Act

Text

(a) The department shall have charge of the
organization, supervision, regulation, examination, and liquidation of
all industrial loan and investment companies to which this chapter is
applicable, to the same extent and in the same manner as is provided
for financial institutions in IC 28-1 and IC 28-11, and for such purpose
any company to which this chapter is applicable shall be deemed to be
and shall be a financial institution within the meaning of the term as
used in IC 28-1-2, IC 28-1-3.1, and IC 28-11. The department shall be
subject to the same limitations with reference to the disclosure of
information as is provided in IC 28-11-3-3.
(b) In conducting an examination of an industrial loan and
investment company, the department shall include an examination of
the affairs of all the industrial loan and investment company's affiliates
necessary to disclose fully:
(1) the relations between the industrial loan and investment
company and its affiliates; and
(2) the effect of the relations described in subdivision (1) upon the
affairs of the industrial loan and investment company.
In conducting the examination of an affiliate of an industrial loan and
investment company, the department has the same powers to examine
the affiliate as the department has to examine the affairs of the
industrial loan and investment company under this section.
(c) If an industrial loan and investment company contracts with an
outside vendor to provide a service that would otherwise be undertaken
internally by the industrial loan and investment company and be
subject to the department's routine examination procedures, the person
that provides the service to the industrial loan and investment company
shall, at the request of the director, submit to an examination by the
department. If the director determines that an examination under this
subsection is necessary or desirable, the examination may be made at
the expense of the person to be examined. If the person to be examined
under this subsection refuses to permit the examination to be made, the
director may order any industrial loan and investment company that
receives services from the person refusing the examination to:
(1) discontinue receiving one (1) or more services from the
person; or
(2) otherwise cease conducting business with the person.
Formerly: Acts 1935, c.181, s.15. As amended by P.L.263-1985,
SEC.153; P.L.33-1991, SEC.47; P.L.213-2007, SEC.61; P.L.217-2007,
SEC.59; P.L.35-2010, SEC.144.