No person required to be licensed or registered under this act shall directly or indirectly:
(a)Pay compensation to, contract with or employ in any manner any person engaged in mortgage business who is not properly licensed or registered, unless such person is exempt pursuant to K.S.A. 9-2202, and amendments thereto; (b)without the prior written approval of the commissioner employ any person who has:
(1)Had a license or registration denied, revoked, suspended or refused renewal; or
(2)been convicted of any crime involving fraud, dishonesty or deceit;
(c)delay closing of a mortgage loan for the purpose of increasing interest, costs, fees or charges payable by the borrower;
(d)misrepresent the material facts or make false promises intended to influence, persuade or induce an applicant
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No person required to be licensed or registered under this act shall directly or indirectly:
(a) Pay compensation to, contract with or employ in any manner any person engaged in mortgage business who is not properly licensed or registered, unless such person is exempt pursuant to K.S.A. 9-2202, and amendments thereto;
(b) without the prior written approval of the commissioner employ any person who has:
(1) Had a license or registration denied, revoked, suspended or refused renewal; or
(2) been convicted of any crime involving fraud, dishonesty or deceit;
(c) delay closing of a mortgage loan for the purpose of increasing interest, costs, fees or charges payable by the borrower;
(d) misrepresent the material facts or make false promises intended to influence, persuade or induce an applicant for a mortgage loan or mortgagee to take a mortgage loan or cause or contribute to misrepresentation by any person acting on behalf of the person required to be licensed or registered;
(e) misrepresent to or conceal from an applicant for a mortgage loan a mortgagor or a lender, material facts, terms or conditions of a transaction to which the person required to be licensed or registered is a party;
(f) engage in any transaction, practice or business conduct that is not in good faith or that operates a fraud upon any person in connection with conducting mortgage business;
(g) receive compensation for rendering mortgage business services where the licensee or registrant has otherwise acted as a real estate broker or agent in connection with the sale of the real estate which secures the mortgage transaction unless the person required to be licensed or registered has provided written disclosure to the person from whom compensation is collected that the person is receiving compensation both for mortgage business services and for real estate broker or agent services;
(h) engage in any fraudulent residential mortgage brokerage or underwriting practices;
(i) advertise, display, distribute, broadcast or televise or cause or permit to be advertised, displayed, distributed, broadcast or televised, in any manner, any false, misleading or deceptive statement or representation with regard to rates, terms or conditions for a mortgage loan;
(j) fail to disburse the proceeds of a mortgage loan upon the satisfaction of all conditions to the disbursement and the expiration of all applicable rescission, cooling-off or other waiting periods required by law, unless the parties otherwise agree in writing;
(k) record a mortgage if moneys are not available for the immediate disbursal to the mortgagor unless, before that recording, the person required to be licensed or registered informs the mortgagor in writing of a definite date by which payment shall be made and obtains the mortgagor's written permission for the delay;
(l) transfer, assign or attempt to transfer or assign, a license or registration to any other person, or assist or aide and abet any person who does not hold a valid license or registration under this act in engaging in the conduct of mortgage business who is not properly licensed or registered, unless such person is exempt under K.S.A. 9-2202, and amendments thereto;
(m) solicit or enter into a contract with a borrower that provides in substance that the person required to be licensed or registered may earn a fee or commission through best efforts to obtain a loan even though no loan is actually obtained for the borrower;
(n) solicit, advertise or enter into a contract for specific interest rates, points or other financing terms unless the terms are actually available at the time of soliciting, advertising or contracting;
(o) make any payment, threat or promise, to any person for the purposes of influencing the independent judgment of the person in connection with a residential mortgage loan or make any payment, threat or promise, to any appraiser of a property, for the purposes of influencing the independent judgment of the appraiser with respect to the value of the property or engage in any activity that would constitute a violation of K.S.A. 58-2344, and amendments thereto; or
(p) fail to comply with this act or rules and regulations promulgated under this act or fail to comply with any other state or federal law, including the rules and regulations thereunder, applicable to any business authorized or conducted under this act.