§ 13-10-16 — Investigation and examination authority

North Dakota § 13-10-16

• Jurisdiction: North Dakota
• Title 13: Debtor and Creditor Relationship
• Ch. 13-10: Mortgage Loan Originators

Text

In addition to any authority allowed under this chapter, the commissioner may conduct
investigations and examinations as follows:
1. For purposes of initial licensing, license renewal, license suspension, license
conditioning, license revocation or termination, or general or specific inquiry or
investigation to determine compliance with this chapter, the commissioner may
access, receive, and use any books, accounts, records, files, documents, information,
or evidence, including:
a. Criminal, civil, and administrative history information, including nonconviction
data;
b. Personal history and experience information, including independent credit reports
obtained from a consumer reporting agency described in section 603(p) of the
Fair Credit Reporting Act; and
c. Any other documents, information, or evidence the commissioner deems relevant
to the inquiry or investigation regardless of the location, possession, control, or
custody of such documents, information, or evidence.
2. For the purposes of investigating violations or complaints arising under this chapter, or
for the purposes of examination, the commissioner may review, investigate, or
examine any licensee, individual, or person subject to this chapter, as often as
necessary in order to carry out the purposes of this chapter. The commissioner may
direct, subpoena, or order the attendance of and examine under oath all persons
whose testimony may be required about the loans or the business or subject matter of
any such examination or investigation, and may direct, subpoena, or order such
person to produce books, accounts, records, files, and any other documents the
commissioner deems relevant to the inquiry.
3. Each licensee, individual, or person subject to this chapter shall make available to the
commissioner upon request the books and records relating to the operations of such
licensee, individual, or person subject to this chapter. The commissioner shall have
access to such books and records and interview the officers, principals, mortgage loan
originators, employees, independent contractors, agents, and customers of the
licensee, individual, or person subject to this chapter concerning their business.
4. Each licensee, individual, or person subject to this chapter shall make or compile
reports or prepare other information as directed by the commissioner in order to carry
out the purposes of this section, including:
a. Accounting compilations;
b. Information lists and data concerning loan transactions in a format prescribed by
the commissioner; or
c. Such other information deemed necessary to carry out the purposes of this
section.
5. In making any examination or investigation authorized by this chapter, the
commissioner may control access to any documents and records of the licensee or
person under examination or investigation. The commissioner may take possession of
the documents and records or place a person in exclusive charge of the documents
and records in the place where they are usually kept. During the period of control, no
individual or person shall remove or attempt to remove any of the documents and
records except pursuant to a court order or with the consent of the commissioner.
Unless the commissioner has reasonable grounds to believe the documents or records
of the licensee have been, or are at risk of being altered or destroyed for purposes of
concealing a violation of this chapter, the licensee or owner of the documents and
records shall have access to the documents or records as necessary to conduct its
ordinary business affairs.
6. In order to carry out the purposes of this section, the commissioner may:

a. Retain accountants or other professionals and specialists as examiners, auditors,
or investigators to conduct or assist in the conduct of examinations or
investigations;
b. Enter into agreements or relationships with other government officials or
regulatory associations in order to improve efficiencies and reduce regulatory
burden by sharing resources, standardized or uniform methods or procedures,
and documents, records, information, or evidence obtained under this section;
c. Use, hire, contract, or employ publicly or privately available analytical systems,
methods, or software to examine or investigate the licensee, individual, or person
subject to this chapter;
d. Accept and rely on examination or investigation reports made by other
government officials, within or without this state; or
e. Accept audit reports made by an independent certified public accountant for the
licensee, individual, or person subject to this chapter in the course of that part of
the examination covering the same general subject matter as the audit and may
incorporate the audit report in the report of the examination, report of
investigation, or other writing of the commissioner.
7. The authority of this section remains in effect, whether such a licensee, individual, or
person subject to this chapter acts or claims to act under any licensing or registration
law of this state or claims to act without such authority.
8. No licensee, individual, or person subject to investigation or examination under this
section may knowingly withhold, abstract, remove, mutilate, destroy, or secrete any
books, records, computer records, or other information.