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The Vermont Statutes Online



Title

08

:
Banking and Insurance






Chapter

079

:
MONEY SERVICES






Subchapter

002
:
MONEY TRANSMISSION LICENSES










 

§

2506. Application for license

(a) As used in

this section, "material litigation" means any litigation that

according to generally accepted accounting principles is deemed significant to

an applicant's or a licensee's financial health, and would be required to be

disclosed in the applicant's or licensee's annual audited financial statements,

report to shareholders, or similar records.

(b) A person

applying for a license under this subchapter shall do so under oath and in a

form and in a medium prescribed by the Commissioner. The application shall

state or contain:

(1) the legal

name and residential and business addresses of the applicant and any fictitious

or trade name used by the applicant in conducting its business;

(2) a list of

any criminal convictions of the applicant and any material litigation in which

the applicant has been involved in the 10-year period next preceding the

submission of the application;

(3) a

description of any money services previously provided by the applicant and the

money services that the applicant seeks to provide in this State;

(4) a list of

the applicant's proposed authorized delegates, and the locations in this State

where the applicant and its authorized delegates propose to engage in money

transmission or provide other money services;

(5) a list of

other states in which the applicant is licensed to engage in money transmission

or provide other money services and information concerning any bankruptcy or

receivership proceedings affecting the licensee, and any license revocations,

suspensions, or any criminal or disciplinary action taken against the applicant

in other states;

(6) a sample

form of contract for authorized delegates, if applicable, and a sample form of

payment instrument or instrument upon which stored value is recorded if

applicable;

(7) the name and

address of any financial institution through which the applicant's payment

instruments and stored-value obligations will be paid;

(8) a

description of the source of money and credit to be used by the applicant to

provide money services; and

(9) any other

information the Commissioner requires with respect to the applicant.

(c) If an

applicant is a corporation, limited liability company, partnership, or other

entity, the applicant shall also provide:

(1) the date of

the applicant's incorporation or formation, and state or country of

incorporation or formation;

(2) if

applicable, a certificate of good standing from the state or country in which

the applicant is incorporated or formed;

(3) a brief

description of the structure or organization of the applicant, including any

parent or subsidiary of the applicant, and whether any parent or subsidiary is

publicly traded;

(4) the legal

name, any fictitious or trade name, all business and residential addresses, and

the employment, in the 10-year period next preceding the submission of the

application of each executive officer, manager, director of, or person that has

control of, the applicant;

(5) a list of

any criminal convictions, material litigation or disciplinary actions in which

any executive officer, manager, director of, or individual in control of, the

applicant has been involved in the 10-year period next preceding the submission

of the application;

(6) a copy of

the applicant's audited financial statements for the most recent fiscal year

and, if available, for the two-year period next preceding the submission of the

application;

(7) a copy of

the applicant's unconsolidated financial statements for the current year,

whether audited or not, and, if available, for the two-year period next

preceding the submission of the application;

(8) if the

applicant is publicly traded, a copy of the most recent 10-K report filed with

the U.S. Securities and Exchange Commission;

(9) if the

applicant is a wholly owned subsidiary:

(A) a copy of

audited financial statements for the parent corporation for the most recent

fiscal year; and

(B) of a

corporation publicly traded in the United States, a copy of the parent

corporation's most recent 10-K report filed with the U.S. Securities and Exchange

Commission, or if the applicant is a wholly owned subsidiary of a corporation

publicly traded outside the United States, a copy of similar documentation

filed with the regulator of the parent corporation's domicile outside the

United States;

(10) if the

applicant is a corporation, the name and address of the applicant's registered

agent in this State; and

(11) any other

information the Commissioner requires with respect to the applicant.

(d) At the time

of making application, the applicant shall pay to the Department a

nonrefundable application fee of $1,000.00, a license fee of $500.00 for the

applicant, and a license fee of $25.00 for each authorized delegate location.

The license fee shall be refunded if the application is denied.

(e) In connection

with an application for a license, the applicant and each executive officer,

manager, director, and person that has control of the applicant shall furnish

to the Nationwide Mortgage Licensing System and Registry information concerning

the applicant's identity, including:

(1) Fingerprints

for submission to the Federal Bureau of Investigation and to any other

governmental agency or entity authorized to receive such information for a

state, national, and international criminal history background check and

authorization for the Commissioner to obtain a criminal history background

check.

(2) Personal

history and experience in a form prescribed by the Nationwide Mortgage

Licensing System and Registry, including the submission of authorization for

the Nationwide Mortgage Licensing System and Registry and the Commissioner to

obtain:

(A) An

independent credit report and credit score from a consumer reporting agency

described in subsection 603(p) of the Fair Credit Reporting Act, 15 U.S.C.

1681a(p), for the purpose of evaluating the applicant's financial

responsibility at the time of application and additional credit reports and

credit scores to confirm the licensee's continued compliance with the financial

responsibility requirements of this chapter; and

(B) Information

related to any administrative, civil, or criminal findings by any governmental

jurisdiction.

(3) Any other

information required by the Nationwide Mortgage Licensing System and Registry

or the Commissioner.

(f) The

Commissioner may waive one or more requirements of subsections (b) and (c) of

this section, or permit an applicant to submit substituted information in lieu

of the required information. (Added 2001, No. 55, § 1, eff. Jan. 1, 2002;

amended 2009, No. 134 (Adj. Sess.), § 20; 2011, No. 78 (Adj. Sess.), § 15, eff.

April 2, 2012.)