(1) A license may be issued only if the department determines that each director,
officer, and controlling person of the applicant is:
(a) of good character and sound financial standing;
(b) competent to perform the director's, officer's, or controlling person's functions
for the applicant; and
(c) when considered collectively with the other directors, officers, and controlling
persons, adequate to manage the business of the applicant as a BIDCO.
(2) The department may determine that a director, officer, or controlling person of
an applicant is not of good character. Bases that the department may use to make that determination include proof that the
director, officer, or controlling person or a director or officer of a controlling
(a) had an administrative sanction imposed under the Program Fraud Civil Remedies
Act of 1986, 31 U.S.C. 3801 through 3812, for an offense under 15 U.S.C. 645; or
(b) been convicted of or plead guilty or nolo contendere to a crime involving fraud
or dishonesty, including a conviction for an offense under 15 U.S.C. 645.
FindLaw Codes may not reflect the most recent version of the law in your jurisdiction. Please verify the status of the code you are researching with the state legislature or via Westlaw before relying on it for your legal needs.
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