(a)

1. (1) Upon failure of any producer to comply with Arkansas Code § 23-64-301 et seq., the Insurance Commissioner shall take the steps enumerated in Arkansas Code § 23-64-304(d) against such individual's license.

2. (2) Failure to comply with this part may result in imposition of penalties contained in:

   1. (A) Arkansas Code § 23-64-216, as amended; or
   2. (B) Other applicable laws or rules.

(b)

1. (1) Any licensee fined under Arkansas Code § 23-64-304(d) may request that the commissioner seal the licensee's records at the State Insurance Department regarding the fine.
2. (2) The underlying conduct of any licensee whose record has been sealed under Arkansas Code § 23-64-304 shall be deemed as a matter of law never to have occurred, and the licensee is not required to disclose the violation on any subsequent application after the records are sealed.