Ind. Code § 26-3-7-17.1 – Possible violations; powers of director; procedures

(a) Whenever the director, as a result of an inspection or otherwise, has reasonable cause to believe that a person to which this chapter is or may be applicable:
1. (1) is conducting business contrary to this chapter or in an unauthorized manner; or
2. (2) has failed, neglected, or refused to observe or comply with any order, rule, or published policy statement of the agency;
  then the director may undertake any one (1) of the actions prescribed by this section.
(b) Upon learning of the possibility that a licensee is acting as described in subsection (a), the director or the director's designated representative may seek an informal meeting with the licensee. At that meeting, which must be held at a time and place agreed to by the licensee and the director, the director or the director's designated representative shall discuss the possible violations and may enter into a consent agreement with the licensee under which the licensee agrees to undertake, or to cease, the activities that were the subject of the meeting. The consent agreement must:
1. (1) provide for a time frame within which the licensee must be in compliance; and
2. (2) state in detail the requirements that must be met to be in compliance, including the requirements under section 31.2(b) of this chapter.
(c) Upon learning of the possibility that a person is acting as described in subsection (a), the director or the director's designated representative, except as otherwise provided in this subsection, shall hold a hearing to determine whether a cease and desist order should issue against a licensee or an unlicensed person undertaking activities covered by this chapter. If the director or the director's designated representative determines that the violation or the prohibited practice is likely to cause immediate insolvency or irreparable harm to depositors, the director or the director's designated representative, without notice, shall issue a cease and desist order requiring the person to cease and desist from that violation or practice. The order shall become effective upon service on the person and shall remain effective and enforceable pending the completion of all administrative proceedings.
(d) Upon a determination, after a hearing held by the director or the director's designated representative, that a person is acting as described in subsection (a), the director shall revoke or deny a license. If the director revokes or denies a license, the director shall publish notice of the revocation or denial as provided in section 17.5 of this chapter.
As added by Acts 1979, P.L.249, SEC.12. Amended by P.L.191-1991, SEC.10; P.L.125-1997, SEC.38; P.L.145-2017, SEC.9; P.L.114-2025, SEC.27.