HB 1216 Summary

• Expands the definition of "loan broker" to include persons who assist in modifying existing residential mortgage loans, with exemptions for nonprofit organizations and consumer reporting agencies providing modification assistance.

• Grants the securities commissioner authority to bring court actions to enjoin violations of loan broker laws and permits courts to order asset freezes, receiverships, civil penalties up to $10,000 per violation, and restitution.

• Requires applicants for initial investment adviser representative registration to submit fingerprints for FBI criminal background checks, with applicants paying associated fees and costs.

• Allows the commissioner to award up to 10% of penalties recovered by the securities division to persons who provided information leading to the penalty imposition.

• Effective July 1, 2010.