House Bill 787

(As Sent to Governor)

AN ACT TO AMEND SECTION 75-67-115, MISSISSIPPI CODE OF 1972, TO INCREASE THE AMOUNT THAT THE COMMISSIONER OF BANKING AND CONSUMER FINANCE MAY CHARGE LICENSEES UNDER THE SMALL LOAN REGULATORY LAW FOR EXPENSES OF EXAMINATIONS; TO AMEND SECTION 75-67-215, MISSISSIPPI CODE OF 1972, TO AUTHORIZE THE COMMISSIONER TO ENTER ORDERS THAT REQUIRE PERSONS TO REFRAIN FROM VIOLATING PROVISIONS OF THE SMALL LOAN PRIVILEGE TAX LAW; TO CREATE A NEW SECTION TO BE CODIFIED AS SECTION 75-67-139, MISSISSIPPI CODE OF 1972, TO AUTHORIZE MUNICIPALITIES TO ENACT ORDINANCES THAT ARE IN COMPLIANCE WITH, BUT NOT MORE RESTRICTIVE THAN, THE PROVISIONS OF THE SMALL LOAN REGULATORY LAW; TO CREATE A NEW SECTION TO BE CODIFIED AS SECTION 75-67-247, MISSISSIPPI CODE OF 1972, TO AUTHORIZE MUNICIPALITIES TO ENACT ORDINANCES THAT ARE IN COMPLIANCE WITH, BUT NOT MORE RESTRICTIVE THAN, THE PROVISIONS OF THE SMALL LOAN PRIVILEGE TAX LAW; AND FOR RELATED PURPOSES.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

SECTION 1. Section 75-67-115, Mississippi Code of 1972, is amended as follows:

75-67-115. The commissioner may charge the licensee an examination fee in an amount not less than Three Hundred Dollars ($300.00) nor more than Six Hundred Dollars ($600.00) for each office or location within the State of Mississippi, plus any actual expenses incurred while examining the licensee's records or books that are located outside the State of Mississippi. However, in no event shall a licensee be examined more than once in a two-year period unless for cause shown based upon consumer complaint and/or other exigent reasons as determined by the commissioner.

All expense fees paid to the commissioner shall be deposited by the commissioner in the State Treasury in a special and separate fund to be known as the "Consumer Finance Fund."

SECTION 2. Section 75-67-215, Mississippi Code of 1972, is amended as follows:

75-67-215. (1) If any person * * * engages in business as provided for in this article without paying the license fee provided for in this article before commencing business or before the expiration of the person's current license, as the case may be, then the person shall be liable for the full amount of the license fee plus a penalty in an amount not to exceed Twenty-five Dollars ($25.00) for each day that the person has engaged in the business without a license or after the expiration of a license.

(2) The commissioner may, after notice and hearing as defined in Section 75-67-237 in cases of revocation of license, impose a civil penalty against any licensee if the licensee is adjudged by the commissioner to be in willful violation of the provisions of this article. The civil penalty shall not exceed Five Hundred Dollars ($500.00) per violation and shall be deposited into the Consumer Finance Fund of the Department of Banking and Consumer Finance. Any licensee who has been imposed a civil penalty by the commissioner may, within twenty (20) days after the fine is imposed, appeal to the circuit court of the county where the business is being conducted, as in cases from an order of a lesser tribunal. The trial on appeal shall be de novo.

(3) When the commissioner has reasonable cause to believe that a person is violating any provision of this article, the commissioner, in addition to and without prejudice to the authority provided elsewhere in this article, may enter an order requiring the person to stop or to refrain from the violation. The commissioner may sue in any circuit court of the state having jurisdiction and venue to enjoin the person from engaging in or continuing the violation or from doing any act in furtherance of the violation. In such an action, the court may enter an order or judgment awarding a preliminary or permanent injunction.

SECTION 3. The following shall be codified as Section 75-67-139, Mississippi Code of 1972:

75-67-139. Municipalities and counties in this state may enact ordinances that are in compliance with, but not more restrictive than, the provisions of this article. Any order, ordinance or regulation existing on the effective date of House Bill No. 787, 2004 Regular Session, or any order, ordinance or regulation enacted after the effective date of House Bill No. 787, 2004 Regular Session, that conflicts with any of the provisions of this article shall be void to the extent of the conflict.

SECTION 4. The following shall be codified as Section 75-67-247, Mississippi Code of 1972:

75-67-247. Municipalities and counties in this state may enact ordinances that are in compliance with, but not more restrictive than, the provisions of this article. Any order, ordinance or regulation existing on the effective date of House Bill No. 787, 2004 Regular Session, or any order, ordinance or regulation enacted after the effective date of House Bill No. 787, 2004 Regular Session, that conflicts with any of the provisions of this article shall be void to the extent of the conflict.

SECTION 5. This act shall take effect and be in force from and after its passage.