TITLE 26

BANKS AND BANKING

CHAPTER 21

IDAHO CREDIT UNION ACT

26-2140.  Cease and desist order — Penalty. (1) If the director finds that any credit union has engaged in an unsafe or unsound practice in conducting the business of such credit union, or any person has violated any provision of this chapter, any rule or order issued under this chapter, any condition imposed in writing by the director, or any written agreement entered into with the director, the director may order the credit union or other person to cease and desist from any such violation or practice. Such order shall be issued pursuant to chapter 52, title 67, Idaho Code.

(2)  After providing a notice and an opportunity for a public hearing pursuant to chapter 52, title 67, Idaho Code, the director may assess against and collect a civil money penalty from any credit union or from any director, officer, supervisory committee member, employee, agent, or other person participating in the conduct of the affairs of such credit union who:

(a)  Engages or participates in any unsafe or unsound practice in connection with a credit union; or

(b)  Violates or knowingly permits any person to violate any of the provisions of this chapter, any rule promulgated pursuant to this chapter, or any lawful order of the director issued pursuant to this chapter.

(3)  A civil money penalty assessed pursuant to subsection (2) of this section shall not exceed one thousand dollars ($1,000) per day for each day such violation continues. No civil money penalty shall be assessed for the same act or practice if another government agency has taken similar action against the credit union or person to be assessed such civil money penalty. In determining the amount of the civil money penalty to be assessed, the director of the department of finance shall consider:

(a)  The good faith of the credit union or person to be assessed with such civil money penalty;

(b)  The gravity of the violation;

(c)  Any previous violations by the credit union or person to be assessed with such civil money penalty;

(d)  The nature and extent of any previous violations; and

(e)  Such other matters as the director may deem appropriate.

(4)  Upon waiver by the respondent of the right to a public hearing concerning an assessment of a civil money penalty, the hearing or portions thereof may be closed to the public when concerns arise about prompt withdrawal of moneys from or the safety and soundness of the credit union.

(5)  For the purposes of this section, a violation shall include but is not limited to any action by any person alone or with another person that causes, brings about, or results in the participation in, counseling of, or aiding or abetting of a violation.

(6)  The director may modify or set aside any order assessing a civil money penalty.

History:

[26-2140, added 1977, ch. 213, sec. 2, p. 604; am. 2020, ch. 214, sec. 5, p. 631.]