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This entry was published on 2014-09-22
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SECTION 563
Violations and penalties
Banking (BNK) CHAPTER 2, ARTICLE 12-B
§ 563. Violations and penalties. 1. Any person, including any member,
officer, director or employee of a licensee, who violates or
participates in the violation of any provision of this article, or who
knowingly makes any incorrect statement of a material fact in any
application, report or statement filed pursuant to this article, or who
knowingly omits to state any material fact necessary to give the
superintendent any information lawfully required by him or refuses to
permit any lawful investigation or examination, shall be guilty of a
misdemeanor and, upon conviction, shall be fined not more than five
hundred dollars or imprisoned for not more than six months or both, in
the discretion of the court.

2. A premium finance agency's knowingly taking or receiving from or
charging an insured a greater charge than authorized in this article
shall be held and adjudged a forfeiture of all charges which the premium
finance agreement carries with it or which have been agreed to be paid
thereon, and if a greater charge has been paid by an insured, the person
paying the same or his legal representative may recover from the premium
finance agency twice the entire amount of the charges thus paid if
action is brought within two years from the time of such payment.

3. No licensee shall make, directly or indirectly, orally or in
writing, or by any method, practice or device, a representation that he
is licensed under the banking law except that a licensee may make a
representation that he is licensed as a premium finance agency under the
banking law and is licensed to finance insurance premiums.