61-2e-203. Criminal background check -- Conditional registration -- Changes in ownership or controlling person.

662 words·~3 min read·/ut/title-61/chapter-2e/61-2e-203

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

Effective 5/8/2018

(1)The division shall request the Department of Public Safety to complete a Federal Bureau of Investigation criminal background check for an individual described in Subsection 61-2e-202(2)(e) or

(g)through the national criminal history system or any successor system.

(a)The entity filing the application under Section 61-2e-202 shall pay the cost of the criminal background check and the fingerprinting.

(b)Money paid to the division by an entity for the cost of a criminal background check is nonlapsing.

(a)A registration issued under Section 61-2e-202 is conditional, pending completion of a criminal background check.

(i)A registration shall be immediately and automatically revoked if a criminal background check discloses that an individual described in Subsection 61-2e-202(2)(e) or

(g)fails to accurately disclose a criminal history involving:

(A)the appraisal industry;

(B)the appraisal management industry; or

(C)a felony conviction on the basis of an allegation of fraud, misrepresentation, or deceit.

(ii)If a criminal background check discloses that an individual described in Subsection 61-2e-202(2)(e) or

(g)fails to accurately disclose a criminal history other than that described in Subsection (3)(b)(i) , the division shall review the application, and in accordance with rules made by the division pursuant to Title 63G, Chapter 3, Utah Administrative Rulemaking Act , may:

(A)place a condition on a registration;

(B)place a restriction on a registration;

(C)revoke a registration; or

(D)refer the application to the board for a decision.

(c)An entity whose conditional registration is revoked under Subsection (3)(b)(i) or whose license is conditioned, restricted, or revoked under Subsection (3)(b)(ii) is entitled to a post-revocation hearing conducted in accordance with Title 63G, Chapter 4, Administrative Procedures Act , to challenge the revocation.

(d)The board shall decide whether relief from the revocation of a registration under this Subsection

(3)will be granted, except that relief from an automatic revocation under Subsection (3)(b)(i) may be granted only if:

(i)the criminal history upon which the revocation is based:

(A)did not occur; or

(B)is the criminal history of another individual;

(A)the revocation is based on a failure to accurately disclose a criminal history; and

(B)the entity has a reasonable good faith belief at the time of application that there is no criminal history to be disclosed; or

(iii)the division fails to follow the prescribed procedure for the revocation.

(e)The board may delegate to the division the authority to conduct a post-revocation hearing under Subsection (3)(d) .

(f)If a registration is revoked or a revocation under this Subsection

(3)is upheld after a post-revocation hearing, the entity may not apply for a new registration until at least 12 months after the day on which the registration is revoked.

(a)An appraisal management company shall comply with this Subsection

(4)if there is a change in:

(i)an individual who owns 10% or more of the entity; or

(ii)the controlling person designated as the contact as required by Section 61-2e-201 .

(b)If there is a change in an individual described in Subsection (4)(a) , within 30 days of the day on which the change occurs, the appraisal management company shall file with the division:

(i)the individual's name, address, and contact information;

(ii)a statement of whether or not the individual has had a license or certificate to engage in an act related to a real estate or mortgage transaction refused, denied, canceled, surrendered in lieu of revocation, or revoked in this state or in another state, territory, or the District of Columbia; and

(A)fingerprint cards in a form acceptable to the division at the time the registration application is filed; and

(B)consent to a criminal background check by the Utah Bureau of Criminal Identification and the Federal Bureau of Investigation regarding the application.

Amended by Chapter 213 , 2018 General Session