78R8896 T

By:  Flynn                                                        H.B. No. 2587



A BILL TO BE ENTITLED

AN ACT

relating to the consideration of criminal offenses, moral character 
and violation of enforcement orders in the licensing of mortgage 
brokers and loan officers.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Section 156.204(a), Finance Code shall be 
amended to revise subsection (6) thereof and add new subsections 
(7) and (8) to read as follows:
		(6)  not have been convicted of, found guilty of, pled 
guilty or nolo contendere to, placed on probation for, or granted 
deferred adjudication for, a criminal offense that the commissioner 
determines directly relates to the occupation of a mortgage broker 
[under Article 6252-13c, Revised Statutes.] as specified with 
respect to criminal convictions in Chapter 53, Texas Occupations 
Code;
		(7)  satisfy the commissioner as to the individual's 
good moral character, which includes the individual's honesty, 
trustworthiness, and integrity; and
		(8)  not be in violation of any order previously issued 
by the commissioner to the individual or in violation of any 
provision of this chapter or the rules promulgated under this 
chapter.
	SECTION 2.  Section 156.204(c) shall be amended to revise 
subsection (5) thereof and add new subsections (6) and (7) to read 
as follows:
		(5)  not have been convicted of, found guilty of, pled 
guilty or nolo contendere to, placed on probation for, or granted 
deferred adjudication for, a criminal offense that the commissioner 
determines directly relates to the occupation of a loan officer 
[under Article 6252-13c, Revised Statutes.] as specified with 
respect to criminal convictions in Chapter 53, Texas Occupations 
Code;
		(6)  satisfy the commissioner as to the individual's 
good moral character, which includes the individual's honesty, 
trustworthiness, and integrity; and
		(7)  not be in violation of any order previously issued 
by the commissioner to the individual or in violation of any 
provision of this chapter or the rules promulgated under this 
chapter.
	SECTION 3.  Section 156.208(a)(2) shall be amended to read 
as follows:       
		(2)  has not have been convicted of, found guilty of, 
pled guilty or nolo contendere to, placed on probation for, or 
granted deferred adjudication for, a [felony] criminal offense that 
the commissioner determines is directly related to the occupation 
of a mortgage broker [under Article 6252-13c, Revised Statutes.] as 
specified with respect to criminal convictions in Chapter 53, Texas 
Occupations Code; and
	SECTION 4.  Section 156.208(b)(2) shall be amended to read 
as follows:       
		(2)  has not have been convicted of, found guilty of, 
pled guilty or nolo contendere to, placed on probation for, or 
granted deferred adjudication for, a [felony] criminal offense that 
the commissioner determines is directly related to the occupation 
of a mortgage broker [under Article 6252-13c, Revised Statutes.] as 
specified with respect to criminal convictions in Chapter 53, Texas 
Occupations Code; and
	SECTION 5.  Section 156.303(a)(17) is amended to read as 
follows:            
		(17)  disregarded or violated this chapter, [or] a rule 
adopted by the Finance Commission under this chapter, an order 
issued by the commissioner under this chapter.
	SECTION 6.  This Act takes effect on September 1, 2003.