BILL ANALYSIS Ó
AB 1446
Page 1
Date of Hearing: May 6, 2015
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Jimmy Gomez, Chair
AB
1446 (Dababneh) - As Amended April 20, 2015
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|Policy |Banking and Finance |Vote:|12 - 0 |
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Urgency: No State Mandated Local Program: NoReimbursable: No
SUMMARY:
This bill clarifies the authority of the Commissioner of the
Department of Business Oversight (DBO) to issue desist and
refrain orders against licensees under the California Finance
Lenders Law (CFLL) or any other persons engaged as brokers,
finance lenders, or mortgage loan originators for violations of
any order or regulation adopted under the CFLL.
FISCAL EFFECT:
Minor and absorbable costs to DBO.
AB 1446
Page 2
COMMENTS:
1)Purpose. According to the author, AB 1446 is a technical bill
designed to clarify DBO's authority to enforce rules and
regulations promulgated under the CFLL against licensees, and
not just the CFLL itself.
2)Finance Lenders. Existing law requires any person engaged in
the business of making consumer or commercial loans to obtain
a finance lender license from DBO and comply with the legal
and regulatory requirement of the CFLL. Existing law
specifies that any person who willfully violates the CFLL or
any rule or regulation adopted thereunder is liable for civil
penalties of up to $2,500 for each violation. Enforcement of
the CFLL falls within the jurisdiction of the Commissioner of
DBO, who may bring civil action in court.
Analysis Prepared by:Joel Tashjian / APPR. / (916)
319-2081