69V-559.1000. Disciplinary Guidelines

(1) Pursuant to Section 559.952(10), F.S., disciplinary guidelines applicable to each ground for disciplinary action that may be imposed by the Office against a person for a violation of Section 559.952, F.S., are hereby adopted. The disciplinary guidelines are contained in Office of Financial Regulation, Division of Consumer Finance, Form OFR-559-FTS-007, Disciplinary Guidelines for Financial Technology Sandbox Innovator, which is hereby incorporated by reference, effective 01/2021. A copy of the disciplinary guidelines is available on the Office’s website at www.flofr.gov and http://www.flrules.org/Gateway/reference.asp?No=Ref-12587.

(2) The Office shall consider the following circumstances in determining an appropriate penalty within the range of penalties prescribed in the disciplinary guidelines for each violation. The Office shall also consider the circumstances when determining whether a deviation from the range of penalties in the disciplinary guidelines is warranted:

(a) The following circumstances are considered mitigating factors which will be used to reduce the penalty:

1. The violation rate is less than 5% when compared to the overall sample size reviewed;

2. The disciplinary history of the licensee;

3. The licensee detected and voluntarily instituted corrective action or measures to avoid the recurrence of the violation prior to the detection and intervention by the Office;

4. The violation is attributable to a single person or employee, and the licensee or person removed or otherwise disciplined the individual prior to detection or intervention by the Office;

5. The person is responsive to the Office’s requests or inquiries or made no attempt to impede or delay the Office in its examination or investigation of the underlying misconduct; or

6. Other relevant, case-specific circumstances.

(b) The following circumstances are considered aggravating factors which will be used to increase the penalty:

1. The violation rate is more than 95% when compared to the overall sample size reviewed (sample size must be equal to or greater than 50 transactions and cover a date range of at least 6 months);

2. There is a potential for harm to customers or the public;

3. The disciplinary history of the licensee within the past 3 years which contain the same violations;

4. The violation was the result of willful misconduct or recklessness;

5. The licensee or control person attempted to conceal the violation or mislead the Office; or

6. Other relevant, case-specific circumstances.

(3) The list of violations cited in the disciplinary guidelines is intended to be comprehensive, but the omission of a violation from the list does not preclude the Office from taking any action authorized by Section 559.952, F.S.

(4) The ranges for suspension imposed by the disciplinary guidelines are 3 to 15 days for an “A” level suspension; 16 to 30 days for a “B” level suspension; and, 31 to 90 days for a “C” level suspension. A “C” level suspension may be terminated early if the licensee demonstrates to the Office that it has cured the violation.

(5) When the Office finds that a licensee has violated Chapter 516 or 560, F.S., and corresponding rules not excepted pursuant to Section 559.952(4)(a), F.S., it may impose penalties as prescribed in Rule 69V-160.111 or 69V-560.1000, F.A.C., respectively.

Rulemaking Authority 559.952(11)(a) FS. Law Implemented 559.952(9), 559.952(10), 559.952(11)(a) FS. History–New 1-18-21.