(a) within the last ten years prior to the date of application, has
committed any act involving dishonesty, fraud, deceit, or has been
convicted of, or pleaded nolo contendere to, a crime directly related to
the qualifications, functions, or duties related to servicing student
loans, provided that any criminal conviction be evaluated consistent
with article twenty-three-A of the correction law;
(b) has had a license or registration revoked by the superintendent or
any other regulator or jurisdiction;
(c) has been an officer, director, partner, member or substantial
stockholder of an entity which has had a license or registration revoked
by the superintendent or any other regulator or jurisdiction; or
(d) has been an agent, employee, officer, director, partner or member
of an entity which has had a license or registration revoked by the
superintendent where such person shall have been found by the
superintendent to bear responsibility in connection with the revocation.
3. The term "substantial stockholder", as used in this section, shall
be deemed to refer to a person owning or controlling directly or
indirectly ten per centum or more of the total outstanding stock of a
corporation.
Structure New York Laws
Article 14-A - Student Loan Servicers
712 - Application for a Student Loan Servicer License; Fees.
713 - Application Process to Receive License to Engage in the Business of Student Loan Servicing.
714 - Changes in Officers and Directors.
716 - Grounds for Suspension or Revocation of License.
717 - Books and Records; Reports and Electronic Filing.
720 - Servicing Student Loans Without a License.
723 - Penalties for Violation of This Article.