Sec. 09.03.06.25. Significant Event Reporting

A. A licensee shall comply with the duty to report set forth in COMAR 09.03.10.02.

B. A licensee shall notify the Commissioner in writing through NMLS, and, if applicable, amend the licensee’s information and disclosures in NMLS, within 2 business days of the occurrence of any of the following events:

(1) Insolvency, filing for bankruptcy or reorganization of the licensee, the placement into receivership by any court, or an assignment for the benefit of creditors;

(2) Receiving notification of any initiation of a settlement agreement or other form of consensual resolution, or entry of judgment in any administrative, civil, or criminal action against the licensee by any governmental entity;

(3) Expiration or nonrenewal of, or monetary or nonmonetary default under, a line of credit agreement or warehouse credit agreement;

(4) Suspension or termination of the licensee’s status as an approved seller or seller/servicer by the Federal National Mortgage Association, Federal Home Loan Mortgage Corporation, Government National Mortgage Association, or a direct endorsement mortgagee by the Federal Housing Administration;

(5) A change to net worth resulting from market valuation or future loss liability or another change that causes the net worth of the licensee to fall below the requirements of Financial Institutions Article, §11-508.1, Annotated Code of Maryland;

(6) Cancellation or modification by the licensee, or termination by a surety of the licensee’s surety bond required by Financial Institutions Article, §11-508, Annotated Code of Maryland; and

(7) Becoming aware ofsystemic violations of any provision of Financial Institutions Article, Title 11, Subtitle 5, Annotated Code of Maryland, any regulation adopted thereunder, or any other law regulating mortgage loan lending in the State.

C. The notice required by §B(2) of this regulation shall include, as applicable, a copy of the complaint, settlement agreement, or judgment that is the subject of the notice.