TITLE 38: FINANCIAL INSTITUTIONS
CHAPTER I: DEPARTMENT OF FINANCIAL AND PROFESSIONAL REGULATION
PART 190 ILLINOIS CREDIT UNION ACT
SECTION 190.30 CEASE AND DESIST PROCEDURES


 

Section 190.30  Cease and Desist Procedures

 

a)         The Secretary shall issue a cease and desist order to any credit union which either knowingly violates or the Secretary has reasonable cause to believe is about to violate the Act or rules or any condition imposed in writing by the Division or commits random violations which jeopardize the safety and soundness of the credit union.  The Order shall be sent to the Chairman of the credit union by certified mail, with a copy to each member of the board  of directors.

 

b)         Within 10 days after the receipt of the Order, the credit union shall respond in writing to request a review of the exceptions.  If no response is received, or the Order is agreed to in writing, the credit union shall be deemed to have consented to the issuance of the cease and desist order.

 

c)         If a review of the Order is requested in writing by the credit union and after review of the circumstances and record by the Secretary or his or her designated agent, the Secretary finds a circumstance described in Section 8(4) of the Act, then the Secretary shall issue or extend, as appropriate, an order to cease and desist to the credit union from any such practice or violation.  The Order shall require the credit union and its directors, officers, committee members, employees and agents to cease and desist from the violations and to take affirmative action to correct the conditions resulting from any violation.  If the credit union has specific grounds for believing that the evidence upon which the Order is based is not factual then the credit union may request a formal hearing under Section 190.20.

 

d)         A cease and desist order shall become effective upon receipt by the credit union and shall remain effective until it is terminated by action of the Secretary or a reviewing court.  Delivery to the United States Postal Service shall be presumed to constitute delivery to the credit union.

 

(Source:  Amended at 37 Ill. Reg. 12450, effective July 16, 2013)