Section 868.1 - Criteria to Aid in Determining if Financial Crimes Are Directly and Adversely Related to Fiduciary Qualifications, Functions, or Duties of a Licensee or Registrant for the Purpose of Considering Denials of ApplicationsFor the purpose of determining whether there are grounds to deny a license or registration to an applicant who has been convicted of a financial crime currently classified as a felony pursuant to Section 480 of the Code, the crime shall be considered to be directly and adversely related to the fiduciary qualifications, functions, or duties of a licensee or registrant if it involves dishonesty, fraud, deceit, or theft that resulted in:
(i) direct financial benefit to the applicant or another person or entity,(ii) direct financial harm to another person or entity, or(iii) an attempt to obtain direct financial benefit or cause direct financial harm to another person or entity. The felony financial crimes shall include, but not be limited to, the following: (a) Crimes involving the acquisition or provision of false, altered, forged, counterfeit, or fraudulent document(s), or the acquisition or provision of false or fraudulent statement(s).(b) Crimes involving the use of personal identifying information for an unlawful purpose, including for the purpose of illegally obtaining money, credit, goods, services, real property, or medical information of another person (also known as identify theft).(c) Crimes involving stolen property, embezzlement, grand theft, larceny, burglary, monetary transactions in property derived from a specified unlawful activity (also known as money laundering), or crimes related to obtaining money, labor, or property under false or fraudulent pretenses.(d) Crimes involving an attempt or conspiracy to commit such crimes listed in subsections (a), (b), or (c).(e) For the purposes of this section, "personal identifying information" has the meaning set forth in Penal Code section 530.55.Cal. Code Regs. Tit. 16, § 868.1
1. New section filed 5-3-2021; operative 5-3-2021 pursuant to Government Code section 11343.4(b)(3) (Register 2021, No. 19). Filing deadline specified in Government Code section 11349.3(a) extended 60 calendar days pursuant to Executive Order N-40-20 and an additional 60 calendar days pursuant to Executive Order N-71-20. Note: Authority cited: Section 7008, Business and Professions Code. Reference: Sections 7.5, 480, 7069, 7073, 7090 and 7124, Business and Professions Code.
1. New section filed 5-3-2021; operative 5/3/2021 pursuant to Government Code section 11343.4(b)(3) (Register 2021, No. 19). Filing deadline specified in Government Code section 11349.3(a) extended 60 calendar days pursuant to Executive Order N-40-20 and an additional 60 calendar days pursuant to Executive Order N-71-20.