Section 45.16 - Prohibited PracticesGrounds for license revocation, the issuance of cease and desist orders, or other disciplinary action shall include, but not be limited to, the prohibited acts and practices provided in 209 CMR 45.16(1) and (2).
(1)Prohibited Practices of Licensees Generally. It shall be a prohibited act or practice for a licensee to:(a) Imply that the licensee is a branch of, or associated with, any agency or department of the federal government or of any state or municipal government, including, but not limited to, use of any seal, insignia, envelope, or other format which simulates that of any government department or agency unless licensed by, under contract with, or authorized in writing by said department or agency;(b) Imply that the licensee is a bank, act in any manner so as to lead the public to believe that the licensee's business is that of a bank, or otherwise violate the unauthorized banking provisions of M.G.L. c. 167, § 37;(c) Fail to provide a receipt to customers for check selling, check cashing, or foreign transmittal services rendered pursuant to 209 CMR 45.00;(d) Fail to comply with the notice requirements of 209 CMR 45.14;(e) Fail to maintain books and records as required by 209 CMR 45.11 and 209 CMR 48.00: Licensee Record Keeping;(f) Fail to register as a money services business with the Financial Crimes Enforcement Network if the licensee is required to be registered under applicable Financial Crimes Enforcement Network rules and regulations;(g) Fail to maintain adequate liquidity for the nature and volume of its business;(h) Fail to establish and implement policies and procedures for the monitoring and oversight of authorized agents to ensure that such authorized agents are complying with pertinent state and federal laws and regulations, including, but not limited to, the provisions of 209 CMR 45.00;(i) Fail to disclose the type and number of its license(s) in all advertisements pursuant to 209 CMR 45.15; (j) Accept any fees or charges which were not disclosed as required by state or federal law, including, but not limited to, the provisions of 209 CMR 45.00; or (k) Knowingly participate in fraud or in an attempt to defraud. (2)Additional Prohibited Practices. It shall also be a prohibited act or practice for:(a) A check seller to fail to have sufficient funds available to satisfy issued and outstanding obligations from the sale of checks or money orders; and(b) A licensed foreign transmittal agency to fail to forward all money received for transmission to a foreign country to the person to whom the same is directed within seven days following receipt thereof.Amended by Mass Register Issue 1321, eff. 9/9/2016.Amended by Mass Register Issue 1324, eff. 9/9/2016.