1. The Division may require an asset management company or asset manager to pay an administrative fine of not more than $10,000 for each violation he or she commits or suspend, revoke, deny the renewal of or place conditions upon his or her certificate of registration or permit, or impose any combination of those actions, at any time if the asset management company or asset manager has, by false or fraudulent representation, obtained a certificate of registration or permit, or the asset management company or asset manager, whether or not acting as such, is found guilty of:

(a) Making any material misrepresentation.

(b) Making any false promises of a character likely to influence, persuade or induce.

(c) Failing to maintain, for review and audit by the Division, each service report, contractual agreement, power of attorney or other legal authorization entered into with a client and governed by the provisions of this chapter.

(d) Accepting or collecting any money which belongs to another person.

(e) Violating any order of the Division, any agreement with the Division, any of the provisions of this chapter or chapters 116, 119, 119A, 119B, 645, 645A or 645C of NRS or any regulation adopted pursuant thereto.

(f) Paying a commission, compensation or a finder’s fee to any person for performing the services of an asset management company or asset manager who does not have a certificate of registration or permit in this State.

(g) A conviction of, or the entry of a plea of guilty, guilty but mentally ill or nolo contendere to:

(1) A felony relating to the practice of the asset management company or asset manager; or

(2) Any crime involving fraud, deceit, misrepresentation or moral turpitude.

(h) Gross negligence or incompetence in performing any act for which the person is required to hold a certificate of registration, permit or license pursuant to this chapter or chapter 119, 119A, 119B or 645 of NRS.

(i) Any other conduct which constitutes deceitful, fraudulent or dishonest dealing.

(j) Any conduct which took place before the person obtained his or her certificate of registration or permit which was unknown to the Division and which would have been grounds for denial of the certificate of registration or permit had the Division been aware of the conduct.

(k) Knowingly allowing any person whose certificate of registration or permit has been revoked to act as an asset management company or asset manager with or on behalf of the asset management company or asset manager.

(l) Failing to maintain insurance at the level required pursuant to this chapter.

(m) Failing to produce any document, book or record in his or her possession, or under his or her control, concerning any real estate transaction or asset management service under investigation by the Division.

2. The Division may take action pursuant to this section against a person who is subject to this chapter for the suspension or revocation of a certificate of registration issued to an asset management company or a permit issued to an asset manager by any other jurisdiction.

3. The Division may take action pursuant to this section against any person who:

(a) Is a registered asset management company or holds a permit as an asset manager pursuant to this chapter; and

(b) In connection with any property for which the person is engaging in the business of asset management pursuant to this chapter:

(1) Is convicted of violating any of the provisions of NRS 202.470;

(2) Has been notified in writing by the appropriate governmental agency of a potential violation of NRS 244.360, 244.3603 or 268.4124 and has failed to inform the owner of the property of such notification; or

(3) Has been directed in writing by the owner of the property to correct a potential violation of NRS 244.360, 244.3603 or 268.4124 and has failed to correct the potential violation, if such corrective action is within the scope of the person’s duties pursuant to a contract power of attorney or other legal authorization entered into with a client.

4. The Division shall maintain a log of any complaints that it receives relating to activities for which the Division may take action against a person holding a certificate of registration or permit to engage in the business of asset management pursuant to this chapter.

5. An order that imposes discipline and the findings of fact and conclusions of law supporting that order are public records.

(Added to NRS by 2011, 2826)