NAC645E.345. Results of examination: Preparation and review of draft report; final report; confidentiality; action by Commissioner.

     1. Not more than 30 days after the completion of an examination of a mortgage banker, the examiner that performed the examination shall prepare a draft report of the examination and provide the draft report to appropriate personnel of the Division. The draft report must include only:

     (a) Facts that are contained in the files, books, records or other documents of the mortgage banker that were examined by the examiner;

     (b) Facts that are contained in statements made by officers or agents of the mortgage banker or other persons that the examiner interviewed concerning the mortgage banker; and

     (c) Conclusions and recommendations that are reasonably supported by the facts that are included in the report, including, but not limited to, the rating given to the mortgage banker by the examiner pursuant to NAC 645E.340.

     2. Not more than 15 days after the draft report of an examination is received by the Division, the Commissioner or his or her designee will deliver to the mortgage banker that was examined:

     (a) A copy of the draft report; and

     (b) Notice that the mortgage banker has not more than 30 days, unless the Commissioner, for good cause, allows a longer period, to review the draft report and submit to the Commissioner, in writing, any comments regarding or objections to matters contained in the draft report.

     3. If a mortgage banker received a rating of “3,” “4” or “5” on an examination pursuant to NAC 645E.340 and submitted written comments or objections within the period specified in subsection 2, the Commissioner or his or her designee will:

     (a) Not more than 15 days after the last day on which the mortgage banker could submit written comments or objections pursuant to subsection 2, hold an informal meeting with the mortgage banker regarding the draft report; and

     (b) Review the draft report, together with the written comments or objections submitted by the mortgage banker and any relevant portions of the working papers of the examiner, and, not more than 15 days after the date on which the informal meeting was held pursuant to paragraph (a):

          (1) Adopt the draft report as filed;

          (2) Adopt the draft report with modifications;

          (3) Provide the mortgage banker with an opportunity for a formal hearing; or

          (4) Direct the examiner to reopen the examination to obtain additional data, documents or information and, if necessary, file a new draft report pursuant to subsection 1. If the findings of the initial draft report are supported by the findings of the examiner after the completion of the reopened examination, the mortgage banker shall be responsible for the costs attributable to the reopened examination pursuant to NRS 645E.310.

     4. If a mortgage banker:

     (a) Received a rating of “1” or “2” on an examination pursuant to NAC 645E.340 and submitted written comments or objections within the period specified in subsection 2; or

     (b) Did not file a written comment or objection to a draft report within the period specified in subsection 2,

Ê the draft report will be deemed to be the final report of the examination.

     5. Pursuant to NRS 645E.370, the results of an examination are not open to public inspection until the requirements set forth in subsection 3 are completed.

     6. If the examination and report reveal that a mortgage banker is operating in violation of this chapter, chapter 645E of NRS or a previous order of the Commissioner, the Commissioner may order the mortgage banker to take any action the Commissioner deems necessary or appropriate to correct the violation. The Commissioner may also take disciplinary action pursuant to NRS 645E.670.

     7. The Commissioner may, for good cause, extend any period specified in this section that is applicable to an examiner, the Commissioner or his or her designee for an additional period of not more than 15 days.

     (Added to NAC by Comm’r of Mortgage Lending by R088-04, eff. 8-25-2004)