NAC720.850. Issuance of orders for enforcement.

     1. Except as otherwise provided in this section, the Secretary of State may, as appropriate, issue an order denying, suspending or revoking a license, limiting any of the activities as a certification authority in this State of a licensee or an applicant for a license or imposing a civil penalty on a licensee if the Secretary of State determines that the order is in the public interest and that the licensee or applicant for a license has:

     (a) Filed with the Secretary of State an application for a license which, on the effective date of the application or, in the case of an order denying a license any date after the filing of the application, was incomplete in a material respect or contained a statement that was, in light of the circumstances under which the statement was made, false or misleading with regard to a material fact;

     (b) Violated or failed to comply with a provision of this chapter or chapter 720 of NRS;

     (c) Within the last 10 years been convicted of a felony or misdemeanor that the Secretary of State determines to have:

          (1) Arisen out of the conduct of business as a certification authority or repository; or

          (2) Involved larceny, theft, robbery, extortion, forgery, counterfeiting, fraudulent concealment, embezzlement, fraudulent conversion, misappropriation of money, or any similar offense or conspiracy to commit such an offense;

     (d) Been temporarily or permanently enjoined by any court of competent jurisdiction, from:

          (1) Performing any activity as a certification authority or repository;

          (2) Performing any activity as an affiliated person or employee of a certification authority or repository; or

          (3) Engaging in or continuing any conduct or practice in connection with an activity described in subparagraph (1) or (2),

Ê unless the order has been vacated;

     (e) Been or is the subject of an order of the Secretary of State for the denial, suspension or revocation of a license, unless the order has been vacated;

     (f) Been or is the subject of an order issued within the last 5 years under the authority of another country or state or a Canadian province or territory, after the provision of notice and an opportunity for a hearing:

          (1) For the denial, suspension or revocation of a license as a certification authority; or

          (2) To cease and desist any activity as a certification authority,

Ê unless the order has been vacated; or

     (g) Become insolvent. For the purposes of this paragraph, “insolvent” means that:

          (1) The liabilities of a person exceed his or her assets; or

          (2) A person is unable to meet his or her obligations as they mature.

     2. If the Secretary of State, when a license becomes effective, has knowledge of any fact or transaction for which he or she may issue an order pursuant to subsection 1, the Secretary of State must commence proceedings for the issuance of the order within 90 days after the issuance of the license.

     3. If the Secretary of State determines that a licensee or an applicant for a license has ceased to exist or to do business as a certification authority, the Secretary of State may issue an order revoking the license or denying the application for a license.

     (Added to NAC by Sec’y of State by R155-98, eff. 12-2-99)