A. Any insurer failing, without just cause, to file any registration statement as required in this act shall be required, after notice and hearing, to pay a penalty of Five Hundred Dollars ($500.00) for each day's delay, to be recovered by the Insurance Commissioner and the penalty so recovered shall be paid as provided in Section 307.5 of Title 36 of the Oklahoma Statutes. The maximum penalty under this section is One Hundred Thousand Dollars ($100,000.00). The Commissioner may reduce the penalty if the insurer demonstrates to the Commissioner that the imposition of the penalty would constitute a financial hardship to the insurer.
B. Every director or officer of an insurance holding company system who knowingly violates, participates in or assents to, or who knowingly shall permit any of the officers or agents of the insurer to engage in, transactions or make investments which have not been properly reported or submitted pursuant to subsection A of Section 5 of this act, paragraph 2 of subsection A of Section 6 of this act or subsection B of Section 6 of this act, or which violate this act, shall pay, in their individual capacity, a civil forfeiture of not more than Twenty-five Thousand Dollars ($25,000.00) per violation, after notice and hearing before the Commissioner. In determining the amount of the civil forfeiture, the Commissioner shall take into account the appropriateness of the forfeiture with respect to the gravity of the violation, the history of previous violations, and such other matters as justice may require.
C. Whenever it appears to the Commissioner that any insurer subject to this act or any director, officer, employee or agent thereof has engaged in any transaction or entered into a contract which is subject to Section 6 of this act and which would not have been approved had the approval been requested, the Commissioner may order the insurer to cease and desist immediately any further activity under that transaction or contract. After notice and hearing the Commissioner may also order the insurer to void any contracts and restore the status quo if the action is in the best interest of the policyholders, creditors or the public.
D. Whenever it appears to the Commissioner that any insurer or any director, officer, employee or agent thereof has committed a willful violation of this act, the Commissioner may submit such information to the district attorney for Oklahoma County for appropriate action against the insurer or the responsible director, officer, employee or agent thereof. Any insurer which willfully violates this act may be fined not more than One Hundred Thousand Dollars ($100,000.00). Any individual who willfully violates this act may be fined in his or her individual capacity not more than Fifty Thousand Dollars ($50,000.00) or be imprisoned for not more than one (1) to three (3) years or both.
E. Any officer, director or employee of an insurance holding company system who willfully and knowingly subscribes to or makes or causes to be made any false statements or false reports or false filings with the intent to deceive the Commissioner in the performance of his or her duties under this act, upon conviction shall be imprisoned for not more than five (5) years or fined One Hundred Fifty Thousand Dollars ($150,000.00) or both. Any fines imposed shall be paid by the officer, director or employee in his or her individual capacity.
F. Whenever it appears to the Commissioner that any person has committed a violation of Section 3 of this act which prevents the full understanding of the enterprise risk to the insurer by affiliates or by the insurance holding company system, the violation may serve as an independent basis for disapproving dividends or distributions and for placing the insurer under an order of supervision in accordance with Article 18 of Title 36 of the Oklahoma Statutes.
Added by Laws 2017, c. 350, § 13, emerg. eff. May 31, 2017.