South Carolina Code 37-7-115. Annual reports; occurrences triggering other reports
(B) Within ten business days after the occurrence of any of the following events a licensee shall file a written report with the department describing the event and its expected impact upon the licensee’s business:
Terms Used In South Carolina Code 37-7-115
- Bankruptcy: Refers to statutes and judicial proceedings involving persons or businesses that cannot pay their debts and seek the assistance of the court in getting a fresh start. Under the protection of the bankruptcy court, debtors may discharge their debts, perhaps by paying a portion of each debt. Bankruptcy judges preside over these proceedings.
- Consumer: means consumer as defined in § 37-1-301(10). See South Carolina Code 37-7-101
- Credit counseling organization: means a person providing or offering to provide to consumers credit counseling services for a fee, compensation, or gain, or in the expectation of a fee, compensation, or gain, including debt management plans. See South Carolina Code 37-7-101
- Credit counselor: means an employee or agent of a credit counseling organization engaging in services described in item (3). See South Carolina Code 37-7-101
- Department: means the South Carolina Department of Consumer Affairs. See South Carolina Code 37-7-101
- DMP: means a program in which an organization agrees to engage in debt settlement or debt pooling and distribution services on behalf of a consumer with the consumer's creditors and under which the consumer gives money or control of his funds to the organization for distribution to the consumer's creditors. See South Carolina Code 37-7-101
- Fraud: Intentional deception resulting in injury to another.
- Licensee: means a person licensed pursuant to this chapter. See South Carolina Code 37-7-101
- Oath: A promise to tell the truth.
- Settlement: Parties to a lawsuit resolve their difference without having a trial. Settlements often involve the payment of compensation by one party in satisfaction of the other party's claims.
(1) the filing of bankruptcy, reorganization, or receivership proceedings by or against the licensee;
(2) the institution of a revocation, suspension, or other proceeding against the licensee by a governmental authority which is related to the licensee’s credit counseling organization in any state;
(3) felony indictments or convictions of the licensee or any of its members, partners, directors, officers, trustees, beneficiaries, or principles, if known;
(4) any action taken by the Internal Revenue Service against a nonprofit licensee, its officers, directors, employees, agents, or other disqualified persons with respect to the organization within the meaning of Section 4958 of the Internal Revenue Code of 1986, as amended, including the imposition of penalties or excise taxes or the change, suspension, or revocation of the organization’s tax exempt status;
(5) opening a new business location within this State; and
(6) other events the department may prescribe by regulation.
(C) A credit counselor licensed pursuant to this chapter shall file a report with the department within ten days of the occurrence of:
(1) felony indictments or convictions involving breach of trust, moral turpitude, fraud, or dishonest dealing; and
(2) other events the department may prescribe by regulation.
(D) Within thirty days of judgment against the licensee in a civil action relating to the DMP of a consumer who is a resident of South Carolina, a licensee shall file a written report with the department describing the event and its expected impact upon the licensee’s business. The licensee shall advise the department within thirty days of any settlement or the result of any judgment entered.
(E) If a licensee fails to make a report required by this section, the department may require the licensee to pay a late penalty of fifty dollars for each day the report is overdue.