Examinations

(1) Lenders subject to examination. For the purpose of discovering violations of the Act and this rule, the commissioner may conduct an examination of those authorized lenders which obtain their status on as authorized lender by virtue of the commissioner’s approval of an application submitted pursuant to T.C.A. § 47-30-103(c) and Chapter 0180-24-04. Such examinations may include an inspection of all books, records and papers used by such lenders in the transaction of their business or making reverse mortgages pursuant to the Act. (2) Subpoenas. In connection with an examination conducted pursuant to Chapter 0180-24- .06(1), the commissioner may summon witnesses and examine them under oath concerning matters relating to the business of such persons or such other matters as may be relevant in the discovery of violations of Title 47, Chapter 30 or this rule. (3) Cost of examinations. (a) For the sole purpose of recovering the cost incurred through an examination conducted pursuant to Chapter 0180-24-.06(1) the commissioner may impose a special assessment upon any authorized lender examined pursuant to Chapter 0180- 24-.06(1). (b) To impose a special assessment, the commissioner must notify the lender in writing and include an itemized statement showing the nature of the costs to be recovered by the department and the dates on which the department incurred such costs. (c) Payment of all special assessments shall be due no later then thirty (30) calendar days from the lender’s receipt of the notice of such assessment. (d) All special assessments collected pursuant to this rule shall be used at the exclusive discretion of the commissioner in the administration of the department. (e) If a lender fails to pay a special assessment when due, the commissioner may, in addition to other applicable remedies, levy a late payment penalty of up to one hundred dollars ($100) per day for each day the payment is overdue. All penalties and fines collected pursuant to this rule shall be used at the exclusive discretion of the commissioner in the administration of the department.