An investor buys 12% of a Georgia mortgage lender in 2026 without seeking Department approval first. What prior-approval ownership threshold and scheduled fine apply?
Correct Answer
C) A fine of $5,000: 10% or more needs prior approval to acquire
A person who acquires ten percent or more of the capital stock or ownership of a licensee without the prior approval of the Department is subject to a fine of $5,000. Other choices: the threshold is 10% rather than 25%; the figure is $5,000 rather than $1,000; and the approval must come first, so a later notice does not cure it. Source: Ga. Comp. R. & Regs. 80-11-3-.01(7)
Why This Is the Correct Answer
A person who acquires ten percent or more of the capital stock or ownership of a licensee without the prior approval of the Department is subject to a fine of $5,000. Other choices: the threshold is 10% rather than 25%; the figure is $5,000 rather than $1,000; and the approval must come first, so a later notice does not cure it. Source: Ga. Comp. R. & Regs. 80-11-3-.01(7)
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