§ 54C-79. Criminal penalties.

§ 54C‑79.  Criminalpenalties.

(a)        This section shallin no event extend to persons who are found to have acted only with grossnegligence, simple negligence, recklessness, or incompetence.

(b)        In addition to anyof the other penalties or remedies provided by this Article, the following aredeemed to be Class 1 misdemeanors:

(1)        The willful orknowing violation of this Article by any employee of the Division.

(2)        The willful orknowing violation of a cease and desist order that has become final in that nofurther administrative or judicial appeal is available.

(c)        In addition to anyof the other penalties or remedies provided by this Article, the willfulomission, making, or concurrence in making or publishing a written report,exhibit, or entry in a financial statement on the books of the association,which contains a material statement known to be false is deemed to be a Class 1misdemeanor. For purposes of this section, "material" shall mean"so substantial and important as to influence a reasonable and prudentbusinessman or investor."

(d)        The Commissioner ofBanks may enforce this section in a court of competent jurisdiction. (1991, c. 680, s. 1; 1993, c.539, s. 438; 1994, Ex. Sess., c. 24, s. 14(c); 2001‑193, s. 16.)