                                 CODE OF VIRGINIA

PROHIBITED PRACTICES; AUTHORITY OF THE ATTORNEY GENERAL (§ 6.2-1629)

A. Notwithstanding whether a person is licensed, is required to be licensed, or
is exempt from licensure under this chapter, and notwithstanding any other
provision of the law to the contrary, no person that is engaged in the business
of originating residential mortgage loans in the Commonwealth shall use any
deception, fraud, false pretense, false promise, or misrepresentation in
connection with a mortgage loan transaction.

B. Whenever the Attorney General has reasonable cause to believe that any person
has engaged in, or is engaging in, or is about to engage in, any violation of
this section, the Attorney General is empowered to issue a civil investigative
demand. The provisions of &#xA7; 59.1-9.10 shall apply, mutatis mutandis, to
civil investigative demands issued pursuant to this section.

C. The Attorney General may cause an action to be brought in the appropriate
circuit court in the name of the Commonwealth to enjoin any violation of this
section. The circuit court having jurisdiction may enjoin such violations
notwithstanding the existence of an adequate remedy at law. In any action under
this section, it shall not be necessary that damages or intent be proved to
establish a violation. The standard of proof at trial shall be preponderance of
the evidence. The circuit courts are authorized to issue temporary or permanent
injunctions to restrain and prevent violations of this section.

D. In any action brought under this section, if the court finds that a person
has willfully engaged in a violation of this section, the Attorney General may
recover, upon petition to the court, a civil penalty of not more than $2,500 per
violation.

E. In any action brought under this section, the Attorney General may recover
damages and such other relief allowed by law, including restitution on behalf of
borrowers injured by violations of this section as well as costs and reasonable
expenses incurred by the Commonwealth in investigation and preparing the case,
including attorney fees.

F. Unless the Attorney General determines that a person subject to the
provisions of this section intends to depart from the Commonwealth or to remove
his property from the Commonwealth, or to conceal himself or his property in the
Commonwealth, or on a reasonable determination that irreparable harm may occur
if immediate action is not taken, the Attorney General shall, before initiating
any legal proceedings as provided in this section, give notice in writing that
such proceedings are contemplated, and allow such person a reasonable
opportunity to appear before the Attorney General and show that a violation did
not occur or execute an assurance of voluntary compliance or consent judgment.

G. Nothing in this section shall create a private right of action in favor of
any individual aggrieved by a violation of this section.

HISTORY: 2009, cc. 204, 727, § 6.1-430.1; 2010, c. 794.