Sec. 2202.201.  GROUNDS FOR DENIAL OF CERTIFICATE OF AUTHORITY OR FOR DISCIPLINARY ACTION.  The commissioner may deny an application for a certificate of authority or discipline a certificate holder under this subchapter if the commissioner finds that the applicant or certificate holder, or an officer or director of an applicant or certificate holder:
(1)  wilfully violated or participated in the violation of this chapter or any other insurance law of this state;
(2)  intentionally made a material misstatement in the original or renewal application;
(3)  obtained or attempted to obtain the certificate by fraud or misrepresentation;
(4)  misappropriated, converted to a personal or other inappropriate use, or illegally withheld money required to be held in a fiduciary capacity;
(5)  has been convicted of a felony or convicted of a misdemeanor of which criminal fraud is an essential element; or
(6)  is incompetent or untrustworthy.
Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 2, eff. April 1, 2007.