§ 2257-a. Suspension, revocation or refusal to issue dealer
registration; suspension or revocation of dealer demonstrator number or
trailer plate; suspension of authority to issue temporary registration;
civil penalty. 1. Suspension, revocation and refusal to renew a
registration, demonstrator number or number plate. The commissioner may
deny the application of any person for registration under section
twenty-two hundred fifty-seven of this article or suspend or revoke a
certificate of registration, demonstrator number or number plate issued
under such section or refuse to issue a renewal thereof if he determines
that such applicant or registrant or any other person directly or
indirectly interested in the business:

(a) has made a material false statement or concealed a material fact
in connection with his application;

(b) has used or permitted the use of demonstrator numbers or number
plates contrary to law;

(c) has been guilty of fraud or fraudulent or deceptive practices, or
has practiced dishonest or misleading advertising;

(d) does not have a place of business as defined by regulation of the
commissioner;

(e) was the former holder, or was an officer, director, stockholder,
or partner, in a corporation or partnership which was the former holder
of a dealer's registration, which was suspended or revoked by the
commissioner; or

(f) has failed to comply with any of the rules and regulations of the
commissioner for the enforcement of this article or with any provision
of this chapter applicable thereto.

2. In lieu of suspending or revoking the certificate of registration
of a dealer, the commissioner may, for any of the grounds specified in
subdivision one of this section, suspend the authority of a dealer to
issue temporary registrations pursuant to section twenty-two hundred
fifty-five of this article.

3. Civil penalty. The commissioner, or any person deputized by him, in
addition to or in lieu of revoking or suspending the certificate of
registration, or in addition to suspending the authority to issue
temporary registrations, may in any one proceeding by order require the
registrant to pay to the people of this state a penalty in a sum not
exceeding one thousand dollars for each violation and upon the failure
of such registrant to pay such penalty within twenty days after the
mailing of such order, postage prepaid, registered, and addressed to the
last known place of business of such registrant, unless such order is
stayed by an order of a court of competent jurisdiction, the
commissioner may suspend the certificate of registration of such
registrant until such penalty is paid. Civil penalties assessed under
this subdivision shall be paid to the commissioner for deposit into the
state treasury, and unpaid civil penalties may be recovered by the
commissioner in a civil action in the name of the commissioner. In
addition, as an alternative to such civil action and provided that no
proceeding for judicial review shall then be pending and the time for
initiation of such proceeding shall have expired, the commissioner may
file with the county clerk of the county in which the registrant is
located a final order of the commissioner containing the amount of the
penalty assessed. The filing of such final order shall have the full
force and effect of a judgment duly docketed in the office of such clerk
and may be enforced in the same manner and with the same effect as that
provided by law in respect to executions issued against property upon
judgment of a court of record.

4. No certificate of registration, demonstrator number or number plate
shall be suspended or revoked, civil penalty imposed or authority to
issue temporary registrations suspended until such registrant shall have
been given the opportunity to be heard, upon written notice to the
registrant, before an officer or employee of the department designated
for such purpose by the commissioner. However, the commissioner may
temporarily suspend a registration, demonstrator numbers or number
plates and/or the authority to issue temporary registrations pending a
hearing.

Upon the denial of an application for a certificate of registration,
the applicant shall, upon written request made within ten days after the
applicant is notified of such denial, be entitled to a hearing before an
officer or employee of the department designated for such purpose by the
commissioner.

5. Following the suspension or revocation of the certificate of
registration of a dealer, demonstrator numbers or number plates, or the
suspension of the authority to issue temporary registrations, pursuant
to this section, the failure of the holder or any other person
possessing the certificate of registration, demonstrator numbers, number
plates or temporary registrations, issued to a dealer pursuant to the
regulations of the commissioner, to deliver the same to the suspending
or revoking officer is a misdemeanor. Failure of the holder or any
person possessing the certificate of registration to deliver the same to
any peace officer acting pursuant to his special duties, directed by the
commissioner to secure possession thereof shall be a misdemeanor.