Section 1011.5. Ineligibility due to conviction or arrest

(a) Except as provided in subsection (e), a person is ineligible to own any interest in any right issued by the Authority if the person, or a person having a controlling interest in the person or a key employee, has been subject to a conviction as defined in § 1001.10 (relating to definitions) in the past 5 years and for 6 months from the date the convicted person completes the sentence imposed, including incarceration, probation, parole and other forms of supervised release.

(b) In the event a regulated party owning a transferable right becomes ineligible to hold rights issued by the Authority due to a conviction, the regulated party shall immediately cease use of the rights and initiate the sale of the rights to an eligible person as provided in Chapter 1027 (relating to sale of rights) within 180 days of the conviction.

(c) A regulated party or applicant shall inform the Director within 72 hours of being subject to an arrest or conviction as defined under § 1001.10.

(d) In the event a criminal prosecution is initiated against a regulated party for a crime that may lead to a conviction as defined in § 1001.10, the Enforcement Department or trial counsel may place the subject rights out of service as provided in § 1003.32 (relating to out of service designation).

(e) A person subject to an order of Accelerated Rehabilitative Disposition shall be ineligible to own any interest in any right issued by the Authority until the terms of the order have been completed.

(f) Upon consideration of a petition seeking a waiver related to this section, as provided in § 1005.23 (relating to petitions for issuance, amendment, repeal or waiver of Authority regulations), the Authority will also consider:

(1) The nature of the petitioner’s duties subject to the act.

(2) The nature and seriousness of the offense or conduct.

(3) The circumstances under which the offense or conduct occurred.

(4) The age of the petitioner when the offense or conduct was committed.

(5) Whether the offense or conduct was an isolated or a repeated incident.

(6) Evidence of rehabilitation, including good conduct in the community.

(7) Counseling or psychiatric treatment received and the recommendation of persons who have substantial contact with the petitioner.

Notation

Cross References

This section cited in 52 Pa. Code § 1011.15 (relating to death or incapacitation of a certificate holder or certain persons with controlling interest); 52 Pa. Code § 1017.42 (relating to prerequisites to inspection); 52 Pa. Code § 1019.2 (relating to ineligible persons for dispatcher service); 52 Pa. Code § 1027.2 (relating to required application information); and 52 Pa. Code § 1029.4 (relating to ineligible persons for broker certification).