§437-29  Discretionary powers of board.  (a)  Where any applicant for a license or stockholder owning more than a ten per cent interest in the applicant or any officer, director, trustee, employee, or partner of the applicant has been guilty of any act or omission involving personal misconduct which by this chapter is made ground for refusing to issue a license or for revoking or suspending a license, such as the making of a false statement of a material fact in an application, the commission of a fraudulent act in connection with the sale or negotiation for the purchase of motor vehicles, and the like, the board shall have discretion, nevertheless, to issue the license or suspend or reject the revocation of the license, upon such reasonable conditions, including the furnishing of an additional bond not exceeding $5,000, as to future good conduct of the applicant and other person concerned, as the board determines, provided the board finds:

     (1)  That there are extenuating circumstances that indicate that the act or omission was not due to moral turpitude; or

     (2)  That a reasonable time fixed by rule of the board, not less than one year, has elapsed since the act or omission occurred, together with evidence of the person's rehabilitation or general good character, sufficient to indicate that the person is not likely to repeat the offense or engage in illegal, unlawful, or unconscionable practices; or

     (3)  That the favorable action by the board will not jeopardize the public interest.

     (b)  Notification of the application of each dealer or auction approved by the board, or a report of the suspension, revocation, or change of status of a dealer's or auction's license shall be furnished to the treasurer of the affected county motor vehicle registration division or finance department promptly upon the granting, suspension, revocation, or change of status of the license. [L 1939, c 258, §13; RL 1945, §7374; am L 1951, c 90, pt of §1; RL 1955, §160-174; am L 1957, c 302, §1(21); am L 1961, c 59, §1(15); am L 1963, c 199, §1o; HRS §437-29; am L 1969, c 263, §1(18); gen ch 1985; am L 1992, c 202, §30; am L 1996, c 264, §11; am L 2003, c 126, §9]