In a state-administrator case study, the scenario starts here. Read it as a Uniform Securities Act issue rather than a federal-law issue. An IAR registered in State X is charged with fraud in State Y but has not yet been convicted. The State X Administrator learns that the IAR failed to disclose this charge on her application. Which action is the Administrator permitted to take under the Uniform Securities Act?

Why C — Suspend the IAR's registration only after providing notice, an opportunity for a hearing, and written findings of fact.

According to the USA (Section 412), the Administrator may suspend or revoke a registration for willful omission of a material fact. However, due process requires that the Administrator provide notice, an opportunity for a hearing, and written findings of fact before taking such action. Immediate revocation without a hearing (A) or permanent barring without due process (D) exceed the Administrator’s authority, and waiting for a conviction (C) is not required. State-law analysis leads to the same conclusion despite the alternate scenario.