15.19.01.05

.05 Posting.

A. If the applicant chooses to post a surety bond, letter of credit or cash guaranty, instead of filing a financial statement, he shall use a form furnished by the Department and post an amount at least as large as the following for the different types of licenses:

Type of License Minimum Amounts
A $ 15,000
B 35,000
C 100,000
D 100,000

B. If the applicant does not file a financial statement, the Department may not issue a:

(1) Type A license if the applicant posts an amount less than $15,000;

(2) Type B license if the applicant posts an amount less than $35,000; and

(3) Type C or D license if the applicant posts an amount less than $100,000.

C. If the applicant chooses the posting option, he shall:

(1) Show the same name for the following matters:

(a) The named applicant, in his grain dealer's license application,

(b) The named principal, if he posts a surety bond, or

(c) The named obligor or guarantor, if he posts either an irrevocable letter of credit or cash guaranty;

(2) Name the Maryland Department of Agriculture as the obligee or as the beneficiary of the surety bond, irrevocable letter of credit or cash guaranty.