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A07345 Summary:

A07345 Actions:

A07345 Floor Votes:

A07345 Text:

 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                         7345--B
 
                               2013-2014 Regular Sessions
 
                   IN ASSEMBLY
 
                                      May 13, 2013
                                       ___________
 
        Introduced  by  M.  of  A.  ROBINSON,  MILLMAN,  WEPRIN, PEOPLES-STOKES,
          CAMARA, BARRON, MOSLEY, OTIS, BARRETT, BROOK-KRASNY -- Multi-Sponsored
          by -- M. of A.  ARROYO, SIMANOWITZ -- read once and  referred  to  the
          Committee  on Aging -- reported and referred to the Committee on Codes
          -- committee discharged, bill amended, ordered  reprinted  as  amended

          and  recommitted to said committee -- again reported from said commit-
          tee with amendments, ordered reprinted as amended and  recommitted  to
          said committee
 
        AN  ACT to amend the banking law, in relation to establishing the opt in
          program for reporting of suspected financial exploitation
 
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
 
     1    Section  1.  The banking law is amended by adding a new article 2-D to
     2  read as follows:
     3                                 ARTICLE 2-D
     4                           FINANCIAL EXPLOITATION
     5  Section 90. Opt in program for reporting of suspected financial  exploi-
     6                tation.
     7    §  90.  Opt  in program for reporting of suspected financial exploita-

     8  tion. 1. As used in this article:
     9    (a) "adult protective services  agency"  shall  mean  a  local  social
    10  services  office providing adult protective services pursuant to section
    11  four hundred seventy-three of the social services law;
    12    (b) "financial exploitation" shall mean improper  use  of  an  adult's
    13  funds,  property  or  resources by another individual, including but not
    14  limited to, fraud, false pretenses, embezzlement,  conspiracy,  forgery,
    15  falsifying  records,  coerced property transfers, or denial of access to
    16  assets; and
    17    (c) "financial institution" shall mean banks, trust companies, private
    18  bankers, savings banks, licensed lenders, savings and loan associations,

    19  credit unions, investment companies, mutual trust investment  companies,
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD10951-03-3
        A. 7345--B                          2
 
     1  and banking organizations as defined in section two of this chapter that
     2  are licensed by the superintendent.
     3    (d) "account holder" shall mean an individual who has an individual or
     4  joint account with a financial institution.
     5    2. The department shall develop a program whereby a financial institu-
     6  tion  shall  be required to report suspected financial exploitation of a

     7  participating  account  holder  to  the  appropriate  adult   protective
     8  services  agency  and  appropriate  law  enforcement. This program shall
     9  operate as follows:
    10    (a) Participation in this program shall  be  offered  to  all  account
    11  holders;
    12    (b) Such participation shall be voluntary for account holders;
    13    (c)  An account holder may revoke his or her participation at any time
    14  in the form and manner prescribed by the department;
    15    (d) If an officer, director, agent or employee of a financial institu-
    16  tion, acting in his or her  official  capacity,  has  cause  to  suspect
    17  financial  exploitation  of  an  account  holder  participating  in such
    18  program, such officer, director, agent  or  employee  shall  report,  or

    19  cause  to  be reported, such suspected financial exploitation in accord-
    20  ance with rules and regulations promulgated by the department on a  form
    21  prescribed by the department;
    22    (e)  The  department  shall develop a form for use by financial insti-
    23  tutions that an account holder may complete in order to  participate  in
    24  this program and a form by which an account holder may revoke his or her
    25  participation;
    26    (f)  The original form shall be kept on file by the financial institu-
    27  tion as long as the account holder maintains an account with such finan-
    28  cial institution and a copy shall be forwarded to the department and the
    29  account holder; and
    30    (g) The department shall promulgate any rules and  regulations  neces-

    31  sary  to  effectuate  the  provisions of this section including, but not
    32  limited to:
    33    (1) guidelines for how and to whom  suspected  financial  exploitation
    34  shall be reported, whether to adult protective services and/or appropri-
    35  ate law enforcement; and
    36    (2)  identification  of  indicators  that  may  be used to determine a
    37  reasonable basis for reporting suspected financial exploitation.
    38    3. An account holder who has opted to participate in this program  and
    39  whose  participation  has not been revoked shall be deemed to have given
    40  permission  for  reports  of  suspected  financial  exploitation  to  be
    41  referred to appropriate law enforcement, providing that such reports are

    42  made  in accordance with rules and regulations prescribed by the depart-
    43  ment.
    44    4. If an account holder has revoked participation in the program, such
    45  revocation shall be effective upon receipt of  such  revocation  by  the
    46  financial  institution.  Thereafter,  no  report  of suspected financial
    47  exploitation shall be  deemed  required  by  this  section  unless  such
    48  account  holder  chooses  to participate in the program again at a later
    49  point in time.
    50    5. A financial institution located or doing business in this state  or
    51  an  employee thereof who, acting reasonably and in good faith in accord-
    52  ance with this section shall have immunity from any civil liability that
    53  might otherwise result by reason of such actions.

    54    6. Any information or documentation submitted pursuant to this section
    55  shall not be subject to disclosure under article six of the public offi-
    56  cers law.
        A. 7345--B                          3
 
     1    7. Nothing in this section shall be deemed  to  alter  or  negate  the
     2  duties  of any financial institution or any officer, director, agent, or
     3  employee thereof established by any other provision of law.
     4    §  2.  This  act  shall take effect on the sixtieth day after it shall
     5  have become a law.