Rep. Gregory Harris

Filed: 7/2/2017

 

 


 

 


 
10000SB0009ham003LRB100 06347 HLH 27908 a

1
AMENDMENT TO SENATE BILL 9

2    AMENDMENT NO. ______. Amend Senate Bill 9 by replacing
3everything after the enacting clause with the following:
 
4
"ARTICLE 1. STATE TAX LIEN REGISTRATION ACT

 
5    Section 1-1. Short title. This Act may be cited as the
6State Tax Lien Registration Act. References in this Article to
7"this Act" mean this Article.
 
8    Section 1-5. Purpose.
9    (a) The purpose of this Act is to provide a uniform
10statewide system for filing notices of tax liens that are in
11favor of or enforced by the Department. The Department shall
12maintain the system.
13    (b) The scope of this Act is limited to tax liens in real
14property and personal property, tangible and intangible, of
15taxpayers or other persons against whom the Department has

 

 

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1liens pursuant to law for unpaid final tax liabilities
2administered by the Department.
3    (c) Nothing in this Act shall be construed to invalidate
4any lien filed by the Department with a county recorder of
5deeds prior to the effective date of this Act.
 
6    Section 1-10. Definitions.
7    "Debtor" means a taxpayer or other person against whom
8there is an unpaid final tax liability collectible by the
9Department.
10    "Department" means the Department of Revenue.
11    "Final tax liability" means any State tax, fee, penalty, or
12interest owed by a person to the Department where the
13assessment of the liability is not subject to any further
14timely filed administrative or judicial review.
15    "Last-known address of the debtor" means the address of the
16debtor appearing in the records of the Department at the time
17the notice of tax lien is filed in the registry.
18    "Person" means any natural individual, firm, partnership,
19association, joint stock company, joint adventure, public or
20private corporation, limited liability company, or a receiver,
21executor, trustee, guardian or other representative appointed
22by order of any court.
23    "Registry" or "State Tax Lien Registry" means the public
24database maintained by the Department wherein tax liens are
25filed in favor of and enforced by the Department.
 

 

 

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1    Section 1-15. Registry established.
2    (a) The Department shall establish and maintain a public
3database known as the State Tax Lien Registry. If any person
4neglects or refuses to pay any final tax liability, the
5Department may file in the registry a notice of tax lien within
63 years from the date of the final tax liability.
7    (b) The notice of tax lien file shall include:
8        (1) the name and last-known address of the debtor;
9        (2) the name and address of the Department;
10        (3) the tax lien number assigned to the lien by the
11    Department; and
12        (4) the basis for the tax lien, including, but not
13    limited to, the amount owed by the debtor as of the date of
14    filing in the tax lien registry.
 
15    Section 1-20. Tax lien perfected.
16    (a) When a notice of tax lien is filed by the Department in
17the registry, the tax lien is perfected and shall be attached
18to all of the existing and after-acquired property of the
19debtor, both real and personal, tangible and intangible, which
20is located in any and all counties within the State of
21Illinois.
22    (b) The amount of the tax lien shall be a debt due the
23State of Illinois and shall remain a lien upon all property and
24rights to property belonging to the debtor, both real and

 

 

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1personal, tangible and intangible, which is located in any and
2all counties within the State of Illinois. Interest and penalty
3shall accrue on the tax lien at the same rate and with the same
4restrictions, if any, as specified by statute for the accrual
5of interest and penalty for the type of tax or taxes for which
6the tax lien was issued.
 
7    Section 1-25. Time period of lien.
8    (a) A notice of tax lien shall be a lien upon the debtor's
9property located anywhere in the State for a period of 20 years
10from the date of filing unless it is sooner released by the
11Department.
12    (b) A notice of release of tax lien filed in the registry
13shall constitute a release of the tax lien within the
14Department, the registry, and the county in which the tax lien
15was previously filed. The information contained on the registry
16shall be controlling, and the registry shall supersede the
17records of any county.
 
18    Section 1-30. Registry format.
19    (a) The Department shall maintain notices of tax liens
20filed in the registry after the effective date of this Act in
21its information management system in a form that permits the
22information to be readily accessible in an electronic form
23through the Internet and to be reduced to printed form. The
24electronic and printed form shall include the following

 

 

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1information:
2        (1) the name of the taxpayer;
3        (2) the name and address of the Department;
4        (3) the tax lien number assigned to the lien by the
5    Department;
6        (4) the amount of the taxes, penalties, interest, and
7    fees indicated due on the notice of tax lien received from
8    the Department; and
9        (5) the date and time of filing.
10    (b) Information in the registry shall be searchable by name
11of debtor or by tax lien number. The Department shall not
12charge for access to information in the registry.
13    (c) The Department is authorized to sell at bulk the
14information appearing on the tax lien registry. In selling the
15information, the Department shall adopt rules governing the
16process by which the information will be sold and the media or
17method by which it will be available to the purchaser and shall
18set a price for the information that will at least cover the
19cost of producing the information. The proceeds from the sale
20of bulk information shall be retained by the Department and
21used to cover its cost to produce the information sold and to
22maintain the registry.
23    (d) Registry information, whether accessed by name of
24debtor or by tax lien number at no charge, through a bulk sale
25of information, or by other means, shall not be used for
26survey, marketing, or solicitation purposes. Survey,

 

 

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1marketing, or solicitation purpose does not include any action
2by the Department or its authorized agent to collect a debt
3represented by a tax lien appearing in the registry. The
4Attorney General may bring an action in any court of competent
5jurisdiction to enjoin the unlawful use of registry information
6for survey, marketing, or solicitation purposes and to recover
7the cost of such action, including reasonable attorney's fees.
 
8    Section 1-35. Rulemaking. The Department may adopt rules in
9accordance with the Illinois Administrative Procedure Act to
10enforce the provisions of this Act.
 
11    Section 1-40. Conflicts. In the event of conflict between
12this Act and any other law, this Act shall control.
 
13
ARTICLE 15. REVISED UNIFORM UNCLAIMED PROPERTY ACT

 
14
ARTICLE 1. GENERAL PROVISIONS

 
15    Section 15-101. Short title. This Act may be cited as the
16Revised Uniform Unclaimed Property Act. References in this
17Article 15 (the Revised Uniform Unclaimed Property Act) to
18"this Act" mean this Article 15 (the Revised Uniform Unclaimed
19Property Act).
 
20    Section 15-102. Definitions. In this Act:

 

 

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1        (1) "Administrator" means the State Treasurer.
2        (2) "Administrator's agent" means a person with which
3    the administrator contracts to conduct an examination
4    under Article 10 on behalf of the administrator. The term
5    includes an independent contractor of the person and each
6    individual participating in the examination on behalf of
7    the person or contractor.
8        (2.5) "Affiliated group of merchants" means 2 or more
9    affiliated merchants or other persons that are related by
10    common ownership or common corporate control and that share
11    the same name, mark, or logo. The term also applies to 2 or
12    more merchants or other persons that agree among
13    themselves, by contract or otherwise, to redeem cards,
14    codes, or other devices bearing the same name, mark, or
15    logo (other than the mark, logo, or brand of a payment
16    network), for the purchase of goods or services solely at
17    such merchants or persons. However, merchants or other
18    persons are not considered to be affiliated merely because
19    they agree to accept a card that bears the mark, logo, or
20    brand of a payment network.
21        (3) "Apparent owner" means a person whose name appears
22    on the records of a holder as the owner of property held,
23    issued, or owing by the holder.
24        (4) "Business association" means a corporation, joint
25    stock company, investment company, unincorporated
26    association, joint venture, limited liability company,

 

 

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1    business trust, trust company, land bank, safe deposit
2    company, safekeeping depository, financial organization,
3    insurance company, federally chartered entity, utility,
4    sole proprietorship, or other business entity, whether or
5    not for profit.
6        (5) "Confidential information" means information that
7    is "personal information" under the Personal Information
8    Protection Act, "private information" under the Freedom of
9    Information Act or personal information contained within
10    public records, the disclosure of which would constitute a
11    clearly unwarranted invasion of personal privacy, unless
12    the disclosure is consented to in writing by the individual
13    subjects of the information as provided in the Freedom of
14    Information Act.
15        (6) "Domicile" means:
16            (A) for a corporation, the state of its
17        incorporation;
18            (B) for a business association whose formation
19        requires a filing with a state, other than a
20        corporation, the state of its filing;
21            (C) for a federally chartered entity or an
22        investment company registered under the Investment
23        Company Act of 1940, the state of its home office; and
24            (D) for any other holder, the state of its
25        principal place of business.
26        (7) "Electronic" means relating to technology having

 

 

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1    electrical, digital, magnetic, wireless, optical,
2    electromagnetic, or similar capabilities.
3        (8) "Electronic mail" means a communication by
4    electronic means which is automatically retained and
5    stored and may be readily accessed or retrieved.
6        (9) "Financial organization" means a bank, savings
7    bank, corporate fiduciary, currency exchange, money
8    transmitter, or credit union.
9        (10) "Game-related digital content" means digital
10    content that exists only in an electronic game or
11    electronic-game platform. The term:
12            (A) includes:
13                (i) game-play currency such as a virtual
14            wallet, even if denominated in United States
15            currency; and
16                (ii) the following if for use or redemption
17            only within the game or platform or another
18            electronic game or electronic-game platform:
19                    (I) points sometimes referred to as gems,
20                tokens, gold, and similar names; and
21                    (II) digital codes; and
22            (B) does not include an item that the issuer:
23                (i) permits to be redeemed for use outside a
24            game or platform for:
25                    (I) money; or
26                    (II) goods or services that have more than

 

 

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1                minimal value; or
2                (ii) otherwise monetizes for use outside a
3            game or platform.
4        (11) "Gift card" means:
5            (A) a stored-value card:
6                (i) issued on a prepaid basis in a specified
7            amount;
8                (ii) the value of which does not expire;
9                (iii) that is not subject to a dormancy,
10            inactivity, or service fee;
11                (iv) that may be decreased in value only by
12            redemption for merchandise, goods, or services
13            upon presentation at a single merchant or an
14            affiliated group of merchants;
15                (v) that, unless required by law, may not be
16            redeemed for or converted into money or otherwise
17            monetized by the issuer; and
18            (B) includes a prepaid commercial mobile radio
19        service, as defined in 47 C.F.R. 20.3, as amended.
20        (12) "Holder" means a person obligated to hold for the
21    account of, or to deliver or pay to, the owner, property
22    subject to this Act.
23        (13) "Insurance company" means an association,
24    corporation, or fraternal or mutual-benefit organization,
25    whether or not for profit, engaged in the business of
26    providing life endowments, annuities, or insurance,

 

 

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1    including accident, burial, casualty, credit-life,
2    contract-performance, dental, disability, fidelity, fire,
3    health, hospitalization, illness, life, malpractice,
4    marine, mortgage, surety, wage-protection, and
5    worker-compensation insurance.
6        (14) "Loyalty card" means a record given without direct
7    monetary consideration under an award, reward, benefit,
8    loyalty, incentive, rebate, or promotional program which
9    may be used or redeemed only to obtain goods or services or
10    a discount on goods or services. The term does not include
11    a record that may be redeemed for money or otherwise
12    monetized by the issuer.
13        (15) "Mineral" means gas, oil, coal, oil shale, other
14    gaseous liquid or solid hydrocarbon, cement material, sand
15    and gravel, road material, building stone, chemical raw
16    material, gemstone, fissionable and nonfissionable ores,
17    colloidal and other clay, steam and other geothermal
18    resources, and any other substance defined as a mineral by
19    law of this State other than this Act.
20        (16) "Mineral proceeds" means an amount payable for
21    extraction, production, or sale of minerals, or, on the
22    abandonment of the amount, an amount that becomes payable
23    after abandonment. The term includes an amount payable:
24            (A) for the acquisition and retention of a mineral
25        lease, including a bonus, royalty, compensatory
26        royalty, shut-in royalty, minimum royalty, and delay

 

 

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1        rental;
2            (B) for the extraction, production, or sale of
3        minerals, including a net revenue interest, royalty,
4        overriding royalty, extraction payment, and production
5        payment; and
6            (C) under an agreement or option, including a
7        joint-operating agreement, unit agreement, pooling
8        agreement, and farm-out agreement.
9        (17) "Money order" means a payment order for a
10    specified amount of money. The term includes an express
11    money order and a personal money order on which the
12    remitter is the purchaser.
13        (18) "Municipal bond" means a bond or evidence of
14    indebtedness issued by a municipality or other political
15    subdivision of a state.
16        (19) "Net card value" means the original purchase price
17    or original issued value of a stored-value card, plus
18    amounts added to the original price or value, minus amounts
19    used and any service charge, fee, or dormancy charge
20    permitted by law.
21        (20) "Non-freely transferable security" means a
22    security that cannot be delivered to the administrator by
23    the Depository Trust Clearing Corporation or similar
24    custodian of securities providing post-trade clearing and
25    settlement services to financial markets or cannot be
26    delivered because there is no agent to effect transfer. The

 

 

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1    term includes a worthless security.
2        (21) "Owner" means a person that has a legal,
3    beneficial, or equitable interest in property subject to
4    this Act or the person's legal representative when acting
5    on behalf of the owner. The term includes:
6            (A) a depositor, for a deposit;
7            (B) a beneficiary, for a trust other than a deposit
8        in trust;
9            (C) a creditor, claimant, or payee, for other
10        property; and
11            (D) the lawful bearer of a record that may be used
12        to obtain money, a reward, or a thing of value.
13        (22) "Payroll card" means a record that evidences a
14    payroll-card account as defined in Regulation E, 12 CFR
15    Part 1005, as amended.
16        (23) "Person" means an individual, estate, business
17    association, public corporation, government or
18    governmental subdivision, agency, or instrumentality, or
19    other legal entity whether or not for profit.
20        (24) "Property" means tangible property described in
21    Section 15-201 or a fixed and certain interest in
22    intangible property held, issued, or owed in the course of
23    a holder's business or by a government, governmental
24    subdivision, agency, or instrumentality. The term:
25            (A) includes all income from or increments to the
26        property;

 

 

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1            (B) includes property referred to as or evidenced
2        by:
3                (i) money, virtual currency, interest, or a
4            dividend, check, draft, deposit, or payroll card;
5                (ii) a credit balance, customer's overpayment,
6            stored-value card, security deposit, refund,
7            credit memorandum, unpaid wage, unused ticket for
8            which the issuer has an obligation to provide a
9            refund, mineral proceeds, or unidentified
10            remittance;
11                (iii) a security except for:
12                    (I) a worthless security; or
13                    (II) a security that is subject to a lien,
14                legal hold, or restriction evidenced on the
15                records of the holder or imposed by operation
16                of law, if the lien, legal hold, or restriction
17                restricts the holder's or owner's ability to
18                receive, transfer, sell, or otherwise
19                negotiate the security;
20                (iv) a bond, debenture, note, or other
21            evidence of indebtedness;
22                (v) money deposited to redeem a security, make
23            a distribution, or pay a dividend;
24                (vi) an amount due and payable under an annuity
25            contract or insurance policy; and
26                (vii) an amount distributable from a trust or

 

 

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1            custodial fund established under a plan to provide
2            health, welfare, pension, vacation, severance,
3            retirement, death, stock purchase, profit-sharing,
4            employee-savings, supplemental-unemployment
5            insurance, or a similar benefit; and
6            (C) does not include:
7                (i) game-related digital content;
8                (ii) a loyalty card; or
9                (iii) a gift card.
10        (25) "Putative holder" means a person believed by the
11    administrator to be a holder, until the person pays or
12    delivers to the administrator property subject to this Act
13    or the administrator or a court makes a final determination
14    that the person is or is not a holder.
15        (26) "Record" means information that is inscribed on a
16    tangible medium or that is stored in an electronic or other
17    medium and is retrievable in perceivable form. The phrase
18    "records of the holder" includes records maintained by a
19    third party that has contracted with the holder.
20        (27) "Security" means:
21            (A) a security as defined in Article 8 of the
22        Uniform Commercial Code;
23            (B) a security entitlement as defined in Article 8
24        of the Uniform Commercial Code, including a customer
25        security account held by a registered broker-dealer,
26        to the extent the financial assets held in the security

 

 

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1        account are not:
2                (i) registered on the books of the issuer in
3            the name of the person for which the broker-dealer
4            holds the assets;
5                (ii) payable to the order of the person; or
6                (iii) specifically indorsed to the person; or
7            (C) an equity interest in a business association
8        not included in subparagraph (A) or (B).
9        (28) "Sign" means, with present intent to authenticate
10    or adopt a record:
11            (A) to execute or adopt a tangible symbol; or
12            (B) to attach to or logically associate with the
13        record an electronic symbol, sound, or process.
14        (29) "State" means a state of the United States, the
15    District of Columbia, the Commonwealth of Puerto Rico, the
16    United States Virgin Islands, or any territory or insular
17    possession subject to the jurisdiction of the United
18    States.
19        (30) "Stored-value card" means a record evidencing a
20    promise made for consideration by the seller or issuer of
21    the record that goods, services, or money will be provided
22    to the owner of the record to the value or amount shown in
23    the record. The term:
24            (A) includes:
25                (i) a record that contains or consists of a
26            microprocessor chip, magnetic strip, or other

 

 

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1            means for the storage of information, which is
2            prefunded and whose value or amount is decreased on
3            each use and increased by payment of additional
4            consideration; and
5                (ii) a gift card and payroll card; and
6            (B) does not include a loyalty card or game-related
7        digital content.
8        (31) "Utility" means a person that owns or operates for
9    public use a plant, equipment, real property, franchise, or
10    license for the following public services:
11            (A) transmission of communications or information;
12            (B) production, storage, transmission, sale,
13        delivery, or furnishing of electricity, water, steam,
14        or gas; or
15            (C) provision of sewage or septic services, or
16        trash, garbage, or recycling disposal.
17        (32) "Virtual currency" means a digital representation
18    of value used as a medium of exchange, unit of account, or
19    store of value, which does not have legal tender status
20    recognized by the United States. The term does not include:
21            (A) the software or protocols governing the
22        transfer of the digital representation of value;
23            (B) game-related digital content; or
24            (C) a loyalty card or gift card.
25        (33) "Worthless security" means a security whose cost
26    of liquidation and delivery to the administrator would

 

 

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1    exceed the value of the security on the date a report is
2    due under this Act.
 
3    Section 15-103. Inapplicability to foreign transaction.
4This Act does not apply to property held, due, and owing in a
5foreign country if the transaction out of which the property
6arose was a foreign transaction.
 
7    Section 15-104. Rulemaking. The administrator may adopt
8rules to implement and administer this Act pursuant to the
9Illinois Administrative Procedure Act.
 
10
ARTICLE 2. PRESUMPTION OF ABANDONMENT

 
11    Section 15-201. When property presumed abandoned. Subject
12to Section 15-210, the following property is presumed abandoned
13if it is unclaimed by the apparent owner during the period
14specified below:
15        (1) a traveler's check, 15 years after issuance;
16        (2) a money order, 7 years after issuance;
17        (3) (Blank).
18        (4) a state or municipal bond, bearer bond, or
19    original-issue-discount bond, 3 years after the earliest
20    of the date the bond matures or is called or the obligation
21    to pay the principal of the bond arises;
22        (5) a debt of a business association, 3 years after the

 

 

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1    obligation to pay arises;
2        (6) a demand, savings, or time deposit, 3 years after
3    the later of maturity or the date of the last indication of
4    interest in the property by the apparent owner, except for
5    a deposit that is automatically renewable, 3 years after
6    its initial date of maturity unless the apparent owner
7    consented in a record on file with the holder to renewal at
8    or about the time of the renewal;
9        (7) money or a credit owed to a customer as a result of
10    a retail business transaction, other than in-store credit
11    for returned merchandise, other than a stored-value card, 3
12    years after the obligation arose;
13        (8) an amount owed by an insurance company on a life or
14    endowment insurance policy or an annuity contract that has
15    matured or terminated, 3 years after the obligation to pay
16    arose under the terms of the policy or contract or, if a
17    policy or contract for which an amount is owed on proof of
18    death has not matured by proof of the death of the insured
19    or annuitant, as follows:
20            (A) with respect to an amount owed on a life or
21        endowment insurance policy, the earlier of:
22                (i) 3 years after the death of the insured; or
23                (ii) 2 years after the insured has attained, or
24            would have attained if living, the limiting age
25            under the mortality table on which the reserve for
26            the policy is based; and

 

 

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1            (B) with respect to an amount owed on an annuity
2        contract, 3 years after the death of the annuitant.
3        (9) funds on deposit or held in trust for the
4    prepayment of a funeral or other funeral-related expenses,
5    the earliest of:
6            (A) 2 years after the date of death of the
7        beneficiary;
8            (B) one year after the date the beneficiary has
9        attained, or would have attained if living, the age of
10        105 where the holder does not know whether the
11        beneficiary is deceased;
12            (C) 30 years after the contract for prepayment was
13        executed;
14        (10) property distributable by a business association
15    in the course of dissolution or distributions from the
16    termination of a retirement plan, one year after the
17    property becomes distributable;
18        (11) property held by a court, including property
19    received as proceeds of a class action, 3 years after the
20    property becomes distributable;
21        (12) property held by a government or governmental
22    subdivision, agency, or instrumentality, including
23    municipal bond interest and unredeemed principal under the
24    administration of a paying agent or indenture trustee, 3
25    years after the property becomes distributable;
26        (13) wages, commissions, bonuses, or reimbursements to

 

 

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1    which an employee is entitled, or other compensation for
2    personal services, including amounts held on a payroll
3    card, one year after the amount becomes payable;
4        (14) a deposit or refund owed to a subscriber by a
5    utility, one year after the deposit or refund becomes
6    payable, except that any capital credits or patronage
7    capital retired, returned, refunded or tendered to a member
8    of an electric cooperative, as defined in Section 3.4 of
9    the Electric Supplier Act, or a telephone or
10    telecommunications cooperative, as defined in Section
11    13-212 of the Public Utilities Act, that has remained
12    unclaimed by the person appearing on the records of the
13    entitled cooperative for more than 2 years, shall not be
14    subject to, or governed by, any other provisions of this
15    Act, but rather shall be used by the cooperative for the
16    benefit of the general membership of the cooperative; and
17        (15) property not specified in this Section or Sections
18    15-202 through 15-208, the earlier of 3 years after the
19    owner first has a right to demand the property or the
20    obligation to pay or distribute the property arises.
21    Notwithstanding anything to the contrary in this Section
2215-201, and subject to Section 15-210, a deceased owner cannot
23indicate interest in his or her property. If the owner is
24deceased and the abandonment period for the owner's property
25specified in this Section 15-201 is greater than 2 years, then
26the property, other than an amount owed by an insurance company

 

 

10000SB0009ham003- 22 -LRB100 06347 HLH 27908 a

1on a life or endowment insurance policy or an annuity contract
2that has matured or terminated, shall instead be presumed
3abandoned 2 years from the date of the owner's last indication
4of interest in the property.
 
5    Section 15-202. When tax-deferred retirement account
6presumed abandoned.
7    (a) Subject to Section 15-210, property held in a pension
8account or retirement account that qualifies for tax deferral
9under the income-tax laws of the United States is presumed
10abandoned if it is unclaimed by the apparent owner after the
11later of:
12        (1) 3 years after the following dates:
13            (A) except as in subparagraph (B), the date a
14        communication sent by the holder by first-class United
15        States mail to the apparent owner is returned to the
16        holder undelivered by the United States Postal
17        Service; or
18            (B) if such communication is re-sent within 30 days
19        after the date the first communication is returned
20        undelivered, the date the second communication was
21        returned undelivered by the United States Postal
22        Service; or
23        (2) the earlier of the following dates:
24            (A) 3 years after the date the apparent owner
25        becomes 70.5 years of age, if determinable by the

 

 

10000SB0009ham003- 23 -LRB100 06347 HLH 27908 a

1        holder; or
2            (B) one year after the date of mandatory
3        distribution following death if the Internal Revenue
4        Code requires distribution to avoid a tax penalty and
5        the holder:
6                (i) receives confirmation of the death of the
7            apparent owner in the ordinary course of its
8            business; or
9                (ii) confirms the death of the apparent owner
10            under subsection (b).
11    (b) If a holder in the ordinary course of its business
12receives notice or an indication of the death of an apparent
13owner and subsection (a)(2) applies, the holder shall attempt
14not later than 90 days after receipt of the notice or
15indication to confirm whether the apparent owner is deceased.
16    (c) If the holder does not send communications to the
17apparent owner of an account described in subsection (a) by
18first-class United States mail on at least an annual basis, the
19holder shall attempt to confirm the apparent owner's interest
20in the property by sending the apparent owner an
21electronic-mail communication not later than 2 years after the
22apparent owner's last indication of interest in the property.
23However, the holder promptly shall attempt to contact the
24apparent owner by first-class United States mail if:
25        (1) the holder does not have information needed to send
26    the apparent owner an electronic mail communication or the

 

 

10000SB0009ham003- 24 -LRB100 06347 HLH 27908 a

1    holder believes that the apparent owner's electronic mail
2    address in the holder's records is not valid;
3        (2) the holder receives notification that the
4    electronic-mail communication was not received; or
5        (3) the apparent owner does not respond to the
6    electronic-mail communication within 30 days after the
7    communication was sent.
8    (d) If first-class United States mail sent under subsection
9(c) is returned to the holder undelivered by the United States
10Postal Service, the property is presumed abandoned 3 years
11after the later of:
12        (1) except as in paragraph (2), the date a
13    communication to contact the apparent owner sent by
14    first-class United States mail is returned to the holder
15    undelivered;
16        (2) if such communication is re-sent within 30 days
17    after the date the first communication is returned
18    undelivered, the date the second communication was
19    returned undelivered; or
20        (3) the date established by subsection (a)(2).
 
21    Section 15-203. When other tax-deferred account presumed
22abandoned.
23    (a) Subject to Section 15-210 and except for property
24described in Section 15-202, property held in an account or
25plan, including a health savings account, that qualifies for

 

 

10000SB0009ham003- 25 -LRB100 06347 HLH 27908 a

1tax deferral under the income-tax laws of the United States is
2presumed abandoned if it is unclaimed by the apparent owner 3
3years after the earlier of:
4        (1) the date, if determinable by the holder, specified
5    in the income-tax laws and regulations of the United States
6    by which distribution of the property must begin to avoid a
7    tax penalty, with no distribution having been made; or
8        (2) 30 years after the date the account was opened.
9    (b) If the owner is deceased, then property subject to this
10Section is presumed abandoned 2 years from the earliest of:
11        (1) the date of the distribution or attempted
12    distribution of the property;
13        (2) the date of the required distribution as stated in
14    the plan or trust agreement governing the plan; or
15        (3) the date, if determinable by the holder, specified
16    in the income tax laws of the United States by which
17    distribution of the property must begin in order to avoid a
18    tax penalty.
 
19    Section 15-204. When custodial account for minor presumed
20abandoned.
21    (a) Subject to Section 15-210, property held in an account
22established under a state's Uniform Gifts to Minors Act or
23Uniform Transfers to Minors Act is presumed abandoned if it is
24unclaimed by or on behalf of the minor on whose behalf the
25account was opened 3 years after the later of:

 

 

10000SB0009ham003- 26 -LRB100 06347 HLH 27908 a

1        (1) except as in subparagraph (2), the date a
2    communication sent by the holder by first-class United
3    States mail to the custodian of the minor on whose behalf
4    the account was opened is returned undelivered to the
5    holder by the United States Postal Service;
6        (2) if a communication is re-sent within 30 days after
7    the date the first communication is returned undelivered,
8    the date the second communication was returned
9    undelivered; or
10        (3) the date on which the custodian is required to
11    transfer the property to the minor or the minor's estate in
12    accordance with the Uniform Gifts to Minors Act or Uniform
13    Transfers to Minors Act of the state in which the account
14    was opened.
15    (b) If the holder does not send communications to the
16custodian of the minor on whose behalf an account described in
17subsection (a) was opened by first-class United States mail on
18at least an annual basis, the holder shall attempt to confirm
19the custodian's interest in the property by sending the
20custodian an electronic-mail communication not later than 2
21years after the custodian's last indication of interest in the
22property. However, the holder promptly shall attempt to contact
23the custodian by first-class United States mail if:
24        (1) the holder does not have information needed to send
25    the custodian an electronic mail communication or the
26    holder believes that the custodian's electronic-mail

 

 

10000SB0009ham003- 27 -LRB100 06347 HLH 27908 a

1    address in the holder's records is not valid;
2        (2) the holder receives notification that the
3    electronic-mail communication was not received; or
4        (3) the custodian does not respond to the
5    electronic-mail communication within 30 days after the
6    communication was sent.
7    (c) If first-class United States mail sent under subsection
8(b) is returned undelivered to the holder by the United States
9Postal Service, the property is presumed abandoned 3 years
10after the later of:
11        (1) the date a communication to contact the custodian
12    by first-class United States mail is returned to the holder
13    undelivered by the United States Postal Service; or
14        (2) the date established by subsection (a)(3).
15    (d) Notwithstanding any other provision of this Act, money
16of a minor deposited pursuant to Section 24-21 of the Probate
17Act of 1975 shall not be presumed abandoned earlier than 3
18years after the minor attains legal age. Such money shall be
19deposited into an account which shall indicate the date of
20birth of the minor.
21    (e) (Blank).
22    (f) When the property in the account described in
23subsections (a) or (d) is transferred to the minor on whose
24behalf an account was opened or to the minor's estate, the
25property in the account is no longer subject to this Section.
 

 

 

10000SB0009ham003- 28 -LRB100 06347 HLH 27908 a

1    Section 15-205. When contents of safe-deposit box presumed
2abandoned. Tangible property held in a safe-deposit box are
3presumed abandoned if the property remains unclaimed by the
4apparent owner 5 years after the expiration of the lease or
5rental period for the box.
 
6    Section 15-206. When stored-value card presumed abandoned.
7    (a) Subject to Section 15-210, the net card value of a
8stored-value card, other than a payroll card or a gift card, is
9presumed abandoned on the latest of 5 years after:
10        (1) December 31 of the year in which the card is issued
11    or additional funds are deposited into it;
12        (2) the most recent indication of interest in the card
13    by the apparent owner; or
14        (3) a verification or review of the balance by or on
15    behalf of the apparent owner.
16    (b) The amount presumed abandoned in a stored-value card is
17the net card value at the time it is presumed abandoned.
18    (c) However, if a holder has reported and remitted to the
19administrator the net card value on a stored-value card
20presumed abandoned under this Section and the stored-value card
21does not have an expiration date, then the holder must honor
22the card on presentation indefinitely and may then request
23reimbursement from the administrator under Section 605.
 
24    Section 15-208. When security presumed abandoned.

 

 

10000SB0009ham003- 29 -LRB100 06347 HLH 27908 a

1    (a) Subject to Section 15-210, a security is presumed
2abandoned upon the earlier of the following:
3        (1) 3 years after the date a communication sent by the
4    holder by first-class United States mail to the apparent
5    owner is returned to the holder undelivered by the United
6    States Postal Service; however, if such returned
7    communication is re-sent within one month to the apparent
8    owner, the 3-year period does not begin to run until the
9    day the resent item is returned as undeliverable; or
10        (2) 5 years after the date of the apparent owner's last
11    indication of interest in the security.
12    (b) If the holder does not send communications to the
13apparent owner of a security by first-class United States mail
14on at least an annual basis, the holder shall attempt to
15confirm the apparent owner's interest in the security by
16sending the apparent owner an electronic-mail communication
17not later than 3 years after the apparent owner's last
18indication of interest in the security. However, the holder
19promptly shall attempt to contact the apparent owner by
20first-class United States mail if:
21        (1) the holder does not have information needed to send
22    the apparent owner an electronic-mail communication or the
23    holder believes that the apparent owner's electronic-mail
24    address in the holder's records is not valid;
25        (2) the holder receives notification that the
26    electronic-mail communication was not received; or

 

 

10000SB0009ham003- 30 -LRB100 06347 HLH 27908 a

1        (3) the apparent owner does not respond to the
2    electronic-mail communication within 30 days after the
3    communication was sent.
4    (c) If first-class United States mail sent under subsection
5(b) is returned to the holder undelivered by the United States
6Postal Service, the security is presumed abandoned in
7accordance with subsection (a)(2) above.
8    (d) If a holder in the ordinary course of its business
9receives notice or an indication of the death of an apparent
10owner, the holder shall attempt not later than 90 days after
11receipt of the notice or indication to confirm whether the
12apparent owner is deceased. Notwithstanding the standards set
13forth in paragraphs (a), (b) and (c), if the holder either
14receives confirmation of the death of the apparent owner in the
15ordinary course of its business or confirms the death of the
16apparent owner under this subsection (d), then, the property
17shall be presumed abandoned 2 years after the date of death of
18the owner.
 
19    Section 15-209. When related property presumed abandoned.
20At and after the time property is presumed abandoned under this
21Act, any other property right or interest accrued or accruing
22from the property and not previously presumed abandoned is also
23presumed abandoned.
 
24    Section 15-210. Indication of apparent owner interest in

 

 

10000SB0009ham003- 31 -LRB100 06347 HLH 27908 a

1property.
2    (a) The period after which property is presumed abandoned
3is measured from the later of:
4        (1) the date the property is presumed abandoned under
5    this Article; or
6        (2) the latest indication of interest by the apparent
7    owner in the property.
8    (b) Under this Act, an indication of an apparent owner's
9interest in property includes:
10        (1) a record communicated by the apparent owner to the
11    holder or agent of the holder concerning the property or
12    the account in which the property is held;
13        (2) an oral communication by the apparent owner to the
14    holder or agent of the holder concerning the property or
15    the account in which the property is held, if the holder or
16    its agent contemporaneously makes and preserves a record of
17    the fact of the apparent owner's communication;
18        (3) presentment of a check or other instrument of
19    payment of a dividend, interest payment, or other
20    distribution, or evidence of receipt of a distribution made
21    by electronic or similar means, with respect to an account,
22    underlying security, or interest in a business
23    association;
24        (4) activity directed by an apparent owner in the
25    account in which the property is held, including accessing
26    the account or information concerning the account, or a

 

 

10000SB0009ham003- 32 -LRB100 06347 HLH 27908 a

1    direction by the apparent owner to increase, decrease, or
2    otherwise change the amount or type of property held in the
3    account;
4        (5) a deposit into or withdrawal from an account at a
5    financial organization, except for a recurring Automated
6    Clearing House (ACH) debit or credit previously authorized
7    by the apparent owner or an automatic reinvestment of
8    dividends or interest; and
9        (6) subject to subsection (e), payment of a premium on
10    an insurance policy.
11    (c) An action by an agent or other representative of an
12apparent owner, other than the holder acting as the apparent
13owner's agent, is presumed to be an action on behalf of the
14apparent owner.
15    (d) A communication with an apparent owner by a person
16other than the holder or the holder's representative is not an
17indication of interest in the property by the apparent owner
18unless a record of the communication evidences the apparent
19owner's knowledge of a right to the property.
20    (e) If the insured dies or the insured or beneficiary of an
21insurance policy otherwise becomes entitled to the proceeds
22before depletion of the cash surrender value of the policy by
23operation of an automatic-premium-loan provision or other
24nonforfeiture provision contained in the policy, the operation
25does not prevent the policy from maturing or terminating.
26    (f) If the apparent owner has another property with the

 

 

10000SB0009ham003- 33 -LRB100 06347 HLH 27908 a

1holder to which Section 201(6) applies, then activity directed
2by an apparent owner in any other accounts, including loan
3accounts, at a financial organization holding an inactive
4account of the apparent owner shall be an indication of
5interest in all such accounts if:
6            (A) the apparent owner engages in one or more of
7        the following activities:
8                (i) the apparent owner undertakes one or more
9            of the actions described in subsection (b) of this
10            Section regarding any account that appears on a
11            consolidated statement with the inactive account;
12                (ii) the apparent owner increases or decreases
13            the amount of funds in any other account the
14            apparent owner has with the financial
15            organization; or
16                (iii) the apparent owner engages in any other
17            relationship with the financial organization,
18            including payment of any amounts due on a loan; and
19            (B) the foregoing apply so long as the mailing
20        address for the apparent owner in the financial
21        organization's books and records is the same for both
22        the inactive account and the active account.
 
23    Section 15-211. Knowledge of death of insured or annuitant.
24    (a) In this Section, "death master file" means the United
25States Social Security Administration Death Master File or

 

 

10000SB0009ham003- 34 -LRB100 06347 HLH 27908 a

1other database or service that is at least as comprehensive as
2the United States Social Security Administration Death Master
3File for determining that an individual reportedly has died.
4    (b) With respect to a life or endowment insurance policy or
5annuity contract for which an amount is owed on proof of death,
6but which has not matured by proof of death of the insured or
7annuitant, the company has knowledge of the death of an insured
8or annuitant when:
9        (1) the company receives a death certificate or court
10    order determining that the insured or annuitant has died;
11        (2) the company:
12            (A) receives notice of the death of the insured or
13        annuitant from the administrator or an unclaimed
14        property administrator of another state, a
15        beneficiary, a policy owner, a relative of the insured,
16        a representative under the Probate Act of 1975, or from
17        an executor or other legal representative of the
18        insured's or annuitant's estate; and
19            (B) validates the death of the insured or
20        annuitant;
21        (3) the company conducts a comparison for any purpose
22    between a death master file and the names of some or all of
23    the company's insureds or annuitants, finds a match that
24    provides notice that the insured or annuitant has died; or
25        (4) the administrator or the administrator's agent
26    conducts a comparison for the purpose of finding matches

 

 

10000SB0009ham003- 35 -LRB100 06347 HLH 27908 a

1    during an examination conducted under Article 10 between a
2    death master file and the names of some or all of the
3    company's insureds or annuitants, finds a match that
4    provides notice that the insured or annuitant has died.
5    (c) The following rules apply under this Section:
6        (1) A death-master-file match under subsection (b)(3)
7    or (4) occurs if the criteria for an exact or partial match
8    are satisfied as provided by either:
9            (A) the Unclaimed Life Insurance Benefits Act or
10        other law of this State other than this Act; or
11            (B) a rule or policy adopted by the Director of the
12        Department of Insurance.
13        (2) The death-master-file match does not constitute
14    proof of death for the purpose of submission to an
15    insurance company of a claim by a beneficiary, annuitant,
16    or owner of the policy or contract for an amount due under
17    an insurance policy or annuity contract.
18        (3) The death-master-file match or validation of the
19    insured's or annuitant's death does not alter the
20    requirements for a beneficiary, annuitant, or owner of the
21    policy or contract to make a claim to receive proceeds
22    under the terms of the policy or contract.
23        (4) An insured or an annuitant is presumed dead if the
24    date of his or her death is indicated by the
25    death-master-file match under either subsection (b)(3) or
26    (b)(4), unless the insurer has competent and substantial

 

 

10000SB0009ham003- 36 -LRB100 06347 HLH 27908 a

1    evidence that the person is living, including, but not
2    limited to, a contact made by the insurer with the person
3    or his or her legal representative.
4    (d) This Act does not affect the determination of the
5extent to which an insurance company before the effective date
6of this Act had knowledge of the death of an insured or
7annuitant or was required to conduct a death-master-file
8comparison to determine whether amounts owed by the company on
9a life or endowment insurance policy or annuity contract were
10presumed abandoned or unclaimed.
 
11    Section 15-212. Deposit account for proceeds of insurance
12policy or annuity contract. If proceeds payable under a life or
13endowment insurance policy or annuity contract are deposited
14into an account with check or draft-writing privileges for the
15beneficiary of the policy or contract and, under a
16supplementary contract not involving annuity benefits other
17than death benefits, the proceeds are retained by the insurance
18company or the financial organization where the account is
19held, the policy or contract includes the assets in the
20account.
 
21    Section 15-213. United States savings bonds.
22    (a) As used in this Section, "United States savings bond"
23means property, tangible or intangible, in the form of a
24savings bond issued by the United States Treasury, whether in

 

 

10000SB0009ham003- 37 -LRB100 06347 HLH 27908 a

1paper, electronic, or paperless form, along with all proceeds
2thereof in the possession of the administrator.
3    (b) Notwithstanding any provision of this Act to the
4contrary, a United States savings bond subject to this Section
5or held or owing in this State by any person is presumed
6abandoned when such bond has remained unclaimed and unredeemed
7for 5 years after its date of final extended maturity.
8    (c) United States savings bonds that are presumed abandoned
9and unclaimed under subsection (b) shall escheat to the State
10of Illinois and all property rights and legal title to and
11ownership of the United States savings bonds, or proceeds from
12the bonds, including all rights, powers, and privileges of
13survivorship of any owner, co-owner, or beneficiary, shall vest
14solely in the State according to the procedure set forth in
15subsections (d) through (f).
16    (d) Within 180 days after a United States savings bond has
17been presumed abandoned, in the absence of a claim having been
18filed with the administrator for the savings bond, the
19administrator shall commence a civil action in the Circuit
20Court of Sangamon County for a determination that the United
21States savings bonds has escheated to the State. The
22administrator may postpone the bringing of the action until
23sufficient United States savings bonds have accumulated in the
24administrator's custody to justify the expense of the
25proceedings.
26    (e) The administrator shall make service by publication in

 

 

10000SB0009ham003- 38 -LRB100 06347 HLH 27908 a

1the civil action in accordance with Sections 2-206 and 2-207 of
2the Code of Civil Procedure, which shall include the filing
3with the Circuit Court of Sangamon County of the affidavit
4required in Section 2-206 of that Code by an employee of the
5administrator with personal knowledge of the efforts made to
6contact the owners of United States savings bonds presumed
7abandoned under this Section. In addition to the diligent
8inquiries made pursuant to Section 2-206 of the Code of Civil
9Procedure, the administrator may also utilize additional
10discretionary means to attempt to provide notice to persons who
11may own a United States savings bond registered to a person
12with a last known address in the State of Illinois subject to a
13civil action pursuant to subsection (d).
14    (f) The owner of a United States savings bond registered to
15a person with a last known address in the State of Illinois
16subject to a civil action pursuant to subsection (d) may file a
17claim for such United States savings bond with either the
18administrator or by filing a claim in the civil action in the
19Circuit Court of Sangamon County in which the savings bond
20registered to that person is at issue prior to the entry of a
21final judgment by the Circuit Court pursuant to this
22subsection, and unless the Circuit Court determines that such
23United States savings bond is not owned by the claimant, then
24such United States savings bond shall no longer be presumed
25abandoned. If no person files a claim or appears at the hearing
26to substantiate a disputed claim or if the court determines

 

 

10000SB0009ham003- 39 -LRB100 06347 HLH 27908 a

1that a claimant is not entitled to the property claimed by the
2claimant, then the court, if satisfied by evidence that the
3administrator has substantially complied with the laws of this
4State, shall enter a judgment that the United States savings
5bonds have escheated to this State, and all property rights and
6legal title to and ownership of such United States savings
7bonds or proceeds from such bonds, including all rights,
8powers, and privileges of survivorship of any owner, co-owner,
9or beneficiary, shall vest in this State.
10    (g) The administrator shall redeem from the Bureau of the
11Fiscal Service of the United States Treasury the United States
12savings bonds escheated to the State and deposit the proceeds
13from the redemption of United States savings bonds into the
14Unclaimed Property Trust Fund.
15    (h) Any person making a claim for the United States savings
16bonds escheated to the State under this subsection, or for the
17proceeds from such bonds, may file a claim with the
18administrator. Upon providing sufficient proof of the validity
19of such person's claim, the administrator may, in his or her
20sole discretion, pay such claim. If payment has been made to
21any claimant, no action thereafter may be maintained by any
22other claimant against the State or any officer thereof for or
23on account of such funds.
 
24
ARTICLE 3. RULES FOR TAKING CUSTODY OF PROPERTY PRESUMED
25
ABANDONED

 

 

 

10000SB0009ham003- 40 -LRB100 06347 HLH 27908 a

1    Section 15-301. Address of apparent owner to establish
2priority. In this Article, the following rules apply:
3        (1) The last-known address of an apparent owner is any
4    description, code, or other indication of the location of
5    the apparent owner which identifies the state, even if the
6    description, code, or indication of location is not
7    sufficient to direct the delivery of first-class United
8    States mail to the apparent owner.
9        (2) If the United States postal zip code associated
10    with the apparent owner is for a post office located in
11    this State, this State is deemed to be the state of the
12    last-known address of the apparent owner unless other
13    records associated with the apparent owner specifically
14    identify the physical address of the apparent owner to be
15    in another state.
16        (3) If the address under paragraph (2) is in another
17    state, the other state is deemed to be the state of the
18    last-known address of the apparent owner.
19        (4) The address of the apparent owner of a life or
20    endowment insurance policy or annuity contract or its
21    proceeds is presumed to be the address of the insured or
22    annuitant if a person other than the insured or annuitant
23    is entitled to the amount owed under the policy or contract
24    and the address of the other person is not known by the
25    insurance company and cannot be determined under Section

 

 

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1    15-302. The address of the apparent owner of other property
2    where ownership vests in a beneficiary upon the death of
3    the owner is presumed to be the address of the now-deceased
4    owner if the address of the beneficiary is not known by the
5    holder and cannot be determined under Section 15-302.
 
6    Section 15-302. Address of apparent owner in this State.
7The administrator may take custody of property that is presumed
8abandoned, whether located in this State, another state, or a
9foreign country if:
10        (1) the last-known address of the apparent owner in the
11    records of the holder is in this State; or
12        (2) the records of the holder do not reflect the
13    identity or last-known address of the apparent owner, but
14    the administrator has determined that the last-known
15    address of the apparent owner is in this State.
 
16    Section 15-303. If records show multiple addresses of
17apparent owner.
18    (a) Except as in subsection (b), if records of a holder
19reflect multiple addresses for an apparent owner and this State
20is the state of the most recently recorded address, this State
21may take custody of property presumed abandoned, whether
22located in this State or another state.
23    (b) If it appears from records of the holder that the most
24recently recorded address of the apparent owner under

 

 

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1subsection (a) is a temporary address and this State is the
2state of the next most recently recorded address that is not a
3temporary address, this State may take custody of the property
4presumed abandoned.
 
5    Section 15-304. Holder domiciled in this State.
6    (a) Except as in subsection (b) or Section 15-302 or
715-303, the administrator may take custody of property presumed
8abandoned, whether located in this State, another state, or a
9foreign country, if the holder is domiciled in this State or is
10this State or a governmental subdivision, agency, or
11instrumentality of this State, and
12        (1) another state or foreign country is not entitled to
13    the property because there is no last-known address of the
14    apparent owner or other person entitled to the property in
15    the records of the holder; or
16        (2) the state or foreign country of the last-known
17    address of the apparent owner or other person entitled to
18    the property does not provide for custodial taking of the
19    property.
20    (b) Property is not subject to custody of the administrator
21under subsection (a) if the property is specifically exempt
22from custodial taking under the law of this State or the state
23or foreign country of the last-known address of the apparent
24owner.
25    (c) If a holder's state of domicile has changed since the

 

 

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1time property was presumed abandoned, the holder's state of
2domicile under this Section is deemed to be the state where the
3holder was domiciled at the time the property was presumed
4abandoned.
 
5    Section 15-305. Custody if transaction took place in this
6State. Except as in Section 15-302, 15-303, or 15-304, the
7administrator may take custody of property presumed abandoned
8whether located in this State or another state if:
9        (1) the transaction out of which the property arose
10    took place in this State;
11        (2) the holder is domiciled in a state that does not
12    provide for the custodial taking of the property, except
13    that if the property is specifically exempt from custodial
14    taking under the law of the state of the holder's domicile,
15    the property is not subject to the custody of the
16    administrator; and
17        (3) the last-known address of the apparent owner or
18    other person entitled to the property is unknown or in a
19    state that does not provide for the custodial taking of the
20    property, except that if the property is specifically
21    exempt from custodial taking under the law of the state of
22    the last-known address, the property is not subject to the
23    custody of the administrator.
 
24    Section 15-306. Traveler's check, money order, or similar

 

 

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1instrument. The administrator may take custody of sums payable
2on a traveler's check, money order, or similar instrument
3presumed abandoned to the extent permissible under 12 U.S.C.
4Sections 2501 through 2503, as amended.
 
5    Section 15-307. Burden of proof to establish
6administrator's right to custody. Subject to Article 4 and
7Section 15-1005, if the administrator asserts a right to
8custody of unclaimed property and there is a dispute concerning
9such property, the administrator has the initial burden to
10prove:
11        (1) the amount of the property;
12        (2) the property is presumed abandoned; and
13        (3) the property is subject to the custody of the
14    administrator.
 
15
ARTICLE 4. REPORT BY HOLDER

 
16    Section 15-401. Report required by holder.
17    (a) A holder of property presumed abandoned and subject to
18the custody of the administrator shall report in a record to
19the administrator concerning the property. A holder shall
20report via the internet in a format approved by the
21administrator, unless the administrator gives a holder
22specific permission to file a paper report.
23    (b) A holder may contract with a third party to make the

 

 

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1report required under subsection (a).
2    (c) Whether or not a holder contracts with a third party
3under subsection (b), the holder is responsible:
4        (1) to the administrator for the complete, accurate,
5    and timely reporting of property presumed abandoned; and
6        (2) for paying or delivering to the administrator
7    property described in the report.
 
8    Section 15-402. Content of report.
9    (a) The report required under Section 15-401 must:
10        (1) be signed by or on behalf of the holder and
11    verified as to its completeness and accuracy;
12        (2) if filed electronically, be in a secure format
13    approved by the administrator which protects confidential
14    information of the apparent owner;
15        (3) describe the property;
16        (4) except for a traveler's check, money order, or
17    similar instrument, contain the name, if known, last-known
18    address, if known, and Social Security number or taxpayer
19    identification number, if known or readily ascertainable,
20    of the apparent owner of property with a value of $5 or
21    more;
22        (5) for an amount held or owing under a life or
23    endowment insurance policy, annuity contract, or other
24    property where ownership vests in a beneficiary upon the
25    death of the owner, contain the name and last-known address

 

 

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1    of the insured, annuitant, or other apparent owner of the
2    policy or contract and of the beneficiary;
3        (6) for property held in or removed from a safe-deposit
4    box, indicate the location of the property, where it may be
5    inspected by the administrator, and any amounts owed to the
6    holder under Section 15-606;
7        (7) contain the commencement date for determining
8    abandonment under Article 2;
9        (8) state that the holder has complied with the notice
10    requirements of Section 15-501;
11        (9) identify property that is a non-freely
12    transferable security and explain why it is a non-freely
13    transferable security; and
14        (10) contain other information the administrator
15    prescribes by rules.
16    (b) A report under Section 15-401 may include in the
17aggregate items valued under $5 each. If the report includes
18items in the aggregate valued under $5 each, the administrator
19may not require the holder to provide the name and address of
20an apparent owner of an item unless the information is
21necessary to verify or process a claim in progress by the
22apparent owner.
23    (c) A report under Section 15-401 may include personal
24information as defined in Section 15-1401(a) about the apparent
25owner or the apparent owner's property.
26    (d) If a holder has changed its name while holding property

 

 

10000SB0009ham003- 47 -LRB100 06347 HLH 27908 a

1presumed abandoned or is a successor to another person that
2previously held the property for the apparent owner, the holder
3must include in the report under Section 15-401 its former name
4or the name of the previous holder, if any, and the known name
5and address of each previous holder of the property.
 
6    Section 15-403. When report to be filed.
7    (a) Except as otherwise provided in subsection (b) and
8subject to subsection (c), the report under Section 15-401 must
9be filed before November 1 of each year and cover the 12 months
10preceding July 1 of that year.
11    (b) Subject to subsection (c), the report under Section
1215-401 to be filed by business associations, utilities, and
13life insurance companies must be filed before May 1 of each
14year for the immediately preceding calendar year.
15    (c) Before the date for filing the report under Section
1615-401, the holder of property presumed abandoned may request
17the administrator to extend the time for filing. The
18administrator may grant an extension. If the extension is
19granted, the holder may pay or make a partial payment of the
20amount the holder estimates ultimately will be due. The payment
21or partial payment terminates accrual of interest on the amount
22paid.
 
23    Section 15-404. Retention of records by holder. A holder
24required to file a report under Section 15-401 shall retain

 

 

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1records for 10 years after the later of the date the report was
2filed or the last date a timely report was due to be filed,
3unless a shorter period is provided by rule of the
4administrator. The holder may satisfy the requirement to retain
5records under this Section through an agent. The records must
6contain:
7        (1) the information required to be included in the
8    report;
9        (2) the date, place, and nature of the circumstances
10    that gave rise to the property right;
11        (3) the amount or value of the property;
12        (4) the last address of the apparent owner, if known to
13    the holder;
14        (5) sufficient records of items which were not reported
15    as unclaimed, to allow examination to determine whether the
16    holder has complied with the Act; and
17        (6) if the holder sells, issues, or provides to others
18    for sale or issue in this State traveler's checks, money
19    orders, or similar instruments, other than third-party
20    bank checks, on which the holder is directly liable, a
21    record of the instruments while they remain outstanding
22    indicating the state and date of issue.
 
23    Section 15-405. Property reportable and payable or
24deliverable absent owner demand. Property is reportable and
25payable or deliverable under this Act even if the owner fails

 

 

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1to make demand or present an instrument or document otherwise
2required to obtain payment.
 
3
ARTICLE 5. NOTICE TO APPARENT OWNER OF PROPERTY PRESUMED
4
ABANDONED

 
5    Section 15-501. Notice to apparent owner by holder.
6    (a) Subject to subsections (b) and (c), the holder of
7property presumed abandoned shall send to the apparent owner
8notice by first-class United States mail that complies with
9Section 15-502 in a format acceptable to the administrator not
10more than one year nor less than 60 days before filing the
11report under Section 15-401 if:
12        (1) the holder has in its records an address for the
13    apparent owner which the holder's records do not disclose
14    to be invalid and is sufficient to direct the delivery of
15    first-class United States mail to the apparent owner; and
16        (2) the value of the property is $50 or more.
17    (b) If an apparent owner has consented to receive
18electronic-mail delivery from the holder, the holder shall send
19the notice described in subsection (a) both by first-class
20United States mail to the apparent owner's last-known mailing
21address and by electronic mail, unless the holder believes that
22the apparent owner's electronic-mail address is invalid.
23    (c) The holder of securities presumed abandoned under
24Sections 15-202, 15-203, or 15-208 shall send to the apparent

 

 

10000SB0009ham003- 50 -LRB100 06347 HLH 27908 a

1owner notice by certified United States mail that complies with
2Section 15-502 in a format acceptable to the administrator not
3less than 60 days before filing the report under Section 15-401
4if:
5        (1) the holder has in its records an address for the
6    apparent owner which the holder's records do not disclose
7    to be invalid and is sufficient to direct the delivery of
8    United States mail to the apparent owner; and
9        (2) the value of the property is $1,000 or more.
10    The administrator may issue rules allowing a holder to
11deduct reasonable costs incurred in sending a notice by
12certified United States mail under this subsection.
13    (d) In addition to other indications of an apparent owner's
14interest in property pursuant to Section 15-210, a signed
15return receipt in response to a notice sent pursuant to this
16Section by certified United States mail shall constitute a
17record communicated by the apparent owner to the holder
18concerning the property or the account in which the property is
19held.
 
20    Section 15-502. Contents of notice by holder.
21    (a) Notice under Section 15-501 must contain a heading that
22reads substantially as follows: "Notice. The State of Illinois
23requires us to notify you that your property may be transferred
24to the custody of the administrator if you do not contact us
25before (insert date that is 30 days after the date of this

 

 

10000SB0009ham003- 51 -LRB100 06347 HLH 27908 a

1notice)."
2    (b) The notice under Section 15-501 must:
3        (1) identify the nature and, except for property that
4    does not have a fixed value, the value of the property that
5    is the subject of the notice;
6        (2) state that the property will be turned over to the
7    State Treasurer;
8        (3) state that after the property is turned over to the
9    State Treasurer an apparent owner that seeks return of the
10    property may file a claim with the administrator;
11        (4) state that property that is not legal tender of the
12    United States may be sold by the State Treasurer;
13        (5) provide instructions that the apparent owner must
14    follow to prevent the holder from reporting and paying or
15    delivering the property to the State Treasurer; and
16        (6) provide the name, address, and e-mail address or
17    telephone number to contact the holder.
18    (c) The holder may supplement the required information by
19listing a website where apparent owners may obtain more
20information about how to prevent the holder from reporting and
21paying or delivering the property to the State Treasurer.
 
22    Section 15-503. Notice by administrator.
23    (a) The administrator shall give notice to an apparent
24owner that property presumed abandoned and appears to be owned
25by the apparent owner is held by the administrator under this

 

 

10000SB0009ham003- 52 -LRB100 06347 HLH 27908 a

1Act.
2    (b) In providing notice under subsection (a), the
3administrator shall:
4        (1) except as otherwise provided in paragraph (2), send
5    written notice by first-class United States mail to each
6    apparent owner of property valued at $100 or more held by
7    the administrator, unless the administrator determines
8    that a mailing by first-class United States mail would not
9    be received by the apparent owner, and, in the case of a
10    security held in an account for which the apparent owner
11    had consented to receiving electronic mail from the holder,
12    send notice by electronic mail if the electronic-mail
13    address of the apparent owner is known to the administrator
14    instead of by first-class United States mail; or
15        (2) send the notice to the apparent owner's
16    electronic-mail address if the administrator does not have
17    a valid United States mail address for an apparent owner,
18    but has an electronic-mail address that the administrator
19    does not know to be invalid.
20    (c) In addition to the notice under subsection (b), the
21administrator shall:
22        (1) publish every 6 months in at least one English
23    language newspaper of general circulation in each county in
24    this State notice of property held by the administrator
25    which must include:
26            (A) the total value of property received by the

 

 

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1        administrator during the preceding 6-month period,
2        taken from the reports under Section 15-401;
3            (B) the total value of claims paid by the
4        administrator during the preceding 6-month period;
5            (C) the Internet web address of the unclaimed
6        property website maintained by the administrator;
7            (D) a telephone number and electronic-mail address
8        to contact the administrator to inquire about or claim
9        property; and
10            (E) a statement that a person may access the
11        Internet by a computer to search for unclaimed property
12        and a computer may be available as a service to the
13        public at a local public library.
14        (2) The administrator shall maintain a website
15    accessible by the public and electronically searchable
16    which contains the names reported to the administrator of
17    apparent owners for whom property is being held by the
18    administrator. The administrator need not list property on
19    such website when: no owner name was reported, a claim has
20    been initiated or is pending for the property, the
21    administrator has made direct contact with the apparent
22    owner of the property, and in other instances where the
23    administrator reasonably believes exclusion of the
24    property is in the best interests of both the State and the
25    owner of the property.
26    (d) The website or database maintained under subsection

 

 

10000SB0009ham003- 54 -LRB100 06347 HLH 27908 a

1(c)(2) must include instructions for filing with the
2administrator a claim to property and a printable claim form
3with instructions for its use.
4    (e) Tax return identification of apparent owners of
5abandoned property.
6        (1) At least annually the administrator shall notify
7    the Department of Revenue of the names of persons appearing
8    to be owners of abandoned property under this Section. The
9    administrator shall also provide to the Department of
10    Revenue the social security numbers of the persons, if
11    available.
12        (2) The Department of Revenue shall notify the
13    administrator if any person under subsection (e)(1) has
14    filed an Illinois income tax return and shall provide the
15    administrator with the last known address of the person as
16    it appears in Department of Revenue records, except as
17    prohibited by federal law. The Department of Revenue may
18    also provide additional addresses for the same taxpayer
19    from the records of the Department, except as prohibited by
20    federal law.
21        (3) In order to facilitate the return of property under
22    this subsection, the administrator and the Department of
23    Revenue may enter into an interagency agreement concerning
24    protection of confidential information, data match rules,
25    and other issues.
26        (4) The administrator may deliver, as provided under

 

 

10000SB0009ham003- 55 -LRB100 06347 HLH 27908 a

1    Section 15-904 of this Act, property or pay the amount
2    owing to a person matched under this Section without the
3    person filing a claim under Section 15-903 of this Act if
4    the following conditions are met:
5            (A) the value of the property that is owed the
6        person is $2,000 or less;
7            (B) the property is not either tangible property or
8        securities;
9            (C) the last known address for the person according
10        to the Department of Revenue records is less than 12
11        months old; and
12            (D) the administrator has evidence sufficient to
13        establish that the person who appears in Department of
14        Revenue records is the owner of the property and the
15        owner currently resides at the last known address from
16        the Department of Revenue.
17        (5) If the value of the property that is owed the
18    person is greater than $2,000, or is tangible property or
19    securities the administrator shall provide notice to the
20    person, informing the person that he or she is the owner of
21    abandoned property held by the State and may file a claim
22    with the administrator for return of the property.
23    (f) The administrator may use additional databases to
24verify the identity of the person and that the person currently
25resides at the last known address. The administrator may
26utilize publicly and commercially available databases to find

 

 

10000SB0009ham003- 56 -LRB100 06347 HLH 27908 a

1and update or add information for apparent owners of property
2held by the administrator.
3    (g) In addition to giving notice under subsection (b),
4publishing the information under subsection (c)(1) and
5maintaining the website or database under subsection (c)(2),
6the administrator may use other printed publication,
7telecommunication, the Internet, or other media to inform the
8public of the existence of unclaimed property held by the
9administrator.
 
10    Section 15-504. Cooperation among State officers and
11agencies to locate apparent owner. Unless prohibited by law of
12this State other than this Act, on request of the
13administrator, each officer, agency, board, commission,
14division, and department of this State, any body politic and
15corporate created by this State for a public purpose, and each
16political subdivision of this State shall make its books and
17records available to the administrator and cooperate with the
18administrator to determine the current address of an apparent
19owner of property held by the administrator under this Act or
20to otherwise assist the administrator in the administration of
21this Act. The administrator may also enter into data sharing
22agreements to enable such other governmental agencies to
23provide an additional notice to apparent owners of property
24held by the administrator.
 

 

 

10000SB0009ham003- 57 -LRB100 06347 HLH 27908 a

1
ARTICLE 6. TAKING CUSTODY OF PROPERTY BY ADMINISTRATOR

 
2    Section 15-601. Definition of good faith. In this Article,
3payment or delivery of property is made in good faith if a
4holder:
5        (1) had a reasonable basis for believing, based on the
6    facts then known, that the property was required or
7    permitted to be paid or delivered to the administrator
8    under this Act; or
9        (2) made payment or delivery:
10            (A) in response to a demand by the administrator or
11        administrator's agent; or
12            (B) under a guidance or ruling issued by the
13        administrator which the holder reasonably believed
14        required or permitted the property to be paid or
15        delivered.
 
16    Section 15-602. Dormancy charge.
17    (a) A holder may deduct a dormancy charge from property
18required to be paid or delivered to the administrator if:
19        (1) a valid contract between the holder and the
20    apparent owner authorizes imposition of the charge for the
21    apparent owner's failure to claim the property within a
22    specified time; and
23        (2) the holder regularly imposes the charge and
24    regularly does not reverse or otherwise cancel the charge.

 

 

10000SB0009ham003- 58 -LRB100 06347 HLH 27908 a

1    (b) The amount of the deduction under subsection (a) is
2limited to an amount that is not unconscionable considering all
3relevant factors, including the marginal transactional costs
4incurred by the holder in maintaining the apparent owner's
5property and any services received by the apparent owner.
6    (c) A holder may not deduct an escheat fee or other charges
7imposed solely by virtue of property being reported as presumed
8abandoned.
 
9    Section 15-603. Payment or delivery of property to
10administrator.
11    (a) Except as otherwise provided in this Section, on filing
12a report under Section 15-401, the holder shall pay or deliver
13to the administrator the property described in the report.
14    (b) If property in a report under Section 15-401 is an
15automatically renewable deposit and a penalty or forfeiture in
16the payment of interest would result from paying the deposit to
17the administrator at the time of the report, the date for
18payment of the property to the administrator is extended until
19a penalty or forfeiture no longer would result from payment, if
20the holder informs the administrator of the extended date.
21    (c) Tangible property in a safe-deposit box may not be
22delivered to the administrator until a mutually agreed upon
23date that is no sooner than 60 days after filing the report
24under Section 15-401.
25    (d) If property reported to the administrator under Section

 

 

10000SB0009ham003- 59 -LRB100 06347 HLH 27908 a

115-401 is a security, the administrator may:
2        (1) make an endorsement, instruction, or entitlement
3    order on behalf of the apparent owner to invoke the duty of
4    the issuer, its transfer agent, or the securities
5    intermediary to transfer the security; or
6        (2) dispose of the security under Section 15-702.
7    (e) If the holder of property reported to the administrator
8under Section 15-401 is the issuer of a certificated security,
9the administrator may obtain a replacement certificate in
10physical or book-entry form under Section 8-405 of the Uniform
11Commercial Code. An indemnity bond is not required.
12    (f) The administrator shall establish procedures for the
13registration, issuance, method of delivery, transfer, and
14maintenance of securities delivered to the administrator by a
15holder.
16    (g) An issuer, holder, and transfer agent or other person
17acting in good faith under this Section under instructions of
18and on behalf of the issuer or holder is not liable to the
19apparent owner for a claim arising with respect to property
20after the property has been delivered to the administrator.
21    (h) A holder is not required to deliver to the
22administrator a security identified by the holder as a
23non-freely transferable security in a report filed under
24Section 15-401. If the administrator or holder determines that
25a security is no longer a non-freely transferable security, the
26holder shall report and deliver the security on the next

 

 

10000SB0009ham003- 60 -LRB100 06347 HLH 27908 a

1regular date prescribed for delivery of securities under this
2Act. The holder shall make a determination annually whether a
3security identified in a report filed under Section 15-401 as a
4non-freely transferable security is no longer a non-freely
5transferable security.
 
6    Section 15-604. Effect of payment or delivery of property
7to administrator.
8    (a) On payment or delivery of property to the administrator
9under this Act, the administrator as agent for the State
10assumes custody and responsibility for safekeeping the
11property. A holder that pays or delivers property to the
12administrator in good faith and substantially complies with
13Sections 15-501 and 15-502 is relieved of all liability which
14thereafter may arise or be made in respect to the property to
15the extent of the value of the property so paid or delivered.
16    (b) If legal proceedings are instituted by any other state
17or states in any state or federal court with respect to
18unclaimed funds or abandoned property previously paid or
19delivered to the administrator, the holder shall give written
20notification to the administrator and the Attorney General of
21this State of such proceedings within 10 days after service of
22process, or in the alternative at least 10 days before the
23return date or date on which an answer or similar pleading is
24due (or any extension thereof secured by the holder). The
25Attorney General may take such action as he or she deems

 

 

10000SB0009ham003- 61 -LRB100 06347 HLH 27908 a

1necessary or expedient to protect the interests of this State.
2The Attorney General by written notice prior to the return date
3or date on which an answer or similar pleading is due (or any
4extension thereof secured by the holder), but in any event in
5reasonably sufficient time for the holder to comply with the
6directions received, shall either direct the holder actively to
7defend in such proceedings or that no defense need be entered
8in such proceedings. If a direction is received from the
9Attorney General that the holder need not make a defense, such
10shall not preclude the holder from entering a defense in its
11own name if it should so choose. However, any defense made by
12the holder on its own initiative shall not entitle the holder
13to reimbursement for legal fees, costs and other expenses as is
14hereinafter provided in respect to defenses made pursuant to
15the directions of the Attorney General. If, after the holder
16has actively defended in such proceedings pursuant to a
17direction of the Attorney General, or has been notified in
18writing by the Attorney General that no defense need be made
19with respect to such funds, a judgment is entered against the
20holder for any amount paid to the administrator under this Act,
21the administrator shall, upon being furnished with proof of
22payment in satisfaction of such judgment, reimburse the holder
23the amount so paid. The administrator shall also reimburse the
24holder for any legal fees, costs and other directly related
25expenses incurred in legal proceedings undertaken pursuant to
26the direction of the Attorney General.
 

 

 

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1    Section 15-605. Recovery of property by holder from
2administrator.
3    (a) A holder that under this Act pays money to the
4administrator may file a claim for reimbursement from the
5administrator of the amount paid if the holder:
6        (1) paid the money in error; or
7        (2) after paying the money to the administrator, paid
8    money to a person the holder reasonably believed entitled
9    to the money.
10    (b) If a claim for reimbursement under subsection (a) is
11made for a payment made on a negotiable instrument, including a
12traveler's check, money order, or similar instrument, the
13holder must submit proof that the instrument was presented and
14payment was made to a person the holder reasonably believed
15entitled to payment. The holder may claim reimbursement even if
16the payment was made to a person whose claim was made after
17expiration of a period of limitation on the owner's right to
18receive or recover property, whether specified by contract,
19statute, or court order.
20    (c) If a holder is reimbursed by the administrator under
21subsection (a)(2), the holder may also recover from the
22administrator income or gain under Section 15-607 that would
23have been paid to the owner if the money had been claimed from
24the administrator by the owner to the extent the income or gain
25was paid by the holder to the owner.

 

 

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1    (d) A holder that under this Act delivers property other
2than money to the administrator may file a claim for return of
3the property from the administrator if:
4        (1) the holder delivered the property in error; or
5        (2) the apparent owner has claimed the property from
6    the holder.
7    (e) If a claim for return of property under subsection (d)
8is made, the holder shall include with the claim evidence
9sufficient to establish that the apparent owner has claimed the
10property from the holder or that the property was delivered by
11the holder to the administrator in error.
12    (f) The administrator may determine that an affidavit
13submitted by a holder is evidence sufficient to establish that
14the holder is entitled to reimbursement or to recover property
15under this Section.
16    (g) A holder is not required to pay a fee or other charge
17for reimbursement or return of property under this Section.
18    (h) Unless extended for reasonable cause, not later than 90
19days after a holder's claim is complete the administrator shall
20allow or deny the claim and give the holder notice in a record
21of the decision. If a holder fails to provide all the
22information and documentation requested by the administrator
23as necessary to establish legal ownership of the property and
24the claim is inactive for at least 90 days, then the
25administrator may close the claim without issuing a final
26decision. However, if the claimant makes a request in writing

 

 

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1for a final decision prior to the administrator's closing of
2the claim, the administrator shall issue a final decision. A
3claim will be considered complete when a holder has provided
4all the information and documentation requested by the
5administrator as necessary to establish legal ownership and
6such information or documentation is entered into the
7administrator's unclaimed property system.
8    (i) The claimant may initiate a proceeding under the
9Illinois Administrative Procedure Act for review of the
10administrator's decision or the deemed denial under subsection
11(h) not later than:
12        (1) 30 days following receipt of the notice of the
13    administrator's decision; or
14        (2) 120 days following the filing of a claim under
15    subsection (a) or (d) in the case of a deemed denial under
16    subsection (h).
 
17    Section 15-606. Property removed from safe-deposit box.
18Property removed from a safe-deposit box and delivered under
19this Act to the administrator under this Act is subject to the
20holder's right to reimbursement for the cost of opening the box
21and a lien or contract providing reimbursement to the holder
22for unpaid rent charges for the box. Upon application by the
23holder, after the sale of the property, and after deducting the
24expense incurred by the administrator in selling the property,
25the administrator shall reimburse the holder from the proceeds

 

 

10000SB0009ham003- 65 -LRB100 06347 HLH 27908 a

1remaining. The administrator shall promulgate administrative
2rules concerning the reimbursement process under this Section.
 
3    Section 15-607. Crediting income or gain to owner's
4account. If property other than money is delivered to the
5administrator, the owner is entitled to receive from the
6administrator income or gain realized or accrued on the
7property before the property is sold. Interest on money is not
8payable to an owner for periods where the property is in the
9possession of the administrator.
 
10    Section 15-608. Administrator's options as to custody.
11    (a) The administrator may decline to take custody of
12property reported under Section 15-401 if the administrator
13determines that:
14        (1) the property has a value less than the estimated
15    expenses of notice and sale of the property; or
16        (2) taking custody of the property would be unlawful.
17    (b) A holder may pay or deliver property to the
18administrator before the property is presumed abandoned under
19this Act if the holder:
20        (1) provides the apparent owner of the property any
21    notice required by Section 15-501 and provides the
22    administrator evidence of the holder's compliance with
23    this paragraph;
24        (2) includes with the payment or delivery a report

 

 

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1    regarding the property conforming to Section 15-402; and
2        (3) first obtains the administrator's consent in a
3    record to accept payment or delivery.
4    (c) A holder's request for the administrator's consent
5under subsection (b)(3) must be in a record. If the
6administrator fails to respond to the request not later than 30
7days after receipt of the request, the administrator is deemed
8to consent to the payment or delivery of the property and the
9payment or delivery is considered to have been made in good
10faith.
11    (d) On payment or delivery of property under subsection
12(b), the property is presumed abandoned.
 
13    Section 15-609. Disposition of property having no
14substantial value; immunity from liability.
15    (a) If the administrator takes custody of property
16delivered under this Act and later determines that the property
17has no substantial commercial value or that the cost of
18disposing of the property will exceed the value of the
19property, the administrator may return the property to the
20holder or destroy or otherwise dispose of the property.
21    (b) An action or proceeding may not be commenced against
22the State, an agency of the State, the administrator, another
23officer, employee, or agent of the State, or a holder for or
24because of an act of the administrator under this Section,
25except for intentional misconduct or malfeasance.
 

 

 

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1    Section 15-610. Periods of limitation and repose.
2    (a) Expiration, before, on, or after the effective date of
3this Act, of a period of limitation on an owner's right to
4receive or recover property, whether specified by contract,
5statute, or court order, does not prevent the property from
6being presumed abandoned or affect the duty of a holder under
7this Act to file a report or pay or deliver property to the
8administrator.
9    (b) An action or proceeding may not be maintained by the
10administrator to enforce this Act in regard to the reporting,
11delivery, or payment of property more than 10 years after the
12holder specifically identified the property in a report filed
13with the administrator or gave express notice to the
14administrator of a dispute regarding the property. In the
15absence of such a report or other express notice, the period of
16limitation is tolled. The period of limitation is also tolled
17by the filing of a report that is fraudulent.
 
18
ARTICLE 7. SALE OF PROPERTY BY ADMINISTRATOR

 
19    Section 15-701. Public sale of property.
20    (a) Subject to Section 15-702, not earlier than 3 years
21after receipt of property presumed abandoned, the
22administrator may sell the property.
23    (b) Before selling property under subsection (a), the

 

 

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1administrator shall give notice to the public of:
2        (1) the date of the sale; and
3        (2) a reasonable description of the property.
4    (c) A sale under subsection (a) must be to the highest
5bidder:
6        (1) at public sale at a location in this State which
7    the administrator determines to be the most favorable
8    market for the property;
9        (2) on the Internet; or
10        (3) on another forum the administrator determines is
11    likely to yield the highest net proceeds of sale.
12    (d) The administrator may decline the highest bid at a sale
13under this Section and reoffer the property for sale if the
14administrator determines the highest bid is insufficient.
15    (e) If a sale held under this Section is to be conducted
16other than on the Internet, the administrator must cause to be
17published at least one notice of the sale, at least 2 weeks but
18not more than 5 weeks before the sale, in a newspaper of
19general circulation in the county in which the property is to
20be sold. For purposes of this subsection, the reasonable
21description of property to be sold required by subsection (b)
22above may be satisfied by posting such information on the
23administrator's website so long as the newspaper notice
24includes the website address where such information is posted.
25    (f) Property eligible for sale will not be sold when a
26claim has been filed with the administrator by an apparent

 

 

10000SB0009ham003- 69 -LRB100 06347 HLH 27908 a

1owner, heir, or agent. However, upon approval of a claim, the
2owner, heir or, agent may request the administrator to dispose
3of the property by sale and remit the net proceeds to the
4owner, heir, or agent. Upon disapproval of the claim, the
5administrator may dispose of the property by sale.
 
6    Section 15-702. Disposal of securities.
7    (a) The administrator may not sell or otherwise liquidate a
8security until 3 years after the administrator receives the
9security and gives the apparent owner notice under Section
1015-503 that the administrator holds the security unless the
11administrator determines it would be in the best interests of
12the owner for the sale to occur prior to the expiration of the
133-year period after the administrator receives the security and
14gives the apparent owner notice under Section 15-503. The
15administrator shall by administrative rule provide examples of
16situations where it would be in the best interests of the owner
17for the sale to occur prior to the expiration of the 3-year
18period.
19    (b) The administrator may not sell a security listed on an
20established stock exchange for less than the price prevailing
21on the exchange at the time of sale. The administrator may sell
22a security not listed on an established exchange by any
23commercially reasonable method.
 
24    Section 15-703. Recovery of securities or value by owner.

 

 

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1    (a) If the administrator sells a security before the
2expiration of 3 years after delivery of the security to the
3administrator, an apparent owner that files a valid claim under
4this Act of ownership of the security before the 3-year period
5expires is entitled, at the option of the owner, to receive:
6        (1) replacement of the security;
7        (2) the market value of the security at the time the
8    claim is filed, plus dividends, interest, and other
9    increments on the security up to the time the claim is
10    paid; or
11        (3) the net proceeds of the sale of the security, plus
12    dividends, interest, and other increments on the security
13    up to the time the security was sold.
14    (b) Replacement of the security or calculation of market
15value under subsection (a) must take into account a stock
16split, reverse stock split, stock dividend, or similar
17corporate action.
18    (c) A person that makes a valid claim under this Act of
19ownership of a security after expiration of 3 years after
20delivery of the security to the administrator is entitled to
21receive:
22        (1) the security the holder delivered to the
23    administrator, if it is in the custody of the
24    administrator, plus dividends, interest, and other
25    increments on the security up to the time the administrator
26    delivers the security to the person; or

 

 

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1        (2) the net proceeds of the sale of the security, plus
2    dividends, interest, and other increments on the security
3    up to the time the security was sold.
4    (d) Securities eligible for sale will not be sold when a
5claim has been filed with the administrator by an apparent
6owner, heir, or agent. However, upon approval of a claim, the
7owner, heir or, agent may request the administrator to dispose
8of the securities by sale and remit the net proceeds to the
9owner, heir, or agent. Upon disapproval of the claim, the
10administrator may dispose of the securities by sale.
 
11    Section 15-704. Purchaser owns property after sale. A
12purchaser of property at a sale conducted by the administrator
13under this Act takes the property free of all claims of the
14owner, a previous holder, or a person claiming through the
15owner or holder. The administrator shall execute documents
16necessary to complete the transfer of ownership to the
17purchaser.
 
18    Section 15-705. Exceptions to the sale of tangible
19property. The administrator shall dispose of tangible property
20identified by this Section in accordance with this Section.
21    (a) Military medals or decorations. The administrator may
22not sell a medal or decoration awarded for military service in
23the armed forces of the United States. Instead, the
24administrator, with the consent of the respective organization

 

 

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1under paragraph (1), agency under paragraph (2), or entity
2under paragraph (3), may deliver a medal or decoration to be
3held in custody for the owner, to:
4        (1) a military veterans organization qualified under
5    Section 501(c)(19) of the Internal Revenue Code;
6        (2) the agency that awarded the medal or decoration; or
7        (3) a governmental entity.
8    After delivery, the administrator is not responsible for
9the safekeeping of the medal or decoration.
10    (b) Property with historical value. Property that the
11administrator reasonably believes may have historical value
12may be, at his or her discretion, loaned to an accredited
13museum in the United States where it will be kept until such
14time as the administrator orders it to be returned to his or
15her custody.
16    (c) Human remains. If human remains are delivered to the
17administrator under this Act, the administrator shall deliver
18those human remains to the coroner of the county in which the
19human remains were abandoned for disposition under Section
203-3034 of the Counties Code. The only human remains that may be
21delivered to the administrator under this Act and that the
22administrator may receive are those that are reported and
23delivered as contents of a safe deposit box.
24    (d) Evidence in a criminal investigation. Property that may
25have been used in the commission of a crime or that may assist
26in the investigation of a crime, as determined after consulting

 

 

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1with the Department of State Police, shall be delivered to the
2Department of State Police or other appropriate law enforcement
3authority to allow law enforcement to determine whether a
4criminal investigation should take place. Any such property
5delivered to a law enforcement authority shall be held in
6accordance with existing statutes and rules related to the
7gathering, retention, and release of evidence.
8    (e) Firearms.
9        (1) The administrator, in cooperation with the
10    Department of State Police, shall develop a procedure to
11    determine whether a firearm delivered to the administrator
12    under this Act has been stolen or used in the commission of
13    a crime. The Department of State Police shall determine the
14    appropriate disposition of a firearm that has been stolen
15    or used in the commission of a crime. The administrator
16    shall attempt to return a firearm that has not been stolen
17    or used in the commission of a crime to the rightful owner
18    if the Department of State Police determines that the owner
19    may lawfully possess the firearm.
20        (2) If the administrator is unable to return a firearm
21    to its owner, the administrator shall transfer custody of
22    the firearm to the Department of State Police. Legal title
23    to a firearm transferred to the Department of State Police
24    under this subsection (e) is vested in the Department of
25    State Police by operation of law if:
26            (i) the administrator cannot locate the owner of

 

 

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1        the firearm;
2            (ii) the owner of the firearm may not lawfully
3        possess the firearm;
4            (iii) the apparent owner does not respond to notice
5        published under Section 15-503 of this Act; or
6            (iv) the apparent owner responds to notice
7        published under Section 15-502 and states that he or
8        she no longer claims an interest in the firearm.
9        (3) With respect to a firearm whose title is
10    transferred to the Department of State Police under this
11    subsection (e), the Department of State Police may:
12                (i) retain the firearm for use by the crime
13            laboratory system, for training purposes, or for
14            any other application as deemed appropriate by the
15            Department;
16                (ii) transfer the firearm to the Illinois
17            State Museum if the firearm has historical value;
18            or
19                (iii) destroy the firearm if it is not retained
20            pursuant to subparagraph (i) or transferred
21            pursuant to subparagraph (ii).
22    As used in this subsection, "firearm" has the meaning
23provided in the Firearm Owners Identification Card Act.
 
24
ARTICLE 8. ADMINISTRATION OF PROPERTY

 

 

 

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1    Section 15-801. Deposit of funds by administrator.
2    (a) Except as otherwise provided in this Section, the
3administrator shall deposit in the Unclaimed Property Trust
4Fund all funds received under this Act, including proceeds from
5the sale of property under Article 7. The administrator may
6deposit any amount in the Unclaimed Property Trust Fund into
7the State Pensions Fund during the fiscal year at his or her
8discretion; however, he or she shall, on April 15 and October
915 of each year, deposit any amount in the Unclaimed Property
10Trust Fund exceeding $2,500,000 into the State Pensions Fund.
11If on either April 15 or October 15, the administrator
12determines that a balance of $2,500,000 is insufficient for the
13prompt payment of unclaimed property claims authorized under
14this Act, the administrator may retain more than $2,500,000 in
15the Unclaimed Property Trust Fund in order to ensure the prompt
16payment of claims. Beginning in State fiscal year 2018, all
17amounts that are deposited into the State Pensions Fund from
18the Unclaimed Property Trust Fund shall be apportioned to the
19designated retirement systems as provided in subsection (c-6)
20of Section 8.12 of the State Finance Act to reduce their
21actuarial reserve deficiencies.
22    (b) The administrator shall make prompt payment of claims
23he or she duly allows as provided for in this Act from the
24Unclaimed Property Trust Fund. This shall constitute an
25irrevocable and continuing appropriation of all amounts in the
26Unclaimed Property Trust Fund necessary to make prompt payment

 

 

10000SB0009ham003- 76 -LRB100 06347 HLH 27908 a

1of claims duly allowed by the administrator pursuant to this
2Act.
 
3    Section 15-802. Administrator to retain records of
4property. The administrator shall:
5        (1) record and retain the name and last-known address
6    of each person shown on a report filed under Section 15-401
7    to be the apparent owner of property delivered to the
8    administrator;
9        (2) record and retain the name and last-known address
10    of each insured or annuitant and beneficiary shown on the
11    report;
12        (3) for each policy of insurance or annuity contract
13    listed in the report of an insurance company, record and
14    retain the policy or account number, the name of the
15    company, and the amount due or paid shown on the report;
16        (4) for each apparent owner listed in the report,
17    record and retain the name of the holder that filed the
18    report and the amount due or paid; and
19        (5) maintain records sufficient to indicate the filing
20    of reports required under Section 15-401 and the payment or
21    delivery of property to the administrator under Section
22    15-603.
23    Records created or maintained pursuant to this Section are
24subject to the requirements of the Illinois State Records Act.
 

 

 

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1    Section 15-803. Expenses and service charges of
2administrator. Before making a deposit of funds received under
3this Act to the Unclaimed Property Trust Fund, the
4administrator may deduct expenses incurred in examining
5records of or collecting property from a putative holder or
6holder as provided in the State Officers and Employees Money
7Disposition Act.
 
8    Section 15-804. Administrator holds property as custodian
9for owner. Upon the payment or delivery of abandoned property
10to the administrator, the State shall assume custody and shall
11be responsible for the safekeeping thereof.
 
12
ARTICLE 9. CLAIM TO RECOVER PROPERTY FROM ADMINISTRATOR

 
13    Section 15-901. Claim of another state to recover property.
14    (a) If the administrator knows that property held by the
15administrator under this Act is subject to a superior claim of
16another state, the administrator shall:
17        (1) report and pay or deliver the property to the other
18    state; or
19        (2) return the property to the holder so that the
20    holder may pay or deliver the property to the other state.
21    (b) The administrator is not required to enter into an
22agreement to transfer property to the other state under
23subsection (a).
 

 

 

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1    Section 15-902. Property subject to recovery by another
2state.
3    (a) Property held under this Act by the administrator is
4subject to the right of another state to take custody of the
5property if:
6        (1) the property was paid or delivered to the
7    administrator because the records of the holder did not
8    reflect a last-known address in the other state of the
9    apparent owner and:
10            (A) the other state establishes that the
11        last-known address of the apparent owner or other
12        person entitled to the property was in the other state;
13        or
14            (B) under the law of the other state, the property
15        has become subject to a claim by the other state of
16        abandonment;
17        (2) the records of the holder did not accurately
18    identify the owner of the property, the last-known address
19    of the owner was in another state, and, under the law of
20    the other state, the property has become subject to a claim
21    by the other state of abandonment;
22        (3) the property was subject to the custody of the
23    administrator of this State under Section 15-305 and, under
24    the law of the state of domicile of the holder, the
25    property has become subject to a claim by the state of

 

 

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1    domicile of the holder of abandonment; or
2        (4) the property:
3            (A) is a sum payable on a traveler's check, money
4        order, or similar instrument that was purchased in the
5        other state and delivered to the administrator under
6        Section 15-306; and
7            (B) under the law of the other state, has become
8        subject to a claim by the other state of abandonment.
9    (b) A claim by another state to recover property under this
10Section must be presented in a form prescribed by the
11administrator, unless the administrator waives presentation of
12the form.
13    (c) The administrator shall decide a claim under this
14Section not later than 90 days after it is presented. If the
15administrator determines that the other state is entitled under
16subsection (a) to custody of the property, the administrator
17shall allow the claim and pay or deliver the property to the
18other state.
19    (d) The administrator may require another state, before
20recovering property under this Section, to agree to indemnify
21this State and its agents, officers and employees against any
22liability on a claim to the property.
 
23    Section 15-903. Claim for property by person claiming to be
24owner.
25    (a) A person claiming to be the owner of property held

 

 

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1under this Act by the administrator or to the proceeds from the
2sale thereof may file a claim for the property on a form
3prescribed by the administrator. The claimant must verify the
4claim as to its completeness and accuracy.
5    (b) The administrator may waive the requirement in
6subsection (a) and may pay or deliver property directly to a
7person if:
8        (1) the person receiving the property or payment is
9    shown to be the apparent owner included on a report filed
10    under Section 15-401;
11        (2) the administrator reasonably believes the person
12    is entitled to receive the property or payment; and
13        (3) the property has a value of less than $500.
14    (c) The administrator may change the maximum value in
15subsection (b) by administrative rule.
 
16    Section 15-904. When administrator must honor claim for
17property.
18    (a) The administrator shall pay or deliver property to a
19claimant under subsection (a) of Section 15-903 if the
20administrator receives evidence sufficient to establish to the
21satisfaction of the administrator that the claimant is the
22owner of the property.
23    (b) A claim will be considered complete when a claimant has
24provided all the information and documentation requested by the
25administrator as necessary to establish legal ownership and

 

 

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1such information or documentation is entered into the
2administrator's unclaimed property system. Unless extended for
3reasonable cause, not later than 90 days after a claim is
4complete the administrator shall allow or deny the claim and
5give the claimant notice in a record of the decision. If a
6claimant fails to provide all the information and documentation
7requested by the administrator as necessary to establish legal
8ownership of the property and the claim is inactive for at
9least 90 days, then the administrator may close the claim
10without issuing a final decision. However, if the claimant
11makes a request in writing for a final decision prior to the
12administrator's closing of the claim, the administrator shall
13issue a final decision.
14    (c) If the claim is denied or there is insufficient
15evidence to allow the claim under subsection (b):
16        (1) the administrator shall inform the claimant of the
17    reason for the denial and may specify what additional
18    evidence, if any, is required for the claim to be allowed;
19        (2) the claimant may file an amended claim with the
20    administrator or commence an action under Section 15-906;
21    and
22        (3) the administrator shall consider an amended claim
23    filed under paragraph (2) as an initial claim.
 
24    Section 15-905. Allowance of claim for property.
25    (a) The administrator shall pay or deliver to the owner the

 

 

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1property or pay to the owner the net proceeds of a sale of the
2property, together with income or gain to which the owner is
3entitled under Section 15-607. On request of the owner, the
4administrator may sell or liquidate property and pay the net
5proceeds to the owner, even if the property had been held by
6the administrator for less than 3 years or the administrator
7has not complied with the notice requirements under Section
815-503.
9    (b) Property held under this Act by the administrator is
10subject to offset under Section 10.05 of the State Comptroller
11Act.
 
12    Section 15-906. Action by person whose claim is denied. Not
13later than one year after filing a claim under subsection (a)
14of Section 15-903, the claimant may commence a contested case
15pursuant to the Illinois Administrative Procedure Act to
16establish a claim by the preponderance of the evidence after
17either receiving notice under subsection (b) of Section 15-903
18or the claim is deemed denied under subsection (d) of Section
1915-903.
 
20
ARTICLE 10. VERIFIED REPORT OF PROPERTY; EXAMINATION OF RECORDS

 
21    Section 15-1001. Verified report of property. If a person
22does not file a report required by Section 15-401 or the
23administrator believes that a person may have filed an

 

 

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1inaccurate, incomplete, or false report, the administrator may
2require the person to file a verified report in a form
3prescribed by the administrator. The verified report must:
4        (1) state whether the person is holding property
5    reportable under this Act;
6        (2) describe property not previously reported or about
7    which the administrator has inquired;
8        (3) specifically identify property described under
9    paragraph (2) about which there is a dispute whether it is
10    reportable under this Act; and
11        (4) state the amount or value of the property.
 
12    Section 15-1002. Examination of records to determine
13compliance. The administrator, at reasonable times and on
14reasonable notice, may:
15        (1) examine the records of any person to determine
16    whether the person has complied with this Act even if the
17    person believes it is not in possession of any property
18    that must be reported, paid, or delivered under this Act;
19        (2) issue an administrative subpoena requiring the
20    person or agent of the person to make records available for
21    examination; and
22        (3) bring an action seeking judicial enforcement of the
23    subpoena.
 
24    Section 15-1002.1. Examination of State-regulated

 

 

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1financial institutions.
2    (a) Notwithstanding Section 15-1002 of this Act, for any
3financial organization for which the Department of Financial
4and Professional Regulation is the primary prudential
5regulator, the administrator shall not examine such financial
6institution unless the administrator has consulted with the
7Secretary of Financial and Professional Regulation and the
8Department of Financial and Professional Regulation has not
9examined such financial organization for compliance with this
10Act within the past 5 years. The Secretary of Financial and
11Professional Regulation may waive in writing the provisions of
12this subsection (a) in order to permit the administrator to
13examine a financial organization or group of financial
14organizations for compliance with this Act.
15    (b) Nothing in this Section shall be construed to prohibit
16the administrator from examining a financial organization for
17which the Department of Financial and Professional Regulation
18is not the primary prudential regulator. Further, nothing is
19this Act shall be construed to limit the authority of the
20Department of Financial and Professional Regulation to examine
21financial organizations.
 
22    Section 15-1003. Rules for conducting examination.
23    (a) The administrator shall adopt rules governing
24procedures and standards for an examination under Section
2515-1002; the rules may reference any standards concerning

 

 

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1unclaimed property examinations promulgated by the National
2Association of Unclaimed Property Administrators and shall
3make provisions for multi-state examinations.
4    (b) After the adoption of rules under subsection (a), an
5examination under Section 15-1002 must be performed under the
6rules adopted under subsection (a).
7    (c) If a person subject to examination under Section
815-1002 has filed the reports required under Section 15-401 and
9Section 15-1001 and has retained the records required by
10Section 15-404, the following rules apply:
11        (1) The examination must include a review of the
12    person's records.
13        (2) The examination may not be based on an estimate
14    unless the person expressly consents in a record to the use
15    of an estimate.
16        (3) The person conducting the examination shall
17    consider the evidence presented in good faith by the person
18    in preparing the findings of the examination under Section
19    15-1007.
 
20    Section 15-1004. Records obtained in examination. Records
21obtained and records, including work papers, compiled by the
22administrator in the course of conducting an examination under
23Section 15-1002:
24        (1) are subject to the confidentiality and security
25    provisions of Article 14 and are exempt from disclosure

 

 

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1    under the Freedom of Information Act;
2        (2) may be used by the administrator in an action to
3    collect property or otherwise enforce this Act;
4        (3) may be used in a joint examination conducted with
5    another state, the United States, a foreign country or
6    subordinate unit of a foreign country, or any other
7    governmental entity if the governmental entity conducting
8    the examination is legally bound to maintain the
9    confidentiality and security of information obtained from
10    a person subject to examination in a manner substantially
11    equivalent to Article 14;
12        (4) may be disclosed, on request, to the person that
13    administers the unclaimed property law of another state for
14    that state's use in circumstances equivalent to
15    circumstances described in this Article, if the other state
16    is required to maintain the confidentiality and security of
17    information obtained in a manner substantially equivalent
18    to Article 14;
19        (5) must be produced by the administrator under an
20    administrative or judicial subpoena or administrative or
21    court order; and
22        (6) must be produced by the administrator on request of
23    the person subject to the examination in an administrative
24    or judicial proceeding relating to the property.
 
25    Section 15-1005. Evidence of unpaid debt or undischarged

 

 

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1obligation.
2    (a) A record of a putative holder showing an unpaid debt or
3undischarged obligation is prima facie evidence of the debt or
4obligation.
5    (b) A putative holder may establish by a preponderance of
6the evidence that there is no unpaid debt or undischarged
7obligation for a debt or obligation described in subsection (a)
8or that the debt or obligation was not, or no longer is, a
9fixed and certain obligation of the putative holder.
10    (c) A putative holder may overcome prima facie evidence
11under subsection (a) by establishing by a preponderance of the
12evidence that a check, draft, or similar instrument was:
13        (1) issued as an unaccepted offer in settlement of an
14    unliquidated amount;
15        (2) issued but later was replaced with another
16    instrument because the earlier instrument was lost or
17    contained an error that was corrected;
18        (3) issued to a party affiliated with the issuer;
19        (4) paid, satisfied, or discharged;
20        (5) issued in error;
21        (6) issued without consideration;
22        (7) issued but there was a failure of consideration;
23        (8) voided not later than 90 days after issuance for a
24    valid business reason set forth in a contemporaneous
25    record; or
26        (9) issued but not delivered to the third-party payee

 

 

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1    for a sufficient reason recorded within a reasonable time
2    after issuance.
3    (d) In asserting a defense under this Section, and subject
4to the records retention requirements of Section 15-404, a
5putative holder may present evidence of a course of dealing
6between the putative holder and the apparent owner.
 
7    Section 15-1006. Failure of person examined to retain
8records. If a person subject to examination under Section
915-1002 does not retain the records required by Section 15-404,
10the administrator may determine the value of property due using
11a reasonable method of estimation based on all information
12available to the administrator, including extrapolation and
13use of statistical sampling when appropriate and necessary,
14consistent with examination procedures and standards adopted
15under Section 15-1003. A payment made based on estimation under
16this Section is a penalty for failure to maintain the records
17required by Section 15-404 and does not relieve a person from
18an obligation to report and deliver property to a State in
19which the holder is domiciled.
 
20    Section 15-1007. Report to person whose records were
21examined. At the conclusion of an examination under Section
2215-1002, unless waived in writing by the person being examined,
23the administrator shall provide to the person whose records
24were examined a report that specifies:

 

 

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1        (1) the work performed;
2        (2) the property types reviewed;
3        (3) the methodology of any estimation technique,
4    extrapolation, or statistical sampling used in conducting
5    the examination;
6        (4) each calculation showing the value of property
7    determined to be due; and
8        (5) the findings of the person conducting the
9    examination.
 
10    Section 15-1008. Informal conference during examination.
11    (a) If a person subject to examination under Section
1215-1002 believes the person conducting the examination has made
13an unreasonable or unauthorized request or is not proceeding
14expeditiously to complete the examination, the person in a
15record may request an informal conference with the
16administrator.
17    (b) If a person in a record requests an informal conference
18with the administrator, the administrator shall hold the
19informal conference not later than 30 days after receiving the
20request. For good cause, and after notice in a record to the
21person requesting an informal conference, the administrator
22may extend the time for the holding of an informal conference.
23The administrator may hold the informal conference in person,
24by telephone, or by electronic means.
25    (c) If an informal conference is held under subsection (b),

 

 

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1not later than 30 days after the conference ends, the
2administrator shall provide a response to the person that
3requested the conference.
4    (d) The administrator may deny a request for an informal
5conference under this Section if the administrator reasonably
6believes that the request was made in bad faith or primarily to
7delay the examination. If the administrator denies a request
8for an informal conference the denial shall be in a record
9provided to the person requesting the informal conference.
 
10    Section 15-1009. Administrator's contract with another to
11conduct examination.
12    (a) The administrator may contract with a person to conduct
13an examination under this Article. The contract shall be
14awarded pursuant to a request for proposals issued in
15compliance with the procurement rules of the administrator.
16    (b) If the administrator contracts with a person under
17subsection (a):
18        (1) the contract may provide for compensation of the
19    person based on a fixed fee, hourly fee, or contingent fee;
20        (2) a contingent fee arrangement may not provide for a
21    payment that exceeds 15% of the amount or value of property
22    paid or delivered as a result of the examination; and
23        (3) as authorized in the State Officers and Employees
24    Money Disposition Act, the administrator may permit the
25    deduction of fees from property recovered during an

 

 

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1    examination under this Article prior to depositing funds
2    received under this Act into the Unclaimed Property Trust
3    Fund.
4    (c) A contract under subsection (a) is a public record
5under the Freedom of Information Act.
 
6    Section 15-1010. Report by administrator. As part of the
7report required by Section 15 of the State Treasurer Act, the
8administrator shall compile and include the following
9information about property presumed abandoned for the
10preceding fiscal year for the State:
11        (1) the total amount and value of all property paid or
12    delivered under this Act to the administrator, separated
13    into:
14            (A) the part voluntarily paid or delivered; and
15            (B) the part paid or delivered as a result of an
16        examination under Section 15-1002;
17        (2) the total amount and value of all property paid or
18    delivered by the administrator to persons that made claims
19    for property held by the administrator under this Act;
20        (3) the amounts expended from the State Pensions Fund;
21    and
22        (4) such other information as the administrator
23    believes would be useful or informative.
 
24    Section 15-1011. Determination of liability for unreported

 

 

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1reportable property. If the administrator determines from an
2examination conducted under Section 15-1002 that a putative
3holder failed or refused to pay or deliver to the administrator
4property which is reportable under this Act, the administrator
5shall issue a determination of the putative holder's liability
6to pay or deliver and give notice in a record to the putative
7holder of the determination.
 
8
ARTICLE 11. DETERMINATION OF LIABILITY; PUTATIVE HOLDER
9
REMEDIES

 
10    Section 15-1101. Informal conference.
11    (a) Not later than 30 days after receipt of a notice under
12Section 15-1011, the putative holder may request an informal
13conference with the administrator to review the determination.
14Except as otherwise provided in this Section, the administrator
15may designate an employee to act on behalf of the
16administrator.
17    (b) If a putative holder makes a timely request under
18subsection (a) for an informal conference:
19        (1) not later than 30 days after the date of the
20    request, the administrator shall set the time and place of
21    the conference;
22        (2) the administrator shall give the putative holder
23    notice in a record of the time and place of the conference;
24        (3) the conference may be held in person, by telephone,

 

 

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1    or by electronic means, as determined by the administrator;
2        (4) the request tolls the 90-day period under Sections
3    15-1103 and 15-1104 until notice of a decision under
4    paragraph (7) has been given to the putative holder or the
5    putative holder withdraws the request for the conference;
6        (5) the conference may be postponed, adjourned, and
7    reconvened as the administrator determines appropriate;
8        (6) the administrator or administrator's designee with
9    the approval of the administrator may modify a
10    determination made under Section 15-1011 or withdraw it;
11    and
12        (7) the administrator shall issue a decision in a
13    record and provide a copy of the record to the putative
14    holder and examiner not later than 30 days after the
15    conference ends.
16    (c) A conference under subsection (b) is not an
17administrative remedy and is not a contested case subject to
18the Illinois Administrative Procedure Act. An oath is not
19required and rules of evidence do not apply in the conference.
20    (d) At a conference under subsection (b), the putative
21holder must be given an opportunity to confer informally with
22the administrator and the person that examined the records of
23the putative holder to:
24        (1) discuss the determination made under Section
25    15-1011; and
26        (2) present any issue concerning the validity of the

 

 

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1    determination.
2    (e) If the administrator fails to act within the period
3prescribed in subsection (b)(1) or (7), the failure does not
4affect a right of the administrator, except that interest does
5not accrue on the amount for which the putative holder was
6determined to be liable under Section 15-1011 during the period
7in which the administrator failed to act until the earlier of:
8        (1) the date under Section 15-1103 the putative holder
9    initiates administrative review or files an action under
10    Section 15-1104; or
11        (2) 90 days after the putative holder received notice
12    of the administrator's determination under Section 15-1011
13    if no review was initiated under Section 15-1103 and no
14    action was filed under Section 15-1104.
15    (f) The administrator may hold an informal conference with
16a putative holder about a determination under Section 15-1011
17without a request at any time before the putative holder
18initiates administrative review under Section 15-1102.
19    (g) Interest and penalties under Section 15-1204 continue
20to accrue on property not reported, paid, or delivered as
21required by this Act after the initiation, and during the
22pendency, of an informal conference under this Section.
 
23    Section 15-1102. Administrative review.
24    (a) Not later than 90 days after receiving notice of the
25administrator's determination under Section 15-1011, or, if

 

 

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1applicable and as provided in Section 15-1101(b)(4), after
2notice of a decision under 15-1101(b)(7) has been given to the
3putative holder or the putative holder has withdrawn the
4request for an informal conference, a putative holder may
5initiate a contested case under the Illinois Administrative
6Procedure Act for review of the administrator's determination.
7    (b) A final decision in an administrative proceeding
8initiated under subsection (a) is subject to judicial review
9under the Article III of Code of Civil Procedure.
 
10
ARTICLE 12. ENFORCEMENT BY ADMINISTRATOR

 
11    Section 15-1201. Judicial action to enforce liability.
12    (a) If a determination under Section 15-1011 becomes final
13and is not subject to administrative or judicial review, the
14administrator may commence an action in the Circuit Court of
15Sangamon County or Cook County, federal court, or in an
16appropriate court of another state to enforce the determination
17and secure payment or delivery of past due, unpaid, or
18undelivered property. The action must be brought not later than
195 years after the determination becomes final.
20    (b) In an action under subsection (a), if no court in this
21State has jurisdiction over the defendant, the administrator
22may commence an action in any court having jurisdiction over
23the defendant.
 

 

 

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1    Section 15-1202. Interstate and international agreement;
2cooperation.
3    (a) Subject to subsection (b), the administrator may:
4        (1) exchange information with another state or foreign
5    country relating to property presumed abandoned or
6    relating to the possible existence of property presumed
7    abandoned; and
8        (2) authorize in a record another state or foreign
9    country or a person acting on behalf of the other state or
10    country to examine its records of a putative holder as
11    provided in Article 10.
12    (b) An exchange or examination under subsection (a) may be
13done only if the state or foreign country has confidentiality
14and security requirements substantially equivalent to those in
15Article 14 or agrees in a record to be bound by this State's
16confidentiality and security requirements.
 
17    Section 15-1203. Action involving another state or foreign
18country.
19    (a) The administrator may join another state or foreign
20country to examine and seek enforcement of this Act against a
21putative holder.
22    (b) On request of another state or foreign country, the
23Attorney General may commence an action on behalf of the other
24state or country to enforce, in this State, the law of the
25other state or country against a putative holder subject to a

 

 

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1claim by the other state or country.
2    (c) The administrator may request the official authorized
3to enforce the unclaimed property law of another state or
4foreign country to commence an action to recover property in
5the other state or country on behalf of the administrator. This
6state may pay the costs, including reasonable attorney's fees
7and expenses, incurred by the other state or foreign country in
8an action under this subsection.
9    (d) The administrator may pursue an action on behalf of
10this State to recover property subject to this Act but
11delivered to the custody of another state if the administrator
12believes the property is subject to the custody of the
13administrator.
14    (e) At the request of the administrator, the Attorney
15General may commence an action to recover property on behalf of
16the administrator in this State, another state, or a foreign
17country. With the written consent of the Attorney General, the
18administrator may retain an attorney in this State, another
19state, or a foreign country to recover property on behalf of
20the administrator in this State, another state, or a foreign
21country and may agree to pay attorney's fees based in whole or
22in part on a fixed fee, hourly fee, or a percentage of the
23amounts or value of property recovered in the action.
24    (f) Expenses incurred by this State in an action under this
25Section may be paid from property received under this Act or
26the net proceeds of the property. Expenses paid to recover

 

 

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1property may not be deducted from the amount that is subject to
2a claim under this Act by the owner.
 
3    Section 15-1204. Interest and penalty for failure to act in
4timely manner.
5    (a) A holder that fails to report, pay, or deliver property
6within the time prescribed by this Act shall pay to the
7administrator interest at a rate of 1% per month on the
8property or value of the property from the date the property
9should have been reported, paid, or delivered to the
10administrator until the date reported, paid, or delivered.
11    (b) Except as otherwise provided in Section 15-1 or
1215-1206, the administrator may require a holder that fails to
13report, pay, or deliver property within the time prescribed by
14this Act to pay to the administrator, in addition to interest
15included under subsection (a), a civil penalty of $200 for each
16day the duty is not performed, up to a cumulative maximum
17amount of $5,000.
18    (c) A holder who fails to report, pay, or deliver property
19within the time prescribed by this Act shall not be required to
20pay interest under subsection (a) above or be subject to
21penalties under subsection (b) above if the failure to report,
22pay, or deliver the property was due to lack of knowledge of
23the death that established the period of abandonment under this
24Act.
 

 

 

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1    Section 15-1205. Other civil penalties.
2    (a) If a holder enters into a contract or other arrangement
3for the purpose of evading an obligation under this Act or
4otherwise willfully fails to perform a duty imposed on the
5holder under this Act, the administrator may require the holder
6to pay the administrator, in addition to interest as provided
7in subsection (a) of Section 15-1204, a civil penalty of $1,000
8for each day the obligation is evaded or the duty is not
9performed, up to a cumulative maximum amount of $25,000, plus
1025% of the amount or value of property that should have been
11but was not reported, paid, or delivered as a result of the
12evasion or failure to perform.
13    (b) If a holder makes a fraudulent report under this Act,
14the administrator may require the holder to pay to the
15administrator, in addition to interest under subsection (a) of
16Section 15-1204, a civil penalty of $1,000 for each day from
17the date the report was made until corrected, up to a
18cumulative maximum of $25,000, plus 25% of the amount or value
19of any property that should have been reported but was not
20included in the report or was underreported.
 
21    Section 15-1206. Waiver of interest and penalty. The
22administrator:
23        (1) may waive, in whole or in part, interest under
24    subsection (a) of Section 15-1204 and penalties under
25    subsection (b) of Section 15-1204 or Section 15-1; and

 

 

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1        (2) shall waive a penalty under subsection (b) of
2    Section 15-1204 if the administrator determines that the
3    holder acted in good faith and without negligence.
 
4
ARTICLE 13. AGREEMENT TO LOCATE PROPERTY OF APPARENT OWNER HELD
5
BY ADMINISTRATOR

 
6    Section 15-1301. When agreement to locate property
7enforceable. An agreement by an apparent owner and another
8person, the primary purpose of which is to locate, deliver,
9recover, or assist in the location, delivery, or recovery of
10property held by the administrator, is enforceable only if the
11agreement:
12        (1) is in a record that clearly states the nature of
13    the property and the services to be provided;
14        (2) is signed by or on behalf of the apparent owner;
15    and
16        (3) states the amount or value of the property
17    reasonably expected to be recovered, computed before and
18    after a fee or other compensation to be paid to the person
19    has been deducted.
 
20    Section 15-1302. When agreement to locate property void.
21    (a) Subject to subsection (b), an agreement under Section
2215-1301 is void if it is entered into during the period
23beginning on the date the property was presumed abandoned under

 

 

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1this Act and ending 24 months after the payment or delivery of
2the property to the administrator.
3    (b) If a provision in an agreement described in Section
415-1301 applies to mineral proceeds for which compensation is
5to be paid to the other person based in whole or in part on a
6part of the underlying minerals or mineral proceeds not then
7presumed abandoned, the provision is void regardless of when
8the agreement was entered into.
9    (c) An agreement under subsection (a) which provides for
10compensation in an amount that is more than 10% of the amount
11collected is unenforceable except by the apparent owner.
12    (d) An apparent owner or the administrator may assert that
13an agreement described in this Section is void on a ground
14other than it provides for payment of unconscionable
15compensation.
16    (e) A person attempting to collect a contingent fee for
17discovering, on behalf of an apparent owner, presumptively
18abandoned property must be licensed as a private detective
19pursuant to the Private Detective, Private Alarm, Private
20Security, Fingerprint Vendor, and Locksmith Act of 2004.
21    (f) This Section does not apply to an apparent owner's
22agreement with an attorney to pursue a claim for recovery of
23specifically identified property held by the administrator or
24to contest the administrator's denial of a claim for recovery
25of the property.
 

 

 

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1
ARTICLE 14. CONFIDENTIALITY AND SECURITY OF INFORMATION

 
2    Section 15-1401. Confidential information.
3    (a) Except as otherwise provide in this Section,
4information that is confidential under law of this State other
5than this Act, another state, or the United States, including
6"private information" as defined in the Freedom of Information
7Act and "personal information" as defined in the Personal
8Information Protection Act, continues to be confidential when
9disclosed or delivered under this Act to the administrator or
10administrator's agent.
11    (b) Information provided in reports filed pursuant to
12Section 15-401, information obtained in the course of an
13examination pursuant to Section 15-1002, and the database
14required by Section 15-503 is exempt from disclosure under the
15Freedom of Information Act.
16    (c) If reasonably necessary to enforce or implement this
17Act, the administrator or the administrator's agent may
18disclose confidential information concerning property held by
19the administrator or the administrator's agent to:
20        (1) an apparent owner or the apparent owner's
21    representative under the Probate Act of 1975, attorney,
22    other legal representative, or relative;
23        (2) the representative under the Probate Act of 1975,
24    other legal representative, relative of a deceased
25    apparent owner, or a person entitled to inherit from the

 

 

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1    deceased apparent owner;
2        (3) another department or agency of this State or the
3    United States;
4        (4) the person that administers the unclaimed property
5    law of another state, if the other state accords
6    substantially reciprocal privileges to the administrator
7    of this State if the other state is required to maintain
8    the confidentiality and security of information obtained
9    in a manner substantially equivalent to Article 14;
10        (5) a person subject to an examination as required by
11    Section 15-1004; and
12        (6) an agent of the administrator.
13    (b) The administrator may include on the website or in the
14database the names and addresses of apparent owners of property
15held by the administrator as provided in Section 15-503. The
16administrator may include in published notices, printed
17publications, telecommunications, the Internet, or other media
18and on the website or in the database additional information
19concerning the apparent owner's property if the administrator
20believes the information will assist in identifying and
21returning property to the owner and does not disclose personal
22information as defined in the Personal Information Protection
23Act.
24    (c) The administrator and the administrator's agent may not
25use confidential information provided to them or in their
26possession except as expressly authorized by this Act or

 

 

10000SB0009ham003- 104 -LRB100 06347 HLH 27908 a

1required by law other than this Act.
 
2    Section 15-1402. Confidentiality agreement. A person to be
3examined under Section 15-1002 may require, as a condition of
4disclosure of the records of the person to be examined, that
5the administrator or the administrator's agent execute and
6deliver to the person to be examined a confidentiality
7agreement that:
8        (1) is in a form that is reasonably satisfactory to the
9    administrator; and
10        (2) requires the person having access to the records to
11    comply with the provisions of this Article applicable to
12    the person.
 
13    Section 15-1403. No confidential information in notice.
14Except as otherwise provided in Sections 15-501 and 15-502, a
15holder is not required under this Act to include confidential
16information in a notice the holder is required to provide to an
17apparent owner under this Act.
 
18    Section 15-1404. Security of information.
19    (a) If a holder is required to include confidential
20information in a report to the administrator, the information
21must be provided by a secure means.
22    (b) If confidential information in a record is provided to
23and maintained by the administrator or administrator's agent as

 

 

10000SB0009ham003- 105 -LRB100 06347 HLH 27908 a

1required by this Act, the administrator or agent shall
2implement and maintain reasonable security measures to protect
3those records from unauthorized access, acquisition,
4destruction, use, modification, or disclosure as required by
5the Personal Information Protection Act. If a State or federal
6law requires the administrator or agent to provide greater
7protection to records that contain personal information that
8are maintained by the administrator or agent and the
9administrator or agent is in compliance with the provisions of
10that State or federal law, the administrator or agent is deemed
11to be in compliance with the provisions of this subsection.
12    (c) If there is any breach of the security of the system
13data or written material, the administrator and the
14administrator's agent shall comply with the notice
15requirements of Section 12 of the Personal Information
16Protection Act, and shall, if applicable, cooperate with a
17holder in complying with the notice requirements of Section 10
18of the Personal Information Protection Act.
19    (d) The administrator and the administrator's agent shall
20either return in a secure manner or destroy in a manner
21consistent with the Personal Information Protection Act all
22confidential information no longer reasonably needed under
23this Act.
 
24
ARTICLE 15. MISCELLANEOUS

 

 

 

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1    Section 15-1501. Uniformity of application and
2construction. In applying and construing this uniform Act
3consideration must be given to the need to promote uniformity
4of the law with respect to its subject matter among states that
5enact it.
 
6    Section 15-1502. Relation to Electronic Signatures in
7Global and National Commerce Act. This Act modifies, limits, or
8supersedes the Electronic Signatures in Global and National
9Commerce Act, 15 U.S.C. Section 7001 et seq., but does not
10modify, limit, or supersede Section 101(c) of that Act, 15
11U.S.C. Section 7001(c), or authorize electronic delivery of any
12of the notices described in Section 103(b) of that Act, 15
13U.S.C. Section 7003(b).
 
14    Section 15-1503. Transitional provision.
15    (a) An initial report filed under this Act for property
16that was not required to be reported before the effective date
17of this Act, but that is required to be reported under this
18Act, must include all items of property that would have been
19presumed abandoned during the 5-year period preceding the
20effective date of this Act as if this Act had been in effect
21during that period.
22    (b) This Act does not relieve a holder of a duty that arose
23before the effective date of this Act to report, pay, or
24deliver property. Subject to subsection (b) of Section 15-610,

 

 

10000SB0009ham003- 107 -LRB100 06347 HLH 27908 a

1a holder that did not comply with the law governing unclaimed
2property before the effective date of this Act is subject to
3applicable provisions for enforcement and penalties in effect
4before the effective date of this Act.
 
5    Section 15-1504. Severability. If any provision of this Act
6or its application to any person or circumstance is held
7invalid, the invalidity does not affect other provisions or
8applications of this Act which can be given effect without the
9invalid provision or application, and to this end the
10provisions of this Act are severable.
 
11
ARTICLE 17. AMENDATORY PROVISIONS; UNCLAIMED PROPERTY

 
12    (765 ILCS 1025/Act rep.)
13    Section 17-5. The Uniform Disposition of Unclaimed
14Property Act is repealed.
 
15    Section 17-10. The Illinois Administrative Procedure Act
16is amended by changing Section 1-5 as follows:
 
17    (5 ILCS 100/1-5)  (from Ch. 127, par. 1001-5)
18    Sec. 1-5. Applicability.
19    (a) This Act applies to every agency as defined in this
20Act. Beginning January 1, 1978, in case of conflict between the
21provisions of this Act and the Act creating or conferring power

 

 

10000SB0009ham003- 108 -LRB100 06347 HLH 27908 a

1on an agency, this Act shall control. If, however, an agency
2(or its predecessor in the case of an agency that has been
3consolidated or reorganized) has existing procedures on July 1,
41977, specifically for contested cases or licensing, those
5existing provisions control, except that this exception
6respecting contested cases and licensing does not apply if the
7Act creating or conferring power on the agency adopts by
8express reference the provisions of this Act. Where the Act
9creating or conferring power on an agency establishes
10administrative procedures not covered by this Act, those
11procedures shall remain in effect.
12    (b) The provisions of this Act do not apply to (i)
13preliminary hearings, investigations, or practices where no
14final determinations affecting State funding are made by the
15State Board of Education, (ii) legal opinions issued under
16Section 2-3.7 of the School Code, (iii) as to State colleges
17and universities, their disciplinary and grievance
18proceedings, academic irregularity and capricious grading
19proceedings, and admission standards and procedures, and (iv)
20the class specifications for positions and individual position
21descriptions prepared and maintained under the Personnel Code.
22Those class specifications shall, however, be made reasonably
23available to the public for inspection and copying. The
24provisions of this Act do not apply to hearings under Section
2520 of the Uniform Disposition of Unclaimed Property Act.
26    (c) Section 5-35 of this Act relating to procedures for

 

 

10000SB0009ham003- 109 -LRB100 06347 HLH 27908 a

1rulemaking does not apply to the following:
2        (1) Rules adopted by the Pollution Control Board that,
3    in accordance with Section 7.2 of the Environmental
4    Protection Act, are identical in substance to federal
5    regulations or amendments to those regulations
6    implementing the following: Sections 3001, 3002, 3003,
7    3004, 3005, and 9003 of the Solid Waste Disposal Act;
8    Section 105 of the Comprehensive Environmental Response,
9    Compensation, and Liability Act of 1980; Sections 307(b),
10    307(c), 307(d), 402(b)(8), and 402(b)(9) of the Federal
11    Water Pollution Control Act; Sections 1412(b), 1414(c),
12    1417(a), 1421, and 1445(a) of the Safe Drinking Water Act;
13    and Section 109 of the Clean Air Act.
14        (2) Rules adopted by the Pollution Control Board that
15    establish or amend standards for the emission of
16    hydrocarbons and carbon monoxide from gasoline powered
17    motor vehicles subject to inspection under the Vehicle
18    Emissions Inspection Law of 2005 or its predecessor laws.
19        (3) Procedural rules adopted by the Pollution Control
20    Board governing requests for exceptions under Section 14.2
21    of the Environmental Protection Act.
22        (4) The Pollution Control Board's grant, pursuant to an
23    adjudicatory determination, of an adjusted standard for
24    persons who can justify an adjustment consistent with
25    subsection (a) of Section 27 of the Environmental
26    Protection Act.

 

 

10000SB0009ham003- 110 -LRB100 06347 HLH 27908 a

1        (4.5) The Pollution Control Board's adoption of
2    time-limited water quality standards under Section 38.5 of
3    the Environmental Protection Act.
4        (5) Rules adopted by the Pollution Control Board that
5    are identical in substance to the regulations adopted by
6    the Office of the State Fire Marshal under clause (ii) of
7    paragraph (b) of subsection (3) of Section 2 of the
8    Gasoline Storage Act.
9    (d) Pay rates established under Section 8a of the Personnel
10Code shall be amended or repealed pursuant to the process set
11forth in Section 5-50 within 30 days after it becomes necessary
12to do so due to a conflict between the rates and the terms of a
13collective bargaining agreement covering the compensation of
14an employee subject to that Code.
15    (e) Section 10-45 of this Act shall not apply to any
16hearing, proceeding, or investigation conducted under Section
1713-515 of the Public Utilities Act.
18    (f) Article 10 of this Act does not apply to any hearing,
19proceeding, or investigation conducted by the State Council for
20the State of Illinois created under Section 3-3-11.05 of the
21Unified Code of Corrections or by the Interstate Commission for
22Adult Offender Supervision created under the Interstate
23Compact for Adult Offender Supervision or by the Interstate
24Commission for Juveniles created under the Interstate Compact
25for Juveniles.
26    (g) This Act is subject to the provisions of Article XXI of

 

 

10000SB0009ham003- 111 -LRB100 06347 HLH 27908 a

1the Public Utilities Act. To the extent that any provision of
2this Act conflicts with the provisions of that Article XXI, the
3provisions of that Article XXI control.
4(Source: P.A. 98-463, eff. 8-16-13; 99-937, eff. 2-24-17.)
 
5    Section 17-15. The Freedom of Information Act is amended by
6changing Section 7.5 as follows:
 
7    (5 ILCS 140/7.5)
8    Sec. 7.5. Statutory exemptions. To the extent provided for
9by the statutes referenced below, the following shall be exempt
10from inspection and copying:
11        (a) All information determined to be confidential
12    under Section 4002 of the Technology Advancement and
13    Development Act.
14        (b) Library circulation and order records identifying
15    library users with specific materials under the Library
16    Records Confidentiality Act.
17        (c) Applications, related documents, and medical
18    records received by the Experimental Organ Transplantation
19    Procedures Board and any and all documents or other records
20    prepared by the Experimental Organ Transplantation
21    Procedures Board or its staff relating to applications it
22    has received.
23        (d) Information and records held by the Department of
24    Public Health and its authorized representatives relating

 

 

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1    to known or suspected cases of sexually transmissible
2    disease or any information the disclosure of which is
3    restricted under the Illinois Sexually Transmissible
4    Disease Control Act.
5        (e) Information the disclosure of which is exempted
6    under Section 30 of the Radon Industry Licensing Act.
7        (f) Firm performance evaluations under Section 55 of
8    the Architectural, Engineering, and Land Surveying
9    Qualifications Based Selection Act.
10        (g) Information the disclosure of which is restricted
11    and exempted under Section 50 of the Illinois Prepaid
12    Tuition Act.
13        (h) Information the disclosure of which is exempted
14    under the State Officials and Employees Ethics Act, and
15    records of any lawfully created State or local inspector
16    general's office that would be exempt if created or
17    obtained by an Executive Inspector General's office under
18    that Act.
19        (i) Information contained in a local emergency energy
20    plan submitted to a municipality in accordance with a local
21    emergency energy plan ordinance that is adopted under
22    Section 11-21.5-5 of the Illinois Municipal Code.
23        (j) Information and data concerning the distribution
24    of surcharge moneys collected and remitted by wireless
25    carriers under the Wireless Emergency Telephone Safety
26    Act.

 

 

10000SB0009ham003- 113 -LRB100 06347 HLH 27908 a

1        (k) Law enforcement officer identification information
2    or driver identification information compiled by a law
3    enforcement agency or the Department of Transportation
4    under Section 11-212 of the Illinois Vehicle Code.
5        (l) Records and information provided to a residential
6    health care facility resident sexual assault and death
7    review team or the Executive Council under the Abuse
8    Prevention Review Team Act.
9        (m) Information provided to the predatory lending
10    database created pursuant to Article 3 of the Residential
11    Real Property Disclosure Act, except to the extent
12    authorized under that Article.
13        (n) Defense budgets and petitions for certification of
14    compensation and expenses for court appointed trial
15    counsel as provided under Sections 10 and 15 of the Capital
16    Crimes Litigation Act. This subsection (n) shall apply
17    until the conclusion of the trial of the case, even if the
18    prosecution chooses not to pursue the death penalty prior
19    to trial or sentencing.
20        (o) Information that is prohibited from being
21    disclosed under Section 4 of the Illinois Health and
22    Hazardous Substances Registry Act.
23        (p) Security portions of system safety program plans,
24    investigation reports, surveys, schedules, lists, data, or
25    information compiled, collected, or prepared by or for the
26    Regional Transportation Authority under Section 2.11 of

 

 

10000SB0009ham003- 114 -LRB100 06347 HLH 27908 a

1    the Regional Transportation Authority Act or the St. Clair
2    County Transit District under the Bi-State Transit Safety
3    Act.
4        (q) Information prohibited from being disclosed by the
5    Personnel Records Review Act.
6        (r) Information prohibited from being disclosed by the
7    Illinois School Student Records Act.
8        (s) Information the disclosure of which is restricted
9    under Section 5-108 of the Public Utilities Act.
10        (t) All identified or deidentified health information
11    in the form of health data or medical records contained in,
12    stored in, submitted to, transferred by, or released from
13    the Illinois Health Information Exchange, and identified
14    or deidentified health information in the form of health
15    data and medical records of the Illinois Health Information
16    Exchange in the possession of the Illinois Health
17    Information Exchange Authority due to its administration
18    of the Illinois Health Information Exchange. The terms
19    "identified" and "deidentified" shall be given the same
20    meaning as in the Health Insurance Portability and
21    Accountability Act of 1996, Public Law 104-191, or any
22    subsequent amendments thereto, and any regulations
23    promulgated thereunder.
24        (u) Records and information provided to an independent
25    team of experts under Brian's Law.
26        (v) Names and information of people who have applied

 

 

10000SB0009ham003- 115 -LRB100 06347 HLH 27908 a

1    for or received Firearm Owner's Identification Cards under
2    the Firearm Owners Identification Card Act or applied for
3    or received a concealed carry license under the Firearm
4    Concealed Carry Act, unless otherwise authorized by the
5    Firearm Concealed Carry Act; and databases under the
6    Firearm Concealed Carry Act, records of the Concealed Carry
7    Licensing Review Board under the Firearm Concealed Carry
8    Act, and law enforcement agency objections under the
9    Firearm Concealed Carry Act.
10        (w) Personally identifiable information which is
11    exempted from disclosure under subsection (g) of Section
12    19.1 of the Toll Highway Act.
13        (x) Information which is exempted from disclosure
14    under Section 5-1014.3 of the Counties Code or Section
15    8-11-21 of the Illinois Municipal Code.
16        (y) Confidential information under the Adult
17    Protective Services Act and its predecessor enabling
18    statute, the Elder Abuse and Neglect Act, including
19    information about the identity and administrative finding
20    against any caregiver of a verified and substantiated
21    decision of abuse, neglect, or financial exploitation of an
22    eligible adult maintained in the Registry established
23    under Section 7.5 of the Adult Protective Services Act.
24        (z) Records and information provided to a fatality
25    review team or the Illinois Fatality Review Team Advisory
26    Council under Section 15 of the Adult Protective Services

 

 

10000SB0009ham003- 116 -LRB100 06347 HLH 27908 a

1    Act.
2        (aa) Information which is exempted from disclosure
3    under Section 2.37 of the Wildlife Code.
4        (bb) Information which is or was prohibited from
5    disclosure by the Juvenile Court Act of 1987.
6        (cc) Recordings made under the Law Enforcement
7    Officer-Worn Body Camera Act, except to the extent
8    authorized under that Act.
9        (dd) Information that is prohibited from being
10    disclosed under Section 45 of the Condominium and Common
11    Interest Community Ombudsperson Act.
12        (ee) (dd) Information that is exempted from disclosure
13    under Section 30.1 of the Pharmacy Practice Act.
14        (ff) Information that is exempted from disclosure
15    under the Revised Uniform Unclaimed Property Act.
16(Source: P.A. 98-49, eff. 7-1-13; 98-63, eff. 7-9-13; 98-756,
17eff. 7-16-14; 98-1039, eff. 8-25-14; 98-1045, eff. 8-25-14;
1899-78, eff. 7-20-15; 99-298, eff. 8-6-15; 99-352, eff. 1-1-16;
1999-642, eff. 7-28-16; 99-776, eff. 8-12-16; 99-863, eff.
208-19-16; revised 9-1-16.)
 
21    Section 17-20. The State Comptroller Act is amended by
22changing Section 9 as follows:
 
23    (15 ILCS 405/9)  (from Ch. 15, par. 209)
24    Sec. 9. Warrants; vouchers; preaudit.

 

 

10000SB0009ham003- 117 -LRB100 06347 HLH 27908 a

1    (a) No payment may be made from public funds held by the
2State Treasurer in or outside of the State treasury, except by
3warrant drawn by the Comptroller and presented by him to the
4treasurer to be countersigned except for payments made pursuant
5to Section 9.03 or 9.05 of this Act.
6    (b) No warrant for the payment of money by the State
7Treasurer may be drawn by the Comptroller without the
8presentation of itemized vouchers indicating that the
9obligation or expenditure is pursuant to law and authorized,
10and authorizing the Comptroller to order payment.
11    (b-1) An itemized voucher for under $5 that is presented to
12the Comptroller for payment shall not be paid except through
13electronic funds transfer. This subsection (b-1) does not apply
14to (i) vouchers presented by the legislative branch of State
15government, (ii) vouchers presented by the State Treasurer's
16Office for the payment of unclaimed property claims authorized
17under the Revised Uniform Disposition of Unclaimed Property
18Act, or (iii) vouchers presented by the Department of Revenue
19for the payment of refunds of taxes administered by the
20Department.
21    (c) The Comptroller shall examine each voucher required by
22law to be filed with him and determine whether unencumbered
23appropriations or unencumbered obligational or expenditure
24authority other than by appropriation are legally available to
25incur the obligation or to make the expenditure of public
26funds. If he determines that unencumbered appropriations or

 

 

10000SB0009ham003- 118 -LRB100 06347 HLH 27908 a

1other obligational or expenditure authority are not available
2from which to incur the obligation or make the expenditure, the
3Comptroller shall refuse to draw a warrant.
4    (d) The Comptroller shall examine each voucher and all
5other documentation required to accompany the voucher, and
6shall ascertain whether the voucher and documentation meet all
7requirements established by or pursuant to law. If the
8Comptroller determines that the voucher and documentation do
9not meet applicable requirements established by or pursuant to
10law, he shall refuse to draw a warrant. As used in this
11Section, "requirements established by or pursuant to law"
12includes statutory enactments and requirements established by
13rules and regulations adopted pursuant to this Act.
14    (e) Prior to drawing a warrant, the Comptroller may review
15the voucher, any documentation accompanying the voucher, and
16any other documentation related to the transaction on file with
17him, and determine if the transaction is in accordance with the
18law. If based on his review the Comptroller has reason to
19believe that such transaction is not in accordance with the
20law, he shall refuse to draw a warrant.
21    (f) Where the Comptroller refuses to draw a warrant
22pursuant to this Section, he shall maintain separate records of
23such transactions.
24    (g) State agencies shall have the principal responsibility
25for the preaudit of their encumbrances, expenditures, and other
26transactions as otherwise required by law.

 

 

10000SB0009ham003- 119 -LRB100 06347 HLH 27908 a

1(Source: P.A. 97-969, eff. 8-16-12; 97-1142, eff. 12-28-12;
298-421, eff. 8-16-13.)
 
3    Section 17-25. The State Treasurer Act is amended by
4changing Sections 0.02, 0.03, 0.04, 0.05, and 0.06 as follows:
 
5    (15 ILCS 505/0.02)
6    Sec. 0.02. Transfer of powers. The rights, powers, duties,
7and functions vested in the Department of Financial
8Institutions to administer the Uniform Disposition of
9Unclaimed Property Act (superseded by the Revised Uniform
10Unclaimed Property Act) are transferred to the State Treasurer
11on July 1, 1999; provided, however, that the rights, powers,
12duties, and functions involving the examination of the records
13of any person that the State Treasurer has reason to believe
14has failed to report properly under this Act shall be
15transferred to the Office of Banks and Real Estate if the
16person is regulated by the Office of Banks and Real Estate
17under the Illinois Banking Act, the Corporate Fiduciary Act,
18the Foreign Banking Office Act, the Illinois Savings and Loan
19Act of 1985, or the Savings Bank Act and shall be retained by
20the Department of Financial Institutions if the person is doing
21business in the State under the supervision of the Department
22of Financial Institutions, the National Credit Union
23Administration, the Office of Thrift Supervision, or the
24Comptroller of the Currency.

 

 

10000SB0009ham003- 120 -LRB100 06347 HLH 27908 a

1(Source: P.A. 91-16, eff. 6-4-99.)
 
2    (15 ILCS 505/0.03)
3    Sec. 0.03. Transfer of personnel.
4    (a) Except as provided in subsection (b), personnel
5employed by the Department of Financial Institutions on June
630, 1999 to perform duties pertaining to the administration of
7the Uniform Disposition of Unclaimed Property Act (superseded
8by the Revised Uniform Unclaimed Property Act) are transferred
9to the State Treasurer on July 1, 1999.
10    (b) In the case of a person employed by the Department of
11Financial Institutions to perform both duties pertaining to the
12administration of the Uniform Disposition of Unclaimed
13Property Act (superseded by the Revised Uniform Unclaimed
14Property Act) and duties pertaining to a function retained by
15the Department of Financial Institutions, the State Treasurer,
16in consultation with the Director of Financial Institutions,
17shall determine whether to transfer the employee to the Office
18of the State Treasurer; until this determination has been made,
19the transfer shall not take effect.
20    (c) The rights of State employees, the State, and its
21agencies under the Personnel Code and applicable collective
22bargaining agreements and retirement plans are not affected by
23this amendatory Act of 1999, except that all positions
24transferred to the State Treasurer shall be subject to the
25State Treasurer Employment Code effective July 1, 2000.

 

 

10000SB0009ham003- 121 -LRB100 06347 HLH 27908 a

1    All transferred employees who are members of collective
2bargaining units shall retain their seniority, continuous
3service, salary, and accrued benefits. During the pendency of
4the existing collective bargaining agreement, the rights
5provided for under that agreement and memoranda and supplements
6to that agreement, including but not limited to, the rights of
7employees performing duties pertaining to the administration
8of the Uniform Disposition of Unclaimed Property Act
9(superseded by the Revised Uniform Unclaimed Property Act) to
10positions in other State agencies and the right of employees in
11other State agencies covered by the agreement to positions
12performing duties pertaining to the administration of the
13Uniform Disposition of Unclaimed Property Act (superseded by
14the Revised Uniform Unclaimed Property Act), shall not be
15abridged.
16    The State Treasurer shall continue to honor during their
17pendency all bargaining agreements in effect at the time of the
18transfer and to recognize all collective bargaining
19representatives for the employees who perform or will perform
20functions transferred by this amendatory Act of 1999. For all
21purposes with respect to the management of the existing
22agreement and the negotiation and management of any successor
23agreements, the State Treasurer shall be deemed to be the
24employer of employees who perform or will perform functions
25transferred to the Office of the State Treasurer by this
26amendatory Act of 1999; provided that the Illinois Department

 

 

10000SB0009ham003- 122 -LRB100 06347 HLH 27908 a

1of Central Management Services shall be a party to any
2grievance or arbitration proceeding held pursuant to the
3provisions of the collective bargaining agreement which
4involves the movement of employees from the Office of the State
5Treasurer to an agency under the jurisdiction of the Governor
6covered by the agreement.
7(Source: P.A. 91-16, eff. 6-4-99.)
 
8    (15 ILCS 505/0.04)
9    Sec. 0.04. Transfer of property.
10    (a) Except as provided in subsection (b), all real and
11personal property, including but not limited to all books,
12records, and documents, and all unexpended appropriations and
13pending business pertaining to the administration of the
14Uniform Disposition of Unclaimed Property Act (superseded by
15the Revised Uniform Unclaimed Property Act) shall be
16transferred and delivered to the State Treasurer effective July
171, 1999.
18    (b) In the case of books, records, or documents that
19pertain both to the administration of the Uniform Disposition
20of Unclaimed Property Act (superseded by the Revised Uniform
21Unclaimed Property Act) and to a function retained by the
22Department of Financial Institutions, the State Treasurer, in
23consultation with the Director of Financial Institutions,
24shall determine whether the books, records, or documents shall
25be transferred, copied, or left with the Department of

 

 

10000SB0009ham003- 123 -LRB100 06347 HLH 27908 a

1Financial Institutions; until this determination has been
2made, the transfer shall not take effect.
3    In the case of property or an unexpended appropriation that
4pertains both to the administration of the Uniform Disposition
5of Unclaimed Property Act (superseded by the Revised Uniform
6Unclaimed Property Act) and to a function retained by the
7Department of Financial Institutions, the State Treasurer, in
8consultation with the Director of Financial Institutions,
9shall determine whether the property or unexpended
10appropriation shall be transferred, divided, or left with the
11Department of Financial Institutions; until this determination
12has been made (and, in the case of an unexpended appropriation,
13notice of the determination has been filed with the State
14Comptroller), the transfer shall not take effect.
15(Source: P.A. 91-16, eff. 6-4-99.)
 
16    (15 ILCS 505/0.05)
17    Sec. 0.05. Rules and standards.
18    (a) The rules and standards of the Department of Financial
19Institutions that are in effect on June 30, 1999 and pertain to
20the administration of the Uniform Disposition of Unclaimed
21Property Act (superseded by the Revised Uniform Unclaimed
22Property Act) shall become the rules and standards of the State
23Treasurer on July 1, 1999 and shall continue in effect until
24amended or repealed by the State Treasurer.
25    (b) Any rules pertaining to the administration of the

 

 

10000SB0009ham003- 124 -LRB100 06347 HLH 27908 a

1Uniform Disposition of Unclaimed Property Act (superseded by
2the Revised Uniform Unclaimed Property Act) that have been
3proposed by the Department of Financial Institutions but have
4not taken effect or been finally adopted by June 30, 1999 shall
5become proposed rules of the State Treasurer on July 1, 1999,
6and any rulemaking procedures that have already been completed
7by the Department of Financial Institutions need not be
8repeated.
9    (c) As soon as practical after July 1, 1999, the State
10Treasurer shall revise and clarify the rules transferred to it
11under this amendatory Act of 1999 to reflect the reorganization
12of rights, powers, duties, and functions effected by this
13amendatory Act of 1999 using the procedures for recodification
14of rules available under the Illinois Administrative Procedure
15Act, except that existing title, part, and section numbering
16for the affected rules may be retained.
17    (d) As soon as practical after July 1, 1999, the Office of
18Banks and Real Estate and the Office of the State Treasurer
19shall jointly promulgate rules to reflect the transfer of
20examination functions to the Office of Banks and Real Estate
21under this amendatory Act of 1999 using the procedures
22available under the Illinois Administrative Procedure Act.
23    (e) As soon as practical after July 1, 1999, the Department
24of Financial Institutions and the Office of the State Treasurer
25shall jointly promulgate rules to reflect the retention of
26examination functions by the Department of Financial

 

 

10000SB0009ham003- 125 -LRB100 06347 HLH 27908 a

1Institutions under this amendatory Act of 1999 using the
2procedures available under the Illinois Administrative
3Procedure Act.
4(Source: P.A. 91-16, eff. 6-4-99.)
 
5    (15 ILCS 505/0.06)
6    Sec. 0.06. Savings provisions.
7    (a) The rights, powers, duties, and functions transferred
8to the State Treasurer or the Commissioner of Banks and Real
9Estate by this amendatory Act of 1999 shall be vested in and
10exercised by the State Treasurer or the Commissioner of Banks
11and Real Estate subject to the provisions of this amendatory
12Act of 1999. An act done by the State Treasurer or the
13Commissioner of Banks and Real Estate or an officer, employee,
14or agent of the State Treasurer or the Commissioner of Banks
15and Real Estate in the exercise of the transferred rights,
16powers, duties, or functions shall have the same legal effect
17as if done by the Department of Financial Institutions or an
18officer, employee, or agent of the Department of Financial
19Institutions prior to the effective date of this amendatory Act
20of 1999.
21    (b) The transfer of rights, powers, duties, and functions
22to the State Treasurer or the Commissioner of Banks and Real
23Estate under this amendatory Act of 1999 does not invalidate
24any previous action taken by or in respect to the Department of
25Financial Institutions or its officers, employees, or agents.

 

 

10000SB0009ham003- 126 -LRB100 06347 HLH 27908 a

1References to the Department of Financial Institutions or its
2officers, employees or agents in any document, contract,
3agreement, or law shall, in appropriate contexts, be deemed to
4refer to the State Treasurer or the Commissioner of Banks and
5Real Estate or the officers, employees, or agents of the State
6Treasurer or the Commissioner of Banks and Real Estate.
7    (c) The transfer of rights, powers, duties, and functions
8from the Department of Financial Institutions to the State
9Treasurer or the Commissioner of Banks and Real Estate under
10this amendatory Act of 1999 does not affect the rights,
11obligations, or duties of any other person or entity, including
12any civil or criminal penalties applicable thereto, arising out
13of those transferred rights, powers, duties, and functions.
14    (d) With respect to matters that pertain to a right, power,
15duty, or function transferred to the State Treasurer under this
16amendatory Act of 1999:
17        (1) Beginning July 1, 1999, any report or notice that
18    was previously required to be made or given by any person
19    to the Department of Financial Institutions or any of its
20    officers, employees, or agents under the Uniform
21    Disposition of Unclaimed Property Act (superseded by the
22    Revised Uniform Unclaimed Property Act) or rules
23    promulgated pursuant to that Act shall be made or given in
24    the same manner to the State Treasurer or his or her
25    appropriate officer, employee, or agent.
26        (2) Beginning July 1, 1999, any document that was

 

 

10000SB0009ham003- 127 -LRB100 06347 HLH 27908 a

1    previously required to be furnished or served by any person
2    to or upon the Department of Financial Institutions or any
3    of its officers, employees, or agents under the Uniform
4    Disposition of Unclaimed Property Act (superseded by the
5    Revised Uniform Unclaimed Property Act) or rules
6    promulgated pursuant to that Act shall be furnished or
7    served in the same manner to or upon the State Treasurer or
8    his or her appropriate officer, employee, or agent.
9    (e) This amendatory Act of 1999 does not affect any act
10done, ratified, or canceled, any right occurring or
11established, or any action or proceeding had or commenced in an
12administrative, civil, or criminal cause before July 1, 1999.
13Any such action or proceeding that pertains to the Uniform
14Disposition of Unclaimed Property Act (superseded by the
15Revised Uniform Unclaimed Property Act) or rules promulgated
16pursuant to that Act and that is pending on that date may be
17prosecuted, defended, or continued by the State Treasurer.
18(Source: P.A. 91-16, eff. 6-4-99.)
 
19    Section 17-30. The Financial Institutions Code is amended
20by changing Sections 7 and 18.1 as follows:
 
21    (20 ILCS 1205/7)  (from Ch. 17, par. 108)
22    Sec. 7. The provisions of "The Illinois Administrative
23Procedure Act", as now or hereafter amended, are hereby
24expressly adopted and incorporated herein as though a part of

 

 

10000SB0009ham003- 128 -LRB100 06347 HLH 27908 a

1this Act, and shall apply to all administrative rules and
2procedures of the Director and the Department of Financial
3Institutions under this Act, except that the provisions of the
4Administrative Procedure Act regarding contested cases shall
5not apply to actions of the Director under Section 15.1 of "An
6Act in relation to the definition, licensing and regulation of
7community currency exchanges and ambulatory currency
8exchanges, and the operators and employees thereof, and to make
9an appropriation therefor, and to provide penalties and
10remedies for the violation thereof", approved June 30, 1943, as
11amended, or Sections 8 and 61 of "The Illinois Credit Union
12Act", or to hearings under Section 20 of the "Uniform
13Disposition of Unclaimed Property Act".
14(Source: P.A. 81-329.)
 
15    (20 ILCS 1205/18.1)
16    Sec. 18.1. Transfer of administration of Uniform
17Disposition of Unclaimed Property Act to State Treasurer. The
18rights, powers, duties, and functions vested in the Department
19of Financial Institutions to administer the Uniform
20Disposition of Unclaimed Property Act (superseded by the
21Revised Uniform Unclaimed Property Act) are transferred to the
22State Treasurer on July 1, 1999 in accordance with Sections
230.02 through 0.06 of the State Treasurer Act; provided,
24however, that the rights, powers, duties, and functions
25involving the examination of the records of any person that the

 

 

10000SB0009ham003- 129 -LRB100 06347 HLH 27908 a

1State Treasurer has reason to believe has failed to report
2properly under this Act shall be transferred to the Office of
3Banks and Real Estate if the person is regulated by the Office
4of Banks and Real Estate under the Illinois Banking Act, the
5Corporate Fiduciary Act, the Foreign Banking Office Act, the
6Illinois Savings and Loan Act of 1985, or the Savings Bank Act
7and shall be retained by the Department of Financial
8Institutions if the person is doing business in the State under
9the supervision of the Department of Financial Institutions,
10the National Credit Union Administration, the Office of Thrift
11Supervision, or the Comptroller of the Currency.
12(Source: P.A. 91-16, eff. 6-4-99.)
 
13    Section 17-35. The State Finance Act is amended by changing
14Sections 6b-1 and 8.12 as follows:
 
15    (30 ILCS 105/6b-1)  (from Ch. 127, par. 142b1)
16    Sec. 6b-1. There shall be paid into the State Pensions Fund
17the funds and proceeds from the sale of abandoned property as
18provided in Section 18 of the Revised Uniform "Uniform
19Disposition of Unclaimed Property Act", enacted by the
20Seventy-second General Assembly.
21(Source: Laws 1961, p. 3423.)
 
22    (30 ILCS 105/8.12)   (from Ch. 127, par. 144.12)
23    Sec. 8.12. State Pensions Fund.

 

 

10000SB0009ham003- 130 -LRB100 06347 HLH 27908 a

1    (a) The moneys in the State Pensions Fund shall be used
2exclusively for the administration of the Revised Uniform
3Disposition of Unclaimed Property Act and for the expenses
4incurred by the Auditor General for administering the
5provisions of Section 2-8.1 of the Illinois State Auditing Act
6and for operational expenses of the Office of the State
7Treasurer and for the funding of the unfunded liabilities of
8the designated retirement systems. Beginning in State fiscal
9year 2018, payments to the designated retirement systems under
10this Section shall be in addition to, and not in lieu of, any
11State contributions required under the Illinois Pension Code.
12    "Designated retirement systems" means:
13        (1) the State Employees' Retirement System of
14    Illinois;
15        (2) the Teachers' Retirement System of the State of
16    Illinois;
17        (3) the State Universities Retirement System;
18        (4) the Judges Retirement System of Illinois; and
19        (5) the General Assembly Retirement System.
20    (b) Each year the General Assembly may make appropriations
21from the State Pensions Fund for the administration of the
22Revised Uniform Disposition of Unclaimed Property Act.
23    Each month, the Commissioner of the Office of Banks and
24Real Estate shall certify to the State Treasurer the actual
25expenditures that the Office of Banks and Real Estate incurred
26conducting unclaimed property examinations under the Uniform

 

 

10000SB0009ham003- 131 -LRB100 06347 HLH 27908 a

1Disposition of Unclaimed Property Act during the immediately
2preceding month. Within a reasonable time following the
3acceptance of such certification by the State Treasurer, the
4State Treasurer shall pay from its appropriation from the State
5Pensions Fund to the Bank and Trust Company Fund, the Savings
6Bank Regulatory Fund, and the Residential Finance Regulatory
7Fund an amount equal to the expenditures incurred by each Fund
8for that month.
9    Each month, the Director of Financial Institutions shall
10certify to the State Treasurer the actual expenditures that the
11Department of Financial Institutions incurred conducting
12unclaimed property examinations under the Uniform Disposition
13of Unclaimed Property Act during the immediately preceding
14month. Within a reasonable time following the acceptance of
15such certification by the State Treasurer, the State Treasurer
16shall pay from its appropriation from the State Pensions Fund
17to the Financial Institution Fund and the Credit Union Fund an
18amount equal to the expenditures incurred by each Fund for that
19month.
20    (c) As soon as possible after the effective date of this
21amendatory Act of the 93rd General Assembly, the General
22Assembly shall appropriate from the State Pensions Fund (1) to
23the State Universities Retirement System the amount certified
24under Section 15-165 during the prior year, (2) to the Judges
25Retirement System of Illinois the amount certified under
26Section 18-140 during the prior year, and (3) to the General

 

 

10000SB0009ham003- 132 -LRB100 06347 HLH 27908 a

1Assembly Retirement System the amount certified under Section
22-134 during the prior year as part of the required State
3contributions to each of those designated retirement systems;
4except that amounts appropriated under this subsection (c) in
5State fiscal year 2005 shall not reduce the amount in the State
6Pensions Fund below $5,000,000. If the amount in the State
7Pensions Fund does not exceed the sum of the amounts certified
8in Sections 15-165, 18-140, and 2-134 by at least $5,000,000,
9the amount paid to each designated retirement system under this
10subsection shall be reduced in proportion to the amount
11certified by each of those designated retirement systems.
12    (c-5) For fiscal years 2006 through 2017, the General
13Assembly shall appropriate from the State Pensions Fund to the
14State Universities Retirement System the amount estimated to be
15available during the fiscal year in the State Pensions Fund;
16provided, however, that the amounts appropriated under this
17subsection (c-5) shall not reduce the amount in the State
18Pensions Fund below $5,000,000.
19    (c-6) For fiscal year 2018 and each fiscal year thereafter,
20as soon as may be practical after any money is deposited into
21the State Pensions Fund from the Unclaimed Property Trust Fund,
22the State Treasurer shall apportion the deposited amount among
23the designated retirement systems as defined in subsection (a)
24to reduce their actuarial reserve deficiencies. The State
25Comptroller and State Treasurer shall pay the apportioned
26amounts to the designated retirement systems to fund the

 

 

10000SB0009ham003- 133 -LRB100 06347 HLH 27908 a

1unfunded liabilities of the designated retirement systems. The
2amount apportioned to each designated retirement system shall
3constitute a portion of the amount estimated to be available
4for appropriation from the State Pensions Fund that is the same
5as that retirement system's portion of the total actual reserve
6deficiency of the systems, as determined annually by the
7Governor's Office of Management and Budget at the request of
8the State Treasurer. The amounts apportioned under this
9subsection shall not reduce the amount in the State Pensions
10Fund below $5,000,000.
11    (d) The Governor's Office of Management and Budget shall
12determine the individual and total reserve deficiencies of the
13designated retirement systems. For this purpose, the
14Governor's Office of Management and Budget shall utilize the
15latest available audit and actuarial reports of each of the
16retirement systems and the relevant reports and statistics of
17the Public Employee Pension Fund Division of the Department of
18Insurance.
19    (d-1) As soon as practicable after the effective date of
20this amendatory Act of the 93rd General Assembly, the
21Comptroller shall direct and the Treasurer shall transfer from
22the State Pensions Fund to the General Revenue Fund, as funds
23become available, a sum equal to the amounts that would have
24been paid from the State Pensions Fund to the Teachers'
25Retirement System of the State of Illinois, the State
26Universities Retirement System, the Judges Retirement System

 

 

10000SB0009ham003- 134 -LRB100 06347 HLH 27908 a

1of Illinois, the General Assembly Retirement System, and the
2State Employees' Retirement System of Illinois after the
3effective date of this amendatory Act during the remainder of
4fiscal year 2004 to the designated retirement systems from the
5appropriations provided for in this Section if the transfers
6provided in Section 6z-61 had not occurred. The transfers
7described in this subsection (d-1) are to partially repay the
8General Revenue Fund for the costs associated with the bonds
9used to fund the moneys transferred to the designated
10retirement systems under Section 6z-61.
11    (e) The changes to this Section made by this amendatory Act
12of 1994 shall first apply to distributions from the Fund for
13State fiscal year 1996.
14(Source: P.A. 98-24, eff. 6-19-13; 98-463, eff. 8-16-13;
1598-674, eff. 6-30-14; 98-1081, eff. 1-1-15; 99-8, eff. 7-9-15;
1699-78, eff. 7-20-15; 99-523, eff. 6-30-16.)
 
17    Section 17-40. The State Officers and Employees Money
18Disposition Act is amended by changing Section 2 as follows:
 
19    (30 ILCS 230/2)  (from Ch. 127, par. 171)
20    Sec. 2. Accounts of money received; payment into State
21treasury.
22    (a) Every officer, board, commission, commissioner,
23department, institution, arm or agency brought within the
24provisions of this Act by Section 1 shall keep in proper books

 

 

10000SB0009ham003- 135 -LRB100 06347 HLH 27908 a

1a detailed itemized account of all moneys received for or on
2behalf of the State of Illinois, showing the date of receipt,
3the payor, and purpose and amount, and the date and manner of
4disbursement as hereinafter provided, and, unless a different
5time of payment is expressly provided by law or by rules or
6regulations promulgated under subsection (b) of this Section,
7shall pay into the State treasury the gross amount of money so
8received on the day of actual physical receipt with respect to
9any single item of receipt exceeding $10,000, within 24 hours
10of actual physical receipt with respect to an accumulation of
11receipts of $10,000 or more, or within 48 hours of actual
12physical receipt with respect to an accumulation of receipts
13exceeding $500 but less than $10,000, disregarding holidays,
14Saturdays and Sundays, after the receipt of same, without any
15deduction on account of salaries, fees, costs, charges,
16expenses or claims of any description whatever; provided that:
17        (1) the provisions of (i) Section 2505-475 of the
18    Department of Revenue Law (20 ILCS 2505/2505-475), (ii) any
19    specific taxing statute authorizing a claim for credit
20    procedure instead of the actual making of refunds, (iii)
21    Section 505 of the Illinois Controlled Substances Act, (iv)
22    Section 85 of the Methamphetamine Control and Community
23    Protection Act, authorizing the Director of State Police to
24    dispose of forfeited property, which includes the sale and
25    disposition of the proceeds of the sale of forfeited
26    property, and the Department of Central Management

 

 

10000SB0009ham003- 136 -LRB100 06347 HLH 27908 a

1    Services to be reimbursed for costs incurred with the sales
2    of forfeited vehicles, boats or aircraft and to pay to bona
3    fide or innocent purchasers, conditional sales vendors or
4    mortgagees of such vehicles, boats or aircraft their
5    interest in such vehicles, boats or aircraft, and (v)
6    Section 6b-2 of the State Finance Act, establishing
7    procedures for handling cash receipts from the sale of
8    pari-mutuel wagering tickets, shall not be deemed to be in
9    conflict with the requirements of this Section;
10        (2) any fees received by the State Registrar of Vital
11    Records pursuant to the Vital Records Act which are
12    insufficient in amount may be returned by the Registrar as
13    provided in that Act;
14        (3) any fees received by the Department of Public
15    Health under the Food Handling Regulation Enforcement Act
16    that are submitted for renewal of an expired food service
17    sanitation manager certificate may be returned by the
18    Director as provided in that Act;
19        (3.5) the State Treasurer may permit the deduction of
20    fees by third-party unclaimed property examiners from the
21    property recovered by the examiners for the State of
22    Illinois during examinations of holders located outside
23    the State under which the Office of the Treasurer has
24    agreed to pay for the examinations based upon a percentage,
25    set by rule by the State Treasurer in accordance with the
26    Revised Uniform Unclaimed Property Illinois Administrative

 

 

10000SB0009ham003- 137 -LRB100 06347 HLH 27908 a

1    Procedure Act, of the property recovered during the
2    examination; and
3        (4) if the amount of money received does not exceed
4    $500, such money may be retained and need not be paid into
5    the State treasury until the total amount of money so
6    received exceeds $500, or until the next succeeding 1st or
7    15th day of each month (or until the next business day if
8    these days fall on Sunday or a holiday), whichever is
9    earlier, at which earlier time such money shall be paid
10    into the State treasury, except that if a local bank or
11    savings and loan association account has been authorized by
12    law, any balances shall be paid into the State treasury on
13    Monday of each week if more than $500 is to be deposited in
14    any fund.
15Single items of receipt exceeding $10,000 received after 2 p.m.
16on a working day may be deemed to have been received on the
17next working day for purposes of fulfilling the requirement
18that the item be deposited on the day of actual physical
19receipt.
20    No money belonging to or left for the use of the State
21shall be expended or applied except in consequence of an
22appropriation made by law and upon the warrant of the State
23Comptroller. However, payments made by the Comptroller to
24persons by direct deposit need not be made upon the warrant of
25the Comptroller, but if not made upon a warrant, shall be made
26in accordance with Section 9.02 of the State Comptroller Act.

 

 

10000SB0009ham003- 138 -LRB100 06347 HLH 27908 a

1All moneys so paid into the State treasury shall, unless
2required by some statute to be held in the State treasury in a
3separate or special fund, be covered into the General Revenue
4Fund in the State treasury. Moneys received in the form of
5checks, drafts or similar instruments shall be properly
6endorsed, if necessary, and delivered to the State Treasurer
7for collection. The State Treasurer shall remit such collected
8funds to the depositing officer, board, commission,
9commissioner, department, institution, arm or agency by
10Treasurers Draft or through electronic funds transfer. The
11draft or notification of the electronic funds transfer shall be
12provided to the State Comptroller to allow deposit into the
13appropriate fund.
14    (b) Different time periods for the payment of public funds
15into the State treasury or to the State Treasurer, in excess of
16the periods established in subsection (a) of this Section, but
17not in excess of 30 days after receipt of such funds, may be
18established and revised from time to time by rules or
19regulations promulgated jointly by the State Treasurer and the
20State Comptroller in accordance with the Illinois
21Administrative Procedure Act. The different time periods
22established by rule or regulation under this subsection may
23vary according to the nature and amounts of the funds received,
24the locations at which the funds are received, whether
25compliance with the deposit requirements specified in
26subsection (a) of this Section would be cost effective, and

 

 

10000SB0009ham003- 139 -LRB100 06347 HLH 27908 a

1such other circumstances and conditions as the promulgating
2authorities consider to be appropriate. The Treasurer and the
3Comptroller shall review all such different time periods
4established pursuant to this subsection every 2 years from the
5establishment thereof and upon such review, unless it is
6determined that it is economically unfeasible for the agency to
7comply with the provisions of subsection (a), shall repeal such
8different time period.
9(Source: P.A. 94-556, eff. 9-11-05.)
 
10    Section 17-45. The Counties Code is amended by changing
11Section 3-3034 as follows:
 
12    (55 ILCS 5/3-3034)  (from Ch. 34, par. 3-3034)
13    Sec. 3-3034. Disposition of body. After the inquest the
14coroner may deliver the body or human remains of the deceased
15to the family of the deceased or, if there are no family
16members to accept the body or the remains, then to friends of
17the deceased, if there be any, but if not, the coroner shall
18cause the body or the remains to be decently buried, cremated,
19or donated for medical science purposes, the expenses to be
20paid from the property of the deceased, if there is sufficient,
21if not, by the county. The coroner may not approve the
22cremation or donation of the body if it is necessary to
23preserve the body for law enforcement purposes. If the State
24Treasurer, pursuant to the Revised Uniform Disposition of

 

 

10000SB0009ham003- 140 -LRB100 06347 HLH 27908 a

1Unclaimed Property Act, delivers human remains to the coroner,
2the coroner shall cause the human remains to be disposed of as
3provided in this Section. If the police department of any
4municipality or county investigates abandoned cremated
5remains, determines that they are human remains, and cannot
6locate the owner of the remains, then the police shall deliver
7the remains to the coroner, and the coroner shall cause the
8remains to be disposed of as provided in this Section.
9(Source: P.A. 96-1339, eff. 7-27-10; 97-679, eff. 2-6-12.)
 
10    Section 17-50. The Illinois Banking Act is amended by
11changing Sections 48, 48.1, 48.3, and 65 as follows:
 
12    (205 ILCS 5/48)
13    Sec. 48. Secretary's powers; duties. The Secretary shall
14have the powers and authority, and is charged with the duties
15and responsibilities designated in this Act, and a State bank
16shall not be subject to any other visitorial power other than
17as authorized by this Act, except those vested in the courts,
18or upon prior consultation with the Secretary, a foreign bank
19regulator with an appropriate supervisory interest in the
20parent or affiliate of a state bank. In the performance of the
21Secretary's duties:
22        (1) The Commissioner shall call for statements from all
23    State banks as provided in Section 47 at least one time
24    during each calendar quarter.

 

 

10000SB0009ham003- 141 -LRB100 06347 HLH 27908 a

1        (2) (a) The Commissioner, as often as the Commissioner
2    shall deem necessary or proper, and no less frequently than
3    18 months following the preceding examination, shall
4    appoint a suitable person or persons to make an examination
5    of the affairs of every State bank, except that for every
6    eligible State bank, as defined by regulation, the
7    Commissioner in lieu of the examination may accept on an
8    alternating basis the examination made by the eligible
9    State bank's appropriate federal banking agency pursuant
10    to Section 111 of the Federal Deposit Insurance Corporation
11    Improvement Act of 1991, provided the appropriate federal
12    banking agency has made such an examination. A person so
13    appointed shall not be a stockholder or officer or employee
14    of any bank which that person may be directed to examine,
15    and shall have powers to make a thorough examination into
16    all the affairs of the bank and in so doing to examine any
17    of the officers or agents or employees thereof on oath and
18    shall make a full and detailed report of the condition of
19    the bank to the Commissioner. In making the examination the
20    examiners shall include an examination of the affairs of
21    all the affiliates of the bank, as defined in subsection
22    (b) of Section 35.2 of this Act, or subsidiaries of the
23    bank as shall be necessary to disclose fully the conditions
24    of the subsidiaries or affiliates, the relations between
25    the bank and the subsidiaries or affiliates and the effect
26    of those relations upon the affairs of the bank, and in

 

 

10000SB0009ham003- 142 -LRB100 06347 HLH 27908 a

1    connection therewith shall have power to examine any of the
2    officers, directors, agents, or employees of the
3    subsidiaries or affiliates on oath. After May 31, 1997, the
4    Commissioner may enter into cooperative agreements with
5    state regulatory authorities of other states to provide for
6    examination of State bank branches in those states, and the
7    Commissioner may accept reports of examinations of State
8    bank branches from those state regulatory authorities.
9    These cooperative agreements may set forth the manner in
10    which the other state regulatory authorities may be
11    compensated for examinations prepared for and submitted to
12    the Commissioner.
13        (b) After May 31, 1997, the Commissioner is authorized
14    to examine, as often as the Commissioner shall deem
15    necessary or proper, branches of out-of-state banks. The
16    Commissioner may establish and may assess fees to be paid
17    to the Commissioner for examinations under this subsection
18    (b). The fees shall be borne by the out-of-state bank,
19    unless the fees are borne by the state regulatory authority
20    that chartered the out-of-state bank, as determined by a
21    cooperative agreement between the Commissioner and the
22    state regulatory authority that chartered the out-of-state
23    bank.
24        (2.1) Pursuant to paragraph (a) of subsection (6) of
25    this Section, the Secretary shall adopt rules that ensure
26    consistency and due process in the examination process. The

 

 

10000SB0009ham003- 143 -LRB100 06347 HLH 27908 a

1    Secretary may also establish guidelines that (i) define the
2    scope of the examination process and (ii) clarify
3    examination items to be resolved. The rules, formal
4    guidance, interpretive letters, or opinions furnished to
5    State banks by the Secretary may be relied upon by the
6    State banks.
7        (2.5) Whenever any State bank, any subsidiary or
8    affiliate of a State bank, or after May 31, 1997, any
9    branch of an out-of-state bank causes to be performed, by
10    contract or otherwise, any bank services for itself,
11    whether on or off its premises:
12            (a) that performance shall be subject to
13        examination by the Commissioner to the same extent as
14        if services were being performed by the bank or, after
15        May 31, 1997, branch of the out-of-state bank itself on
16        its own premises; and
17            (b) the bank or, after May 31, 1997, branch of the
18        out-of-state bank shall notify the Commissioner of the
19        existence of a service relationship. The notification
20        shall be submitted with the first statement of
21        condition (as required by Section 47 of this Act) due
22        after the making of the service contract or the
23        performance of the service, whichever occurs first.
24        The Commissioner shall be notified of each subsequent
25        contract in the same manner.
26        For purposes of this subsection (2.5), the term "bank

 

 

10000SB0009ham003- 144 -LRB100 06347 HLH 27908 a

1    services" means services such as sorting and posting of
2    checks and deposits, computation and posting of interest
3    and other credits and charges, preparation and mailing of
4    checks, statements, notices, and similar items, or any
5    other clerical, bookkeeping, accounting, statistical, or
6    similar functions performed for a State bank, including but
7    not limited to electronic data processing related to those
8    bank services.
9        (3) The expense of administering this Act, including
10    the expense of the examinations of State banks as provided
11    in this Act, shall to the extent of the amounts resulting
12    from the fees provided for in paragraphs (a), (a-2), and
13    (b) of this subsection (3) be assessed against and borne by
14    the State banks:
15            (a) Each bank shall pay to the Secretary a Call
16        Report Fee which shall be paid in quarterly
17        installments equal to one-fourth of the sum of the
18        annual fixed fee of $800, plus a variable fee based on
19        the assets shown on the quarterly statement of
20        condition delivered to the Secretary in accordance
21        with Section 47 for the preceding quarter according to
22        the following schedule: 16 per $1,000 of the first
23        $5,000,000 of total assets, 15 per $1,000 of the next
24        $20,000,000 of total assets, 13 per $1,000 of the next
25        $75,000,000 of total assets, 9 per $1,000 of the next
26        $400,000,000 of total assets, 7 per $1,000 of the next

 

 

10000SB0009ham003- 145 -LRB100 06347 HLH 27908 a

1        $500,000,000 of total assets, and 5 per $1,000 of all
2        assets in excess of $1,000,000,000, of the State bank.
3        The Call Report Fee shall be calculated by the
4        Secretary and billed to the banks for remittance at the
5        time of the quarterly statements of condition provided
6        for in Section 47. The Secretary may require payment of
7        the fees provided in this Section by an electronic
8        transfer of funds or an automatic debit of an account
9        of each of the State banks. In case more than one
10        examination of any bank is deemed by the Secretary to
11        be necessary in any examination frequency cycle
12        specified in subsection 2(a) of this Section, and is
13        performed at his direction, the Secretary may assess a
14        reasonable additional fee to recover the cost of the
15        additional examination; provided, however, that an
16        examination conducted at the request of the State
17        Treasurer pursuant to the Uniform Disposition of
18        Unclaimed Property Act shall not be deemed to be an
19        additional examination under this Section. In lieu of
20        the method and amounts set forth in this paragraph (a)
21        for the calculation of the Call Report Fee, the
22        Secretary may specify by rule that the Call Report Fees
23        provided by this Section may be assessed semiannually
24        or some other period and may provide in the rule the
25        formula to be used for calculating and assessing the
26        periodic Call Report Fees to be paid by State banks.

 

 

10000SB0009ham003- 146 -LRB100 06347 HLH 27908 a

1            (a-1) If in the opinion of the Commissioner an
2        emergency exists or appears likely, the Commissioner
3        may assign an examiner or examiners to monitor the
4        affairs of a State bank with whatever frequency he
5        deems appropriate, including but not limited to a daily
6        basis. The reasonable and necessary expenses of the
7        Commissioner during the period of the monitoring shall
8        be borne by the subject bank. The Commissioner shall
9        furnish the State bank a statement of time and expenses
10        if requested to do so within 30 days of the conclusion
11        of the monitoring period.
12            (a-2) On and after January 1, 1990, the reasonable
13        and necessary expenses of the Commissioner during
14        examination of the performance of electronic data
15        processing services under subsection (2.5) shall be
16        borne by the banks for which the services are provided.
17        An amount, based upon a fee structure prescribed by the
18        Commissioner, shall be paid by the banks or, after May
19        31, 1997, branches of out-of-state banks receiving the
20        electronic data processing services along with the
21        Call Report Fee assessed under paragraph (a) of this
22        subsection (3).
23            (a-3) After May 31, 1997, the reasonable and
24        necessary expenses of the Commissioner during
25        examination of the performance of electronic data
26        processing services under subsection (2.5) at or on

 

 

10000SB0009ham003- 147 -LRB100 06347 HLH 27908 a

1        behalf of branches of out-of-state banks shall be borne
2        by the out-of-state banks, unless those expenses are
3        borne by the state regulatory authorities that
4        chartered the out-of-state banks, as determined by
5        cooperative agreements between the Commissioner and
6        the state regulatory authorities that chartered the
7        out-of-state banks.
8            (b) "Fiscal year" for purposes of this Section 48
9        is defined as a period beginning July 1 of any year and
10        ending June 30 of the next year. The Commissioner shall
11        receive for each fiscal year, commencing with the
12        fiscal year ending June 30, 1987, a contingent fee
13        equal to the lesser of the aggregate of the fees paid
14        by all State banks under paragraph (a) of subsection
15        (3) for that year, or the amount, if any, whereby the
16        aggregate of the administration expenses, as defined
17        in paragraph (c), for that fiscal year exceeds the sum
18        of the aggregate of the fees payable by all State banks
19        for that year under paragraph (a) of subsection (3),
20        plus any amounts transferred into the Bank and Trust
21        Company Fund from the State Pensions Fund for that
22        year, plus all other amounts collected by the
23        Commissioner for that year under any other provision of
24        this Act, plus the aggregate of all fees collected for
25        that year by the Commissioner under the Corporate
26        Fiduciary Act, excluding the receivership fees

 

 

10000SB0009ham003- 148 -LRB100 06347 HLH 27908 a

1        provided for in Section 5-10 of the Corporate Fiduciary
2        Act, and the Foreign Banking Office Act. The aggregate
3        amount of the contingent fee thus arrived at for any
4        fiscal year shall be apportioned amongst, assessed
5        upon, and paid by the State banks and foreign banking
6        corporations, respectively, in the same proportion
7        that the fee of each under paragraph (a) of subsection
8        (3), respectively, for that year bears to the aggregate
9        for that year of the fees collected under paragraph (a)
10        of subsection (3). The aggregate amount of the
11        contingent fee, and the portion thereof to be assessed
12        upon each State bank and foreign banking corporation,
13        respectively, shall be determined by the Commissioner
14        and shall be paid by each, respectively, within 120
15        days of the close of the period for which the
16        contingent fee is computed and is payable, and the
17        Commissioner shall give 20 days' days advance notice of
18        the amount of the contingent fee payable by the State
19        bank and of the date fixed by the Commissioner for
20        payment of the fee.
21            (c) The "administration expenses" for any fiscal
22        year shall mean the ordinary and contingent expenses
23        for that year incident to making the examinations
24        provided for by, and for otherwise administering, this
25        Act, the Corporate Fiduciary Act, excluding the
26        expenses paid from the Corporate Fiduciary

 

 

10000SB0009ham003- 149 -LRB100 06347 HLH 27908 a

1        Receivership account in the Bank and Trust Company
2        Fund, the Foreign Banking Office Act, the Electronic
3        Fund Transfer Act, and the Illinois Bank Examiners'
4        Education Foundation Act, including all salaries and
5        other compensation paid for personal services rendered
6        for the State by officers or employees of the State,
7        including the Commissioner and the Deputy
8        Commissioners, communication equipment and services,
9        office furnishings, surety bond premiums, and travel
10        expenses of those officers and employees, employees,
11        expenditures or charges for the acquisition,
12        enlargement or improvement of, or for the use of, any
13        office space, building, or structure, or expenditures
14        for the maintenance thereof or for furnishing heat,
15        light, or power with respect thereto, all to the extent
16        that those expenditures are directly incidental to
17        such examinations or administration. The Commissioner
18        shall not be required by paragraphs (c) or (d-1) of
19        this subsection (3) to maintain in any fiscal year's
20        budget appropriated reserves for accrued vacation and
21        accrued sick leave that is required to be paid to
22        employees of the Commissioner upon termination of
23        their service with the Commissioner in an amount that
24        is more than is reasonably anticipated to be necessary
25        for any anticipated turnover in employees, whether due
26        to normal attrition or due to layoffs, terminations, or

 

 

10000SB0009ham003- 150 -LRB100 06347 HLH 27908 a

1        resignations.
2            (d) The aggregate of all fees collected by the
3        Secretary under this Act, the Corporate Fiduciary Act,
4        or the Foreign Banking Office Act on and after July 1,
5        1979, shall be paid promptly after receipt of the same,
6        accompanied by a detailed statement thereof, into the
7        State treasury and shall be set apart in a special fund
8        to be known as the "Bank and Trust Company Fund",
9        except as provided in paragraph (c) of subsection (11)
10        of this Section. All earnings received from
11        investments of funds in the Bank and Trust Company Fund
12        shall be deposited in the Bank and Trust Company Fund
13        and may be used for the same purposes as fees deposited
14        in that Fund. The amount from time to time deposited
15        into the Bank and Trust Company Fund shall be used: (i)
16        to offset the ordinary administrative expenses of the
17        Secretary as defined in this Section or (ii) as a
18        credit against fees under paragraph (d-1) of this
19        subsection (3). Nothing in this amendatory Act of 1979
20        shall prevent continuing the practice of paying
21        expenses involving salaries, retirement, social
22        security, and State-paid insurance premiums of State
23        officers by appropriations from the General Revenue
24        Fund. However, the General Revenue Fund shall be
25        reimbursed for those payments made on and after July 1,
26        1979, by an annual transfer of funds from the Bank and

 

 

10000SB0009ham003- 151 -LRB100 06347 HLH 27908 a

1        Trust Company Fund. Moneys in the Bank and Trust
2        Company Fund may be transferred to the Professions
3        Indirect Cost Fund, as authorized under Section
4        2105-300 of the Department of Professional Regulation
5        Law of the Civil Administrative Code of Illinois.
6            Notwithstanding provisions in the State Finance
7        Act, as now or hereafter amended, or any other law to
8        the contrary, the sum of $18,788,847 shall be
9        transferred from the Bank and Trust Company Fund to the
10        Financial Institutions Settlement of 2008 Fund on the
11        effective date of this amendatory Act of the 95th
12        General Assembly, or as soon thereafter as practical.
13            Notwithstanding provisions in the State Finance
14        Act, as now or hereafter amended, or any other law to
15        the contrary, the Governor may, during any fiscal year
16        through January 10, 2011, from time to time direct the
17        State Treasurer and Comptroller to transfer a
18        specified sum not exceeding 10% of the revenues to be
19        deposited into the Bank and Trust Company Fund during
20        that fiscal year from that Fund to the General Revenue
21        Fund in order to help defray the State's operating
22        costs for the fiscal year. Notwithstanding provisions
23        in the State Finance Act, as now or hereafter amended,
24        or any other law to the contrary, the total sum
25        transferred during any fiscal year through January 10,
26        2011, from the Bank and Trust Company Fund to the

 

 

10000SB0009ham003- 152 -LRB100 06347 HLH 27908 a

1        General Revenue Fund pursuant to this provision shall
2        not exceed during any fiscal year 10% of the revenues
3        to be deposited into the Bank and Trust Company Fund
4        during that fiscal year. The State Treasurer and
5        Comptroller shall transfer the amounts designated
6        under this Section as soon as may be practicable after
7        receiving the direction to transfer from the Governor.
8            (d-1) Adequate funds shall be available in the Bank
9        and Trust Company Fund to permit the timely payment of
10        administration expenses. In each fiscal year the total
11        administration expenses shall be deducted from the
12        total fees collected by the Commissioner and the
13        remainder transferred into the Cash Flow Reserve
14        Account, unless the balance of the Cash Flow Reserve
15        Account prior to the transfer equals or exceeds
16        one-fourth of the total initial appropriations from
17        the Bank and Trust Company Fund for the subsequent
18        year, in which case the remainder shall be credited to
19        State banks and foreign banking corporations and
20        applied against their fees for the subsequent year. The
21        amount credited to each State bank and foreign banking
22        corporation shall be in the same proportion as the Call
23        Report Fees paid by each for the year bear to the total
24        Call Report Fees collected for the year. If, after a
25        transfer to the Cash Flow Reserve Account is made or if
26        no remainder is available for transfer, the balance of

 

 

10000SB0009ham003- 153 -LRB100 06347 HLH 27908 a

1        the Cash Flow Reserve Account is less than one-fourth
2        of the total initial appropriations for the subsequent
3        year and the amount transferred is less than 5% of the
4        total Call Report Fees for the year, additional amounts
5        needed to make the transfer equal to 5% of the total
6        Call Report Fees for the year shall be apportioned
7        amongst, assessed upon, and paid by the State banks and
8        foreign banking corporations in the same proportion
9        that the Call Report Fees of each, respectively, for
10        the year bear to the total Call Report Fees collected
11        for the year. The additional amounts assessed shall be
12        transferred into the Cash Flow Reserve Account. For
13        purposes of this paragraph (d-1), the calculation of
14        the fees collected by the Commissioner shall exclude
15        the receivership fees provided for in Section 5-10 of
16        the Corporate Fiduciary Act.
17            (e) The Commissioner may upon request certify to
18        any public record in his keeping and shall have
19        authority to levy a reasonable charge for issuing
20        certifications of any public record in his keeping.
21            (f) In addition to fees authorized elsewhere in
22        this Act, the Commissioner may, in connection with a
23        review, approval, or provision of a service, levy a
24        reasonable charge to recover the cost of the review,
25        approval, or service.
26        (4) Nothing contained in this Act shall be construed to

 

 

10000SB0009ham003- 154 -LRB100 06347 HLH 27908 a

1    limit the obligation relative to examinations and reports
2    of any State bank, deposits in which are to any extent
3    insured by the United States or any agency thereof, nor to
4    limit in any way the powers of the Commissioner with
5    reference to examinations and reports of that bank.
6        (5) The nature and condition of the assets in or
7    investment of any bonus, pension, or profit sharing plan
8    for officers or employees of every State bank or, after May
9    31, 1997, branch of an out-of-state bank shall be deemed to
10    be included in the affairs of that State bank or branch of
11    an out-of-state bank subject to examination by the
12    Commissioner under the provisions of subsection (2) of this
13    Section, and if the Commissioner shall find from an
14    examination that the condition of or operation of the
15    investments or assets of the plan is unlawful, fraudulent,
16    or unsafe, or that any trustee has abused his trust, the
17    Commissioner shall, if the situation so found by the
18    Commissioner shall not be corrected to his satisfaction
19    within 60 days after the Commissioner has given notice to
20    the board of directors of the State bank or out-of-state
21    bank of his findings, report the facts to the Attorney
22    General who shall thereupon institute proceedings against
23    the State bank or out-of-state bank, the board of directors
24    thereof, or the trustees under such plan as the nature of
25    the case may require.
26        (6) The Commissioner shall have the power:

 

 

10000SB0009ham003- 155 -LRB100 06347 HLH 27908 a

1            (a) To promulgate reasonable rules for the purpose
2        of administering the provisions of this Act.
3            (a-5) To impose conditions on any approval issued
4        by the Commissioner if he determines that the
5        conditions are necessary or appropriate. These
6        conditions shall be imposed in writing and shall
7        continue in effect for the period prescribed by the
8        Commissioner.
9            (b) To issue orders against any person, if the
10        Commissioner has reasonable cause to believe that an
11        unsafe or unsound banking practice has occurred, is
12        occurring, or is about to occur, if any person has
13        violated, is violating, or is about to violate any law,
14        rule, or written agreement with the Commissioner, or
15        for the purpose of administering the provisions of this
16        Act and any rule promulgated in accordance with this
17        Act.
18            (b-1) To enter into agreements with a bank
19        establishing a program to correct the condition of the
20        bank or its practices.
21            (c) To appoint hearing officers to execute any of
22        the powers granted to the Commissioner under this
23        Section for the purpose of administering this Act and
24        any rule promulgated in accordance with this Act and
25        otherwise to authorize, in writing, an officer or
26        employee of the Office of Banks and Real Estate to

 

 

10000SB0009ham003- 156 -LRB100 06347 HLH 27908 a

1        exercise his powers under this Act.
2            (d) To subpoena witnesses, to compel their
3        attendance, to administer an oath, to examine any
4        person under oath, and to require the production of any
5        relevant books, papers, accounts, and documents in the
6        course of and pursuant to any investigation being
7        conducted, or any action being taken, by the
8        Commissioner in respect of any matter relating to the
9        duties imposed upon, or the powers vested in, the
10        Commissioner under the provisions of this Act or any
11        rule promulgated in accordance with this Act.
12            (e) To conduct hearings.
13        (7) Whenever, in the opinion of the Secretary, any
14    director, officer, employee, or agent of a State bank or
15    any subsidiary or bank holding company of the bank or,
16    after May 31, 1997, of any branch of an out-of-state bank
17    or any subsidiary or bank holding company of the bank shall
18    have violated any law, rule, or order relating to that bank
19    or any subsidiary or bank holding company of the bank,
20    shall have obstructed or impeded any examination or
21    investigation by the Secretary, shall have engaged in an
22    unsafe or unsound practice in conducting the business of
23    that bank or any subsidiary or bank holding company of the
24    bank, or shall have violated any law or engaged or
25    participated in any unsafe or unsound practice in
26    connection with any financial institution or other

 

 

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1    business entity such that the character and fitness of the
2    director, officer, employee, or agent does not assure
3    reasonable promise of safe and sound operation of the State
4    bank, the Secretary may issue an order of removal. If, in
5    the opinion of the Secretary, any former director, officer,
6    employee, or agent of a State bank or any subsidiary or
7    bank holding company of the bank, prior to the termination
8    of his or her service with that bank or any subsidiary or
9    bank holding company of the bank, violated any law, rule,
10    or order relating to that State bank or any subsidiary or
11    bank holding company of the bank, obstructed or impeded any
12    examination or investigation by the Secretary, engaged in
13    an unsafe or unsound practice in conducting the business of
14    that bank or any subsidiary or bank holding company of the
15    bank, or violated any law or engaged or participated in any
16    unsafe or unsound practice in connection with any financial
17    institution or other business entity such that the
18    character and fitness of the director, officer, employee,
19    or agent would not have assured reasonable promise of safe
20    and sound operation of the State bank, the Secretary may
21    issue an order prohibiting that person from further service
22    with a bank or any subsidiary or bank holding company of
23    the bank as a director, officer, employee, or agent. An
24    order issued pursuant to this subsection shall be served
25    upon the director, officer, employee, or agent. A copy of
26    the order shall be sent to each director of the bank

 

 

10000SB0009ham003- 158 -LRB100 06347 HLH 27908 a

1    affected by registered mail. A copy of the order shall also
2    be served upon the bank of which he is a director, officer,
3    employee, or agent, whereupon he shall cease to be a
4    director, officer, employee, or agent of that bank. The
5    Secretary may institute a civil action against the
6    director, officer, or agent of the State bank or, after May
7    31, 1997, of the branch of the out-of-state bank against
8    whom any order provided for by this subsection (7) of this
9    Section 48 has been issued, and against the State bank or,
10    after May 31, 1997, out-of-state bank, to enforce
11    compliance with or to enjoin any violation of the terms of
12    the order. Any person who has been the subject of an order
13    of removal or an order of prohibition issued by the
14    Secretary under this subsection or Section 5-6 of the
15    Corporate Fiduciary Act may not thereafter serve as
16    director, officer, employee, or agent of any State bank or
17    of any branch of any out-of-state bank, or of any corporate
18    fiduciary, as defined in Section 1-5.05 of the Corporate
19    Fiduciary Act, or of any other entity that is subject to
20    licensure or regulation by the Division of Banking unless
21    the Secretary has granted prior approval in writing.
22        For purposes of this paragraph (7), "bank holding
23    company" has the meaning prescribed in Section 2 of the
24    Illinois Bank Holding Company Act of 1957.
25        (8) The Commissioner may impose civil penalties of up
26    to $100,000 against any person for each violation of any

 

 

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1    provision of this Act, any rule promulgated in accordance
2    with this Act, any order of the Commissioner, or any other
3    action which in the Commissioner's discretion is an unsafe
4    or unsound banking practice.
5        (9) The Commissioner may impose civil penalties of up
6    to $100 against any person for the first failure to comply
7    with reporting requirements set forth in the report of
8    examination of the bank and up to $200 for the second and
9    subsequent failures to comply with those reporting
10    requirements.
11        (10) All final administrative decisions of the
12    Commissioner hereunder shall be subject to judicial review
13    pursuant to the provisions of the Administrative Review
14    Law. For matters involving administrative review, venue
15    shall be in either Sangamon County or Cook County.
16        (11) The endowment fund for the Illinois Bank
17    Examiners' Education Foundation shall be administered as
18    follows:
19            (a) (Blank).
20            (b) The Foundation is empowered to receive
21        voluntary contributions, gifts, grants, bequests, and
22        donations on behalf of the Illinois Bank Examiners'
23        Education Foundation from national banks and other
24        persons for the purpose of funding the endowment of the
25        Illinois Bank Examiners' Education Foundation.
26            (c) The aggregate of all special educational fees

 

 

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1        collected by the Secretary and property received by the
2        Secretary on behalf of the Illinois Bank Examiners'
3        Education Foundation under this subsection (11) on or
4        after June 30, 1986, shall be either (i) promptly paid
5        after receipt of the same, accompanied by a detailed
6        statement thereof, into the State Treasury and shall be
7        set apart in a special fund to be known as "The
8        Illinois Bank Examiners' Education Fund" to be
9        invested by either the Treasurer of the State of
10        Illinois in the Public Treasurers' Investment Pool or
11        in any other investment he is authorized to make or by
12        the Illinois State Board of Investment as the State
13        Banking Board of Illinois may direct or (ii) deposited
14        into an account maintained in a commercial bank or
15        corporate fiduciary in the name of the Illinois Bank
16        Examiners' Education Foundation pursuant to the order
17        and direction of the Board of Trustees of the Illinois
18        Bank Examiners' Education Foundation.
19        (12) (Blank).
20        (13) The Secretary may borrow funds from the General
21    Revenue Fund on behalf of the Bank and Trust Company Fund
22    if the Director of Banking certifies to the Governor that
23    there is an economic emergency affecting banking that
24    requires a borrowing to provide additional funds to the
25    Bank and Trust Company Fund. The borrowed funds shall be
26    paid back within 3 years and shall not exceed the total

 

 

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1    funding appropriated to the Agency in the previous year.
2        (14) In addition to the fees authorized in this Act,
3    the Secretary may assess reasonable receivership fees
4    against any State bank that does not maintain insurance
5    with the Federal Deposit Insurance Corporation. All fees
6    collected under this subsection (14) shall be paid into the
7    Non-insured Institutions Receivership account in the Bank
8    and Trust Company Fund, as established by the Secretary.
9    The fees assessed under this subsection (14) shall provide
10    for the expenses that arise from the administration of the
11    receivership of any such institution required to pay into
12    the Non-insured Institutions Receivership account, whether
13    pursuant to this Act, the Corporate Fiduciary Act, the
14    Foreign Banking Office Act, or any other Act that requires
15    payments into the Non-insured Institutions Receivership
16    account. The Secretary may establish by rule a reasonable
17    manner of assessing fees under this subsection (14).
18(Source: P.A. 98-784, eff. 7-24-14; 99-39, eff. 1-1-16.)
 
19    (205 ILCS 5/48.1)  (from Ch. 17, par. 360)
20    Sec. 48.1. Customer financial records; confidentiality.
21    (a) For the purpose of this Section, the term "financial
22records" means any original, any copy, or any summary of:
23        (1) a document granting signature authority over a
24    deposit or account;
25        (2) a statement, ledger card or other record on any

 

 

10000SB0009ham003- 162 -LRB100 06347 HLH 27908 a

1    deposit or account, which shows each transaction in or with
2    respect to that account;
3        (3) a check, draft or money order drawn on a bank or
4    issued and payable by a bank; or
5        (4) any other item containing information pertaining
6    to any relationship established in the ordinary course of a
7    bank's business between a bank and its customer, including
8    financial statements or other financial information
9    provided by the customer.
10    (b) This Section does not prohibit:
11        (1) The preparation, examination, handling or
12    maintenance of any financial records by any officer,
13    employee or agent of a bank having custody of the records,
14    or the examination of the records by a certified public
15    accountant engaged by the bank to perform an independent
16    audit.
17        (2) The examination of any financial records by, or the
18    furnishing of financial records by a bank to, any officer,
19    employee or agent of (i) the Commissioner of Banks and Real
20    Estate, (ii) after May 31, 1997, a state regulatory
21    authority authorized to examine a branch of a State bank
22    located in another state, (iii) the Comptroller of the
23    Currency, (iv) the Federal Reserve Board, or (v) the
24    Federal Deposit Insurance Corporation for use solely in the
25    exercise of his duties as an officer, employee, or agent.
26        (3) The publication of data furnished from financial

 

 

10000SB0009ham003- 163 -LRB100 06347 HLH 27908 a

1    records relating to customers where the data cannot be
2    identified to any particular customer or account.
3        (4) The making of reports or returns required under
4    Chapter 61 of the Internal Revenue Code of 1986.
5        (5) Furnishing information concerning the dishonor of
6    any negotiable instrument permitted to be disclosed under
7    the Uniform Commercial Code.
8        (6) The exchange in the regular course of business of
9    (i) credit information between a bank and other banks or
10    financial institutions or commercial enterprises, directly
11    or through a consumer reporting agency or (ii) financial
12    records or information derived from financial records
13    between a bank and other banks or financial institutions or
14    commercial enterprises for the purpose of conducting due
15    diligence pursuant to a purchase or sale involving the bank
16    or assets or liabilities of the bank.
17        (7) The furnishing of information to the appropriate
18    law enforcement authorities where the bank reasonably
19    believes it has been the victim of a crime.
20        (8) The furnishing of information under the Revised
21    Uniform Disposition of Unclaimed Property Act.
22        (9) The furnishing of information under the Illinois
23    Income Tax Act and the Illinois Estate and
24    Generation-Skipping Transfer Tax Act.
25        (10) The furnishing of information under the federal
26    Currency and Foreign Transactions Reporting Act Title 31,

 

 

10000SB0009ham003- 164 -LRB100 06347 HLH 27908 a

1    United States Code, Section 1051 et seq.
2        (11) The furnishing of information under any other
3    statute that by its terms or by regulations promulgated
4    thereunder requires the disclosure of financial records
5    other than by subpoena, summons, warrant, or court order.
6        (12) The furnishing of information about the existence
7    of an account of a person to a judgment creditor of that
8    person who has made a written request for that information.
9        (13) The exchange in the regular course of business of
10    information between commonly owned banks in connection
11    with a transaction authorized under paragraph (23) of
12    Section 5 and conducted at an affiliate facility.
13        (14) The furnishing of information in accordance with
14    the federal Personal Responsibility and Work Opportunity
15    Reconciliation Act of 1996. Any bank governed by this Act
16    shall enter into an agreement for data exchanges with a
17    State agency provided the State agency pays to the bank a
18    reasonable fee not to exceed its actual cost incurred. A
19    bank providing information in accordance with this item
20    shall not be liable to any account holder or other person
21    for any disclosure of information to a State agency, for
22    encumbering or surrendering any assets held by the bank in
23    response to a lien or order to withhold and deliver issued
24    by a State agency, or for any other action taken pursuant
25    to this item, including individual or mechanical errors,
26    provided the action does not constitute gross negligence or

 

 

10000SB0009ham003- 165 -LRB100 06347 HLH 27908 a

1    willful misconduct. A bank shall have no obligation to
2    hold, encumber, or surrender assets until it has been
3    served with a subpoena, summons, warrant, court or
4    administrative order, lien, or levy.
5        (15) The exchange in the regular course of business of
6    information between a bank and any commonly owned affiliate
7    of the bank, subject to the provisions of the Financial
8    Institutions Insurance Sales Law.
9        (16) The furnishing of information to law enforcement
10    authorities, the Illinois Department on Aging and its
11    regional administrative and provider agencies, the
12    Department of Human Services Office of Inspector General,
13    or public guardians: (i) upon subpoena by the investigatory
14    entity or the guardian, or (ii) if there is suspicion by
15    the bank that a customer who is an elderly person or person
16    with a disability has been or may become the victim of
17    financial exploitation. For the purposes of this item (16),
18    the term: (i) "elderly person" means a person who is 60 or
19    more years of age, (ii) "disabled person" means a person
20    who has or reasonably appears to the bank to have a
21    physical or mental disability that impairs his or her
22    ability to seek or obtain protection from or prevent
23    financial exploitation, and (iii) "financial exploitation"
24    means tortious or illegal use of the assets or resources of
25    an elderly or disabled person, and includes, without
26    limitation, misappropriation of the elderly or disabled

 

 

10000SB0009ham003- 166 -LRB100 06347 HLH 27908 a

1    person's assets or resources by undue influence, breach of
2    fiduciary relationship, intimidation, fraud, deception,
3    extortion, or the use of assets or resources in any manner
4    contrary to law. A bank or person furnishing information
5    pursuant to this item (16) shall be entitled to the same
6    rights and protections as a person furnishing information
7    under the Adult Protective Services Act and the Illinois
8    Domestic Violence Act of 1986.
9        (17) The disclosure of financial records or
10    information as necessary to effect, administer, or enforce
11    a transaction requested or authorized by the customer, or
12    in connection with:
13            (A) servicing or processing a financial product or
14        service requested or authorized by the customer;
15            (B) maintaining or servicing a customer's account
16        with the bank; or
17            (C) a proposed or actual securitization or
18        secondary market sale (including sales of servicing
19        rights) related to a transaction of a customer.
20        Nothing in this item (17), however, authorizes the sale
21    of the financial records or information of a customer
22    without the consent of the customer.
23        (18) The disclosure of financial records or
24    information as necessary to protect against actual or
25    potential fraud, unauthorized transactions, claims, or
26    other liability.

 

 

10000SB0009ham003- 167 -LRB100 06347 HLH 27908 a

1        (19)(a) The disclosure of financial records or
2    information related to a private label credit program
3    between a financial institution and a private label party
4    in connection with that private label credit program. Such
5    information is limited to outstanding balance, available
6    credit, payment and performance and account history,
7    product references, purchase information, and information
8    related to the identity of the customer.
9        (b)(1) For purposes of this paragraph (19) of
10    subsection (b) of Section 48.1, a "private label credit
11    program" means a credit program involving a financial
12    institution and a private label party that is used by a
13    customer of the financial institution and the private label
14    party primarily for payment for goods or services sold,
15    manufactured, or distributed by a private label party.
16        (2) For purposes of this paragraph (19) of subsection
17    (b) of Section 48.1, a "private label party" means, with
18    respect to a private label credit program, any of the
19    following: a retailer, a merchant, a manufacturer, a trade
20    group, or any such person's affiliate, subsidiary, member,
21    agent, or service provider.
22    (c) Except as otherwise provided by this Act, a bank may
23not disclose to any person, except to the customer or his duly
24authorized agent, any financial records or financial
25information obtained from financial records relating to that
26customer of that bank unless:

 

 

10000SB0009ham003- 168 -LRB100 06347 HLH 27908 a

1        (1) the customer has authorized disclosure to the
2    person;
3        (2) the financial records are disclosed in response to
4    a lawful subpoena, summons, warrant, citation to discover
5    assets, or court order which meets the requirements of
6    subsection (d) of this Section; or
7        (3) the bank is attempting to collect an obligation
8    owed to the bank and the bank complies with the provisions
9    of Section 2I of the Consumer Fraud and Deceptive Business
10    Practices Act.
11    (d) A bank shall disclose financial records under paragraph
12(2) of subsection (c) of this Section under a lawful subpoena,
13summons, warrant, citation to discover assets, or court order
14only after the bank mails a copy of the subpoena, summons,
15warrant, citation to discover assets, or court order to the
16person establishing the relationship with the bank, if living,
17and, otherwise his personal representative, if known, at his
18last known address by first class mail, postage prepaid, unless
19the bank is specifically prohibited from notifying the person
20by order of court or by applicable State or federal law. A bank
21shall not mail a copy of a subpoena to any person pursuant to
22this subsection if the subpoena was issued by a grand jury
23under the Statewide Grand Jury Act.
24    (e) Any officer or employee of a bank who knowingly and
25willfully furnishes financial records in violation of this
26Section is guilty of a business offense and, upon conviction,

 

 

10000SB0009ham003- 169 -LRB100 06347 HLH 27908 a

1shall be fined not more than $1,000.
2    (f) Any person who knowingly and willfully induces or
3attempts to induce any officer or employee of a bank to
4disclose financial records in violation of this Section is
5guilty of a business offense and, upon conviction, shall be
6fined not more than $1,000.
7    (g) A bank shall be reimbursed for costs that are
8reasonably necessary and that have been directly incurred in
9searching for, reproducing, or transporting books, papers,
10records, or other data of a customer required or requested to
11be produced pursuant to a lawful subpoena, summons, warrant,
12citation to discover assets, or court order. The Commissioner
13shall determine the rates and conditions under which payment
14may be made.
15(Source: P.A. 98-49, eff. 7-1-13; 99-143, eff. 7-27-15.)
 
16    (205 ILCS 5/48.3)  (from Ch. 17, par. 360.2)
17    Sec. 48.3. Disclosure of reports of examinations and
18confidential supervisory information; limitations.
19    (a) Any report of examination, visitation, or
20investigation prepared by the Commissioner under this Act, the
21Electronic Fund Transfer Act, the Corporate Fiduciary Act, the
22Illinois Bank Holding Company Act of 1957, and the Foreign
23Banking Office Act, any report of examination, visitation, or
24investigation prepared by the state regulatory authority of
25another state that examines a branch of an Illinois State bank

 

 

10000SB0009ham003- 170 -LRB100 06347 HLH 27908 a

1in that state, any document or record prepared or obtained in
2connection with or relating to any examination, visitation, or
3investigation, and any record prepared or obtained by the
4Commissioner to the extent that the record summarizes or
5contains information derived from any report, document, or
6record described in this subsection shall be deemed
7"confidential supervisory information". Confidential
8supervisory information shall not include any information or
9record routinely prepared by a bank or other financial
10institution and maintained in the ordinary course of business
11or any information or record that is required to be made
12publicly available pursuant to State or federal law or rule.
13Confidential supervisory information shall be the property of
14the Commissioner and shall only be disclosed under the
15circumstances and for the purposes set forth in this Section.
16     The Commissioner may disclose confidential supervisory
17information only under the following circumstances:
18        (1) The Commissioner may furnish confidential
19    supervisory information to the Board of Governors of the
20    Federal Reserve System, the federal reserve bank of the
21    federal reserve district in which the State bank is located
22    or in which the parent or other affiliate of the State bank
23    is located, any official or examiner thereof duly
24    accredited for the purpose, or any other state regulator,
25    federal regulator, or in the case of a foreign bank
26    possessing a certificate of authority pursuant to the

 

 

10000SB0009ham003- 171 -LRB100 06347 HLH 27908 a

1    Foreign Banking Office Act or a license pursuant to the
2    Foreign Bank Representative Office Act, the bank regulator
3    in the country where the foreign bank is chartered, that
4    the Commissioner determines to have an appropriate
5    regulatory interest. Nothing contained in this Act shall be
6    construed to limit the obligation of any member State bank
7    to comply with the requirements relative to examinations
8    and reports of the Federal Reserve Act and of the Board of
9    Governors of the Federal Reserve System or the federal
10    reserve bank of the federal reserve district in which the
11    bank is located, nor to limit in any way the powers of the
12    Commissioner with reference to examinations and reports.
13        (2) The Commissioner may furnish confidential
14    supervisory information to the United States, any agency
15    thereof that has insured a bank's deposits in whole or in
16    part, or any official or examiner thereof duly accredited
17    for the purpose. Nothing contained in this Act shall be
18    construed to limit the obligation relative to examinations
19    and reports of any State bank, deposits in which are to any
20    extent insured by the United States, any agency thereof,
21    nor to limit in any way the powers of the Commissioner with
22    reference to examination and reports of such bank.
23        (3) The Commissioner may furnish confidential
24    supervisory information to the appropriate law enforcement
25    authorities when the Commissioner reasonably believes a
26    bank, which the Commissioner has caused to be examined, has

 

 

10000SB0009ham003- 172 -LRB100 06347 HLH 27908 a

1    been a victim of a crime.
2        (4) The Commissioner may furnish confidential
3    supervisory information relating to a bank or other
4    financial institution, which the Commissioner has caused
5    to be examined, to be sent to the administrator of the
6    Revised Uniform Disposition of Unclaimed Property Act.
7        (5) The Commissioner may furnish confidential
8    supervisory information relating to a bank or other
9    financial institution, which the Commissioner has caused
10    to be examined, relating to its performance of obligations
11    under the Illinois Income Tax Act and the Illinois Estate
12    and Generation-Skipping Transfer Tax Act to the Illinois
13    Department of Revenue.
14        (6) The Commissioner may furnish confidential
15    supervisory information relating to a bank or other
16    financial institution, which the Commissioner has caused
17    to be examined, under the federal Currency and Foreign
18    Transactions Reporting Act, Title 31, United States Code,
19    Section 1051 et seq.
20        (6.5) The Commissioner may furnish confidential
21    supervisory information to any other agency or entity that
22    the Commissioner determines to have a legitimate
23    regulatory interest.
24        (7) The Commissioner may furnish confidential
25    supervisory information under any other statute that by its
26    terms or by regulations promulgated thereunder requires

 

 

10000SB0009ham003- 173 -LRB100 06347 HLH 27908 a

1    the disclosure of financial records other than by subpoena,
2    summons, warrant, or court order.
3        (8) At the request of the affected bank or other
4    financial institution, the Commissioner may furnish
5    confidential supervisory information relating to a bank or
6    other financial institution, which the Commissioner has
7    caused to be examined, in connection with the obtaining of
8    insurance coverage or the pursuit of an insurance claim for
9    or on behalf of the bank or other financial institution;
10    provided that, when possible, the Commissioner shall
11    disclose only relevant information while maintaining the
12    confidentiality of financial records not relevant to such
13    insurance coverage or claim and, when appropriate, may
14    delete identifying data relating to any person or
15    individual.
16        (9) The Commissioner may furnish a copy of a report of
17    any examination performed by the Commissioner of the
18    condition and affairs of any electronic data processing
19    entity to the banks serviced by the electronic data
20    processing entity.
21        (10) In addition to the foregoing circumstances, the
22    Commissioner may, but is not required to, furnish
23    confidential supervisory information under the same
24    circumstances authorized for the bank or financial
25    institution pursuant to subsection (b) of this Section,
26    except that the Commissioner shall provide confidential

 

 

10000SB0009ham003- 174 -LRB100 06347 HLH 27908 a

1    supervisory information under circumstances described in
2    paragraph (3) of subsection (b) of this Section only upon
3    the request of the bank or other financial institution.
4    (b) A bank or other financial institution or its officers,
5agents, and employees may disclose confidential supervisory
6information only under the following circumstances:
7        (1) to the board of directors of the bank or other
8    financial institution, as well as the president,
9    vice-president, cashier, and other officers of the bank or
10    other financial institution to whom the board of directors
11    may delegate duties with respect to compliance with
12    recommendations for action, and to the board of directors
13    of a bank holding company that owns at least 80% of the
14    outstanding stock of the bank or other financial
15    institution;
16        (2) to attorneys for the bank or other financial
17    institution and to a certified public accountant engaged by
18    the State bank or financial institution to perform an
19    independent audit provided that the attorney or certified
20    public accountant shall not permit the confidential
21    supervisory information to be further disseminated;
22        (3) to any person who seeks to acquire a controlling
23    interest in, or who seeks to merge with, the bank or
24    financial institution, provided that all attorneys,
25    certified public accountants, officers, agents, or
26    employees of that person shall agree to be bound to respect

 

 

10000SB0009ham003- 175 -LRB100 06347 HLH 27908 a

1    the confidentiality of the confidential supervisory
2    information and to not further disseminate the information
3    therein contained;
4        (4) (blank); or
5        (5) to the bank's insurance company in relation to an
6    insurance claim or the effort by the bank to procure
7    insurance coverage, provided that, when possible, the bank
8    shall disclose only information that is relevant to the
9    insurance claim or that is necessary to procure the
10    insurance coverage, while maintaining the confidentiality
11    of financial information pertaining to customers. When
12    appropriate, the bank may delete identifying data relating
13    to any person.
14    The disclosure of confidential supervisory information by
15a bank or other financial institution pursuant to this
16subsection (b) and the disclosure of information to the
17Commissioner or other regulatory agency in connection with any
18examination, visitation, or investigation shall not constitute
19a waiver of any legal privilege otherwise available to the bank
20or other financial institution with respect to the information.
21    (c) (1) Notwithstanding any other provision of this Act or
22any other law, confidential supervisory information shall be
23the property of the Commissioner and shall be privileged from
24disclosure to any person except as provided in this Section. No
25person in possession of confidential supervisory information
26may disclose that information for any reason or under any

 

 

10000SB0009ham003- 176 -LRB100 06347 HLH 27908 a

1circumstances not specified in this Section without the prior
2authorization of the Commissioner. Any person upon whom a
3demand for production of confidential supervisory information
4is made, whether by subpoena, order, or other judicial or
5administrative process, must withhold production of the
6confidential supervisory information and must notify the
7Commissioner of the demand, at which time the Commissioner is
8authorized to intervene for the purpose of enforcing the
9limitations of this Section or seeking the withdrawal or
10termination of the attempt to compel production of the
11confidential supervisory information.
12    (2) Any request for discovery or disclosure of confidential
13supervisory information, whether by subpoena, order, or other
14judicial or administrative process, shall be made to the
15Commissioner, and the Commissioner shall determine within 15
16days whether to disclose the information pursuant to procedures
17and standards that the Commissioner shall establish by rule. If
18the Commissioner determines that such information will not be
19disclosed, the Commissioner's decision shall be subject to
20judicial review under the provisions of the Administrative
21Review Law, and venue shall be in either Sangamon County or
22Cook County.
23    (3) Any court order that compels disclosure of confidential
24supervisory information may be immediately appealed by the
25Commissioner, and the order shall be automatically stayed
26pending the outcome of the appeal.

 

 

10000SB0009ham003- 177 -LRB100 06347 HLH 27908 a

1    (d) If any officer, agent, attorney, or employee of a bank
2or financial institution knowingly and willfully furnishes
3confidential supervisory information in violation of this
4Section, the Commissioner may impose a civil monetary penalty
5up to $1,000 for the violation against the officer, agent,
6attorney, or employee.
7(Source: P.A. 90-301, eff. 8-1-97; 91-201, eff. 1-1-00.)
 
8    (205 ILCS 5/65)  (from Ch. 17, par. 377)
9    Sec. 65. Dividends; dissolution. From time to time during a
10receivership other than a receivership conducted by the Federal
11Deposit Insurance Corporation, the Commissioner shall make and
12pay from monies of the bank a ratable dividend on all claims as
13may be proved to his or her satisfaction or adjudicated by the
14court. Claims so proven or adjudicated shall bear interest at
15the rate of 3% per annum from the date of the appointment of
16the receiver to the date of payment, but all dividends on a
17claim shall be applied first to principal. In computing the
18amount of any dividend to be paid, if the Commissioner deems it
19desirable in the interests of economy of administration and to
20the interest of the bank and its creditors, he or she may pay
21up to the amount of $10 of each claim or unpaid portion thereof
22in full. As the proceeds of the assets of the bank are
23collected in the course of liquidation, the Commissioner shall
24make and pay further dividends on all claims previously proven
25or adjudicated. After one year from the entry of a judgment of

 

 

10000SB0009ham003- 178 -LRB100 06347 HLH 27908 a

1dissolution, all unclaimed dividends shall be remitted to the
2State Treasurer in accordance with the Revised Uniform
3Unclaimed Property Act "Uniform Disposition of Unclaimed
4Property Act", as now or hereafter amended, together with a
5list of all unpaid claimants, their last known addresses and
6the amounts unpaid.
7(Source: P.A. 91-16, eff. 7-1-99.)
 
8    Section 17-55. The Savings Bank Act is amended by changing
9Sections 4013, 9012, and 10090 as follows:
 
10    (205 ILCS 205/4013)  (from Ch. 17, par. 7304-13)
11    Sec. 4013. Access to books and records; communication with
12members and shareholders.
13    (a) Every member or shareholder shall have the right to
14inspect books and records of the savings bank that pertain to
15his accounts. Otherwise, the right of inspection and
16examination of the books and records shall be limited as
17provided in this Act, and no other person shall have access to
18the books and records nor shall be entitled to a list of the
19members or shareholders.
20    (b) For the purpose of this Section, the term "financial
21records" means any original, any copy, or any summary of (1) a
22document granting signature authority over a deposit or
23account; (2) a statement, ledger card, or other record on any
24deposit or account that shows each transaction in or with

 

 

10000SB0009ham003- 179 -LRB100 06347 HLH 27908 a

1respect to that account; (3) a check, draft, or money order
2drawn on a savings bank or issued and payable by a savings
3bank; or (4) any other item containing information pertaining
4to any relationship established in the ordinary course of a
5savings bank's business between a savings bank and its
6customer, including financial statements or other financial
7information provided by the member or shareholder.
8    (c) This Section does not prohibit:
9        (1) The preparation, examination, handling, or
10    maintenance of any financial records by any officer,
11    employee, or agent of a savings bank having custody of
12    records or examination of records by a certified public
13    accountant engaged by the savings bank to perform an
14    independent audit.
15        (2) The examination of any financial records by, or the
16    furnishing of financial records by a savings bank to, any
17    officer, employee, or agent of the Commissioner of Banks
18    and Real Estate or the federal depository institution
19    regulator for use solely in the exercise of his duties as
20    an officer, employee, or agent.
21        (3) The publication of data furnished from financial
22    records relating to members or holders of capital where the
23    data cannot be identified to any particular member,
24    shareholder, or account.
25        (4) The making of reports or returns required under
26    Chapter 61 of the Internal Revenue Code of 1986.

 

 

10000SB0009ham003- 180 -LRB100 06347 HLH 27908 a

1        (5) Furnishing information concerning the dishonor of
2    any negotiable instrument permitted to be disclosed under
3    the Uniform Commercial Code.
4        (6) The exchange in the regular course of business of
5    (i) credit information between a savings bank and other
6    savings banks or financial institutions or commercial
7    enterprises, directly or through a consumer reporting
8    agency or (ii) financial records or information derived
9    from financial records between a savings bank and other
10    savings banks or financial institutions or commercial
11    enterprises for the purpose of conducting due diligence
12    pursuant to a purchase or sale involving the savings bank
13    or assets or liabilities of the savings bank.
14        (7) The furnishing of information to the appropriate
15    law enforcement authorities where the savings bank
16    reasonably believes it has been the victim of a crime.
17        (8) The furnishing of information pursuant to the
18    Revised Uniform Disposition of Unclaimed Property Act.
19        (9) The furnishing of information pursuant to the
20    Illinois Income Tax Act and the Illinois Estate and
21    Generation-Skipping Transfer Tax Act.
22        (10) The furnishing of information pursuant to the
23    federal "Currency and Foreign Transactions Reporting Act",
24    (Title 31, United States Code, Section 1051 et seq.).
25        (11) The furnishing of information pursuant to any
26    other statute which by its terms or by regulations

 

 

10000SB0009ham003- 181 -LRB100 06347 HLH 27908 a

1    promulgated thereunder requires the disclosure of
2    financial records other than by subpoena, summons,
3    warrant, or court order.
4        (12) The furnishing of information in accordance with
5    the federal Personal Responsibility and Work Opportunity
6    Reconciliation Act of 1996. Any savings bank governed by
7    this Act shall enter into an agreement for data exchanges
8    with a State agency provided the State agency pays to the
9    savings bank a reasonable fee not to exceed its actual cost
10    incurred. A savings bank providing information in
11    accordance with this item shall not be liable to any
12    account holder or other person for any disclosure of
13    information to a State agency, for encumbering or
14    surrendering any assets held by the savings bank in
15    response to a lien or order to withhold and deliver issued
16    by a State agency, or for any other action taken pursuant
17    to this item, including individual or mechanical errors,
18    provided the action does not constitute gross negligence or
19    willful misconduct. A savings bank shall have no obligation
20    to hold, encumber, or surrender assets until it has been
21    served with a subpoena, summons, warrant, court or
22    administrative order, lien, or levy.
23        (13) The furnishing of information to law enforcement
24    authorities, the Illinois Department on Aging and its
25    regional administrative and provider agencies, the
26    Department of Human Services Office of Inspector General,

 

 

10000SB0009ham003- 182 -LRB100 06347 HLH 27908 a

1    or public guardians: (i) upon subpoena by the investigatory
2    entity or the guardian, or (ii) if there is suspicion by
3    the savings bank that a customer who is an elderly person
4    or person with a disability has been or may become the
5    victim of financial exploitation. For the purposes of this
6    item (13), the term: (i) "elderly person" means a person
7    who is 60 or more years of age, (ii) "person with a
8    disability" means a person who has or reasonably appears to
9    the savings bank to have a physical or mental disability
10    that impairs his or her ability to seek or obtain
11    protection from or prevent financial exploitation, and
12    (iii) "financial exploitation" means tortious or illegal
13    use of the assets or resources of an elderly person or
14    person with a disability, and includes, without
15    limitation, misappropriation of the assets or resources of
16    the elderly person or person with a disability by undue
17    influence, breach of fiduciary relationship, intimidation,
18    fraud, deception, extortion, or the use of assets or
19    resources in any manner contrary to law. A savings bank or
20    person furnishing information pursuant to this item (13)
21    shall be entitled to the same rights and protections as a
22    person furnishing information under the Adult Protective
23    Services Act and the Illinois Domestic Violence Act of
24    1986.
25        (14) The disclosure of financial records or
26    information as necessary to effect, administer, or enforce

 

 

10000SB0009ham003- 183 -LRB100 06347 HLH 27908 a

1    a transaction requested or authorized by the member or
2    holder of capital, or in connection with:
3            (A) servicing or processing a financial product or
4        service requested or authorized by the member or holder
5        of capital;
6            (B) maintaining or servicing an account of a member
7        or holder of capital with the savings bank; or
8            (C) a proposed or actual securitization or
9        secondary market sale (including sales of servicing
10        rights) related to a transaction of a member or holder
11        of capital.
12        Nothing in this item (14), however, authorizes the sale
13    of the financial records or information of a member or
14    holder of capital without the consent of the member or
15    holder of capital.
16        (15) The exchange in the regular course of business of
17    information between a savings bank and any commonly owned
18    affiliate of the savings bank, subject to the provisions of
19    the Financial Institutions Insurance Sales Law.
20        (16) The disclosure of financial records or
21    information as necessary to protect against or prevent
22    actual or potential fraud, unauthorized transactions,
23    claims, or other liability.
24        (17)(a) The disclosure of financial records or
25    information related to a private label credit program
26    between a financial institution and a private label party

 

 

10000SB0009ham003- 184 -LRB100 06347 HLH 27908 a

1    in connection with that private label credit program. Such
2    information is limited to outstanding balance, available
3    credit, payment and performance and account history,
4    product references, purchase information, and information
5    related to the identity of the customer.
6        (b)(1) For purposes of this paragraph (17) of
7    subsection (c) of Section 4013, a "private label credit
8    program" means a credit program involving a financial
9    institution and a private label party that is used by a
10    customer of the financial institution and the private label
11    party primarily for payment for goods or services sold,
12    manufactured, or distributed by a private label party.
13        (2) For purposes of this paragraph (17) of subsection
14    (c) of Section 4013, a "private label party" means, with
15    respect to a private label credit program, any of the
16    following: a retailer, a merchant, a manufacturer, a trade
17    group, or any such person's affiliate, subsidiary, member,
18    agent, or service provider.
19    (d) A savings bank may not disclose to any person, except
20to the member or holder of capital or his duly authorized
21agent, any financial records relating to that member or
22shareholder of the savings bank unless:
23        (1) the member or shareholder has authorized
24    disclosure to the person; or
25        (2) the financial records are disclosed in response to
26    a lawful subpoena, summons, warrant, citation to discover

 

 

10000SB0009ham003- 185 -LRB100 06347 HLH 27908 a

1    assets, or court order that meets the requirements of
2    subsection (e) of this Section.
3    (e) A savings bank shall disclose financial records under
4subsection (d) of this Section pursuant to a lawful subpoena,
5summons, warrant, citation to discover assets, or court order
6only after the savings bank mails a copy of the subpoena,
7summons, warrant, citation to discover assets, or court order
8to the person establishing the relationship with the savings
9bank, if living, and otherwise, his personal representative, if
10known, at his last known address by first class mail, postage
11prepaid, unless the savings bank is specifically prohibited
12from notifying the person by order of court.
13    (f) Any officer or employee of a savings bank who knowingly
14and willfully furnishes financial records in violation of this
15Section is guilty of a business offense and, upon conviction,
16shall be fined not more than $1,000.
17    (g) Any person who knowingly and willfully induces or
18attempts to induce any officer or employee of a savings bank to
19disclose financial records in violation of this Section is
20guilty of a business offense and, upon conviction, shall be
21fined not more than $1,000.
22    (h) If any member or shareholder desires to communicate
23with the other members or shareholders of the savings bank with
24reference to any question pending or to be presented at an
25annual or special meeting, the savings bank shall give that
26person, upon request, a statement of the approximate number of

 

 

10000SB0009ham003- 186 -LRB100 06347 HLH 27908 a

1members or shareholders entitled to vote at the meeting and an
2estimate of the cost of preparing and mailing the
3communication. The requesting member shall submit the
4communication to the Commissioner who, upon finding it to be
5appropriate and truthful, shall direct that it be prepared and
6mailed to the members upon the requesting member's or
7shareholder's payment or adequate provision for payment of the
8expenses of preparation and mailing.
9    (i) A savings bank shall be reimbursed for costs that are
10necessary and that have been directly incurred in searching
11for, reproducing, or transporting books, papers, records, or
12other data of a customer required to be reproduced pursuant to
13a lawful subpoena, warrant, citation to discover assets, or
14court order.
15    (j) Notwithstanding the provisions of this Section, a
16savings bank may sell or otherwise make use of lists of
17customers' names and addresses. All other information
18regarding a customer's account is are subject to the disclosure
19provisions of this Section. At the request of any customer,
20that customer's name and address shall be deleted from any list
21that is to be sold or used in any other manner beyond
22identification of the customer's accounts.
23(Source: P.A. 98-49, eff. 7-1-13; 99-143, eff. 7-27-15; revised
249-14-16.)
 
25    (205 ILCS 205/9012)  (from Ch. 17, par. 7309-12)

 

 

10000SB0009ham003- 187 -LRB100 06347 HLH 27908 a

1    Sec. 9012. Disclosure of reports of examinations and
2confidential supervisory information; limitations.
3    (a) Any report of examination, visitation, or
4investigation prepared by the Commissioner under this Act, any
5report of examination, visitation, or investigation prepared
6by the state regulatory authority of another state that
7examines a branch of an Illinois State savings bank in that
8state, any document or record prepared or obtained in
9connection with or relating to any examination, visitation, or
10investigation, and any record prepared or obtained by the
11Commissioner to the extent that the record summarizes or
12contains information derived from any report, document, or
13record described in this subsection shall be deemed
14confidential supervisory information. "Confidential
15supervisory information" shall not include any information or
16record routinely prepared by a savings bank and maintained in
17the ordinary course of business or any information or record
18that is required to be made publicly available pursuant to
19State or federal law or rule. Confidential supervisory
20information shall be the property of the Commissioner and shall
21only be disclosed under the circumstances and for the purposes
22set forth in this Section.
23    The Commissioner may disclose confidential supervisory
24information only under the following circumstances:
25        (1) The Commissioner may furnish confidential
26    supervisory information to federal and state depository

 

 

10000SB0009ham003- 188 -LRB100 06347 HLH 27908 a

1    institution regulators, or any official or examiner
2    thereof duly accredited for the purpose. Nothing contained
3    in this Act shall be construed to limit the obligation of
4    any savings bank to comply with the requirements relative
5    to examinations and reports nor to limit in any way the
6    powers of the Commissioner relative to examinations and
7    reports.
8        (2) The Commissioner may furnish confidential
9    supervisory information to the United States or any agency
10    thereof that to any extent has insured a savings bank's
11    deposits, or any official or examiner thereof duly
12    accredited for the purpose. Nothing contained in this Act
13    shall be construed to limit the obligation relative to
14    examinations and reports of any savings bank in which
15    deposits are to any extent insured by the United States or
16    any agency thereof nor to limit in any way the powers of
17    the Commissioner with reference to examination and reports
18    of the savings bank.
19        (3) The Commissioner may furnish confidential
20    supervisory information to the appropriate law enforcement
21    authorities when the Commissioner reasonably believes a
22    savings bank, which the Commissioner has caused to be
23    examined, has been a victim of a crime.
24        (4) The Commissioner may furnish confidential
25    supervisory information related to a savings bank, which
26    the Commissioner has caused to be examined, to the

 

 

10000SB0009ham003- 189 -LRB100 06347 HLH 27908 a

1    administrator of the Revised Uniform Disposition of
2    Unclaimed Property Act.
3        (5) The Commissioner may furnish confidential
4    supervisory information relating to a savings bank, which
5    the Commissioner has caused to be examined, relating to its
6    performance of obligations under the Illinois Income Tax
7    Act and the Illinois Estate and Generation-Skipping
8    Transfer Tax Act to the Illinois Department of Revenue.
9        (6) The Commissioner may furnish confidential
10    supervisory information relating to a savings bank, which
11    the Commissioner has caused to be examined, under the
12    federal Currency and Foreign Transactions Reporting Act,
13    31 United States Code, Section 1051 et seq.
14        (7) The Commissioner may furnish confidential
15    supervisory information to any other agency or entity that
16    the Commissioner determines to have a legitimate
17    regulatory interest.
18        (8) The Commissioner may furnish confidential
19    supervisory information as otherwise permitted or required
20    by this Act and may furnish confidential supervisory
21    information under any other statute that by its terms or by
22    regulations promulgated thereunder requires the disclosure
23    of financial records other than by subpoena, summons,
24    warrant, or court order.
25        (9) At the request of the affected savings bank, the
26    Commissioner may furnish confidential supervisory

 

 

10000SB0009ham003- 190 -LRB100 06347 HLH 27908 a

1    information relating to the savings bank, which the
2    Commissioner has caused to be examined, in connection with
3    the obtaining of insurance coverage or the pursuit of an
4    insurance claim for or on behalf of the savings bank;
5    provided that, when possible, the Commissioner shall
6    disclose only relevant information while maintaining the
7    confidentiality of financial records not relevant to such
8    insurance coverage or claim and, when appropriate, may
9    delete identifying data relating to any person.
10        (10) The Commissioner may furnish a copy of a report of
11    any examination performed by the Commissioner of the
12    condition and affairs of any electronic data processing
13    entity to the savings banks serviced by the electronic data
14    processing entity.
15        (11) In addition to the foregoing circumstances, the
16    Commissioner may, but is not required to, furnish
17    confidential supervisory information under the same
18    circumstances authorized for the savings bank pursuant to
19    subsection (b) of this Section, except that the
20    Commissioner shall provide confidential supervisory
21    information under circumstances described in paragraph (3)
22    of subsection (b) of this Section only upon the request of
23    the savings bank.
24    (b) A savings bank or its officers, agents, and employees
25may disclose confidential supervisory information only under
26the following circumstances:

 

 

10000SB0009ham003- 191 -LRB100 06347 HLH 27908 a

1        (1) to the board of directors of the savings bank, as
2    well as the president, vice-president, cashier, and other
3    officers of the savings bank to whom the board of directors
4    may delegate duties with respect to compliance with
5    recommendations for action, and to the board of directors
6    of a savings bank holding company that owns at least 80% of
7    the outstanding stock of the savings bank or other
8    financial institution.
9        (2) to attorneys for the savings bank and to a
10    certified public accountant engaged by the savings bank to
11    perform an independent audit; provided that the attorney or
12    certified public accountant shall not permit the
13    confidential supervisory information to be further
14    disseminated.
15        (3) to any person who seeks to acquire a controlling
16    interest in, or who seeks to merge with, the savings bank;
17    provided that the person shall agree to be bound to respect
18    the confidentiality of the confidential supervisory
19    information and to not further disseminate the information
20    other than to attorneys, certified public accountants,
21    officers, agents, or employees of that person who likewise
22    shall agree to be bound to respect the confidentiality of
23    the confidential supervisory information and to not
24    further disseminate the information.
25        (4) to the savings bank's insurance company, if the
26    supervisory information contains information that is

 

 

10000SB0009ham003- 192 -LRB100 06347 HLH 27908 a

1    otherwise unavailable and is strictly necessary to
2    obtaining insurance coverage or pursuing an insurance
3    claim for or on behalf of the savings bank; provided that,
4    when possible, the savings bank shall disclose only
5    information that is relevant to obtaining insurance
6    coverage or pursuing an insurance claim, while maintaining
7    the confidentiality of financial information pertaining to
8    customers; and provided further that, when appropriate,
9    the savings bank may delete identifying data relating to
10    any person.
11    The disclosure of confidential supervisory information by
12a savings bank pursuant to this subsection (b) and the
13disclosure of information to the Commissioner or other
14regulatory agency in connection with any examination,
15visitation, or investigation shall not constitute a waiver of
16any legal privilege otherwise available to the savings bank
17with respect to the information.
18    (c) (1) Notwithstanding any other provision of this Act or
19any other law, confidential supervisory information shall be
20the property of the Commissioner and shall be privileged from
21disclosure to any person except as provided in this Section. No
22person in possession of confidential supervisory information
23may disclose that information for any reason or under any
24circumstances not specified in this Section without the prior
25authorization of the Commissioner. Any person upon whom a
26demand for production of confidential supervisory information

 

 

10000SB0009ham003- 193 -LRB100 06347 HLH 27908 a

1is made, whether by subpoena, order, or other judicial or
2administrative process, must withhold production of the
3confidential supervisory information and must notify the
4Commissioner of the demand, at which time the Commissioner is
5authorized to intervene for the purpose of enforcing the
6limitations of this Section or seeking the withdrawal or
7termination of the attempt to compel production of the
8confidential supervisory information.
9    (2) Any request for discovery or disclosure of confidential
10supervisory information, whether by subpoena, order, or other
11judicial or administrative process, shall be made to the
12Commissioner, and the Commissioner shall determine within 15
13days whether to disclose the information pursuant to procedures
14and standards that the Commissioner shall establish by rule. If
15the Commissioner determines that such information will not be
16disclosed, the Commissioner's decision shall be subject to
17judicial review under the provisions of the Administrative
18Review Law, and venue shall be in either Sangamon County or
19Cook County.
20    (3) Any court order that compels disclosure of confidential
21supervisory information may be immediately appealed by the
22Commissioner, and the order shall be automatically stayed
23pending the outcome of the appeal.
24    (d) If any officer, agent, attorney, or employee of a
25savings bank knowingly and willfully furnishes confidential
26supervisory information in violation of this Section, the

 

 

10000SB0009ham003- 194 -LRB100 06347 HLH 27908 a

1Commissioner may impose a civil monetary penalty up to $1,000
2for the violation against the officer, agent, attorney, or
3employee.
4    (e)   Subject to the limits of this Section, the
5Commissioner also may promulgate regulations to set procedures
6and standards for disclosure of the following items:
7        (1) All fixed orders and opinions made in cases of
8    appeals of the Commissioner's actions.
9        (2) Statements of policy and interpretations adopted
10    by the Commissioner's office, but not otherwise made
11    public.
12        (3) Nonconfidential portions of application files,
13    including applications for new charters. The Commissioner
14    shall specify by rule as to what part of the files are
15    confidential.
16        (4) Quarterly reports of income, deposits, and
17    financial condition.
18(Source: P.A. 93-271, eff. 7-22-03.)
 
19    (205 ILCS 205/10090)
20    Sec. 10090. Dividends; dissolution. From time to time
21during a receivership other than a receivership conducted by
22the Federal Deposit Insurance Corporation, the Secretary shall
23make and pay from moneys of the savings bank a ratable dividend
24on all claims as may be proved to his or her satisfaction or
25adjudicated by the court. Claims so proven or adjudicated shall

 

 

10000SB0009ham003- 195 -LRB100 06347 HLH 27908 a

1bear interest at the rate of 3% per annum from the date of the
2appointment of the receiver to the date of payment, but all
3dividends on a claim shall be applied first to principal. In
4computing the amount of any dividend to be paid, if the
5Secretary deems it desirable in the interests of economy of
6administration and to the interest of the savings bank and its
7creditors, he or she may pay up to the amount of $10 of each
8claim or unpaid portion thereof in full. As the proceeds of the
9assets of the savings bank are collected in the course of
10liquidation, the Secretary shall make and pay further dividends
11on all claims previously proven or adjudicated. After one year
12from the entry of a judgment of dissolution, all unclaimed
13dividends shall be remitted to the State Treasurer in
14accordance with the Revised Uniform Disposition of Unclaimed
15Property Act, as now or hereafter amended, together with a list
16of all unpaid claimants, their last known addresses and the
17amounts unpaid.
18(Source: P.A. 96-1365, eff. 7-28-10.)
 
19    Section 17-60. The Illinois Credit Union Act is amended by
20changing Sections 10 and 62 as follows:
 
21    (205 ILCS 305/10)  (from Ch. 17, par. 4411)
22    Sec. 10. Credit union records; member financial records.
23    (1) A credit union shall establish and maintain books,
24records, accounting systems and procedures which accurately

 

 

10000SB0009ham003- 196 -LRB100 06347 HLH 27908 a

1reflect its operations and which enable the Department to
2readily ascertain the true financial condition of the credit
3union and whether it is complying with this Act.
4    (2) A photostatic or photographic reproduction of any
5credit union records shall be admissible as evidence of
6transactions with the credit union.
7    (3)(a) For the purpose of this Section, the term "financial
8records" means any original, any copy, or any summary of (1) a
9document granting signature authority over an account, (2) a
10statement, ledger card or other record on any account which
11shows each transaction in or with respect to that account, (3)
12a check, draft or money order drawn on a financial institution
13or other entity or issued and payable by or through a financial
14institution or other entity, or (4) any other item containing
15information pertaining to any relationship established in the
16ordinary course of business between a credit union and its
17member, including financial statements or other financial
18information provided by the member.
19    (b) This Section does not prohibit:
20        (1) The preparation, examination, handling or
21    maintenance of any financial records by any officer,
22    employee or agent of a credit union having custody of such
23    records, or the examination of such records by a certified
24    public accountant engaged by the credit union to perform an
25    independent audit.
26        (2) The examination of any financial records by or the

 

 

10000SB0009ham003- 197 -LRB100 06347 HLH 27908 a

1    furnishing of financial records by a credit union to any
2    officer, employee or agent of the Department, the National
3    Credit Union Administration, Federal Reserve board or any
4    insurer of share accounts for use solely in the exercise of
5    his duties as an officer, employee or agent.
6        (3) The publication of data furnished from financial
7    records relating to members where the data cannot be
8    identified to any particular customer of account.
9        (4) The making of reports or returns required under
10    Chapter 61 of the Internal Revenue Code of 1954.
11        (5) Furnishing information concerning the dishonor of
12    any negotiable instrument permitted to be disclosed under
13    the Uniform Commercial Code.
14        (6) The exchange in the regular course of business of
15    (i) credit information between a credit union and other
16    credit unions or financial institutions or commercial
17    enterprises, directly or through a consumer reporting
18    agency or (ii) financial records or information derived
19    from financial records between a credit union and other
20    credit unions or financial institutions or commercial
21    enterprises for the purpose of conducting due diligence
22    pursuant to a merger or a purchase or sale of assets or
23    liabilities of the credit union.
24        (7) The furnishing of information to the appropriate
25    law enforcement authorities where the credit union
26    reasonably believes it has been the victim of a crime.

 

 

10000SB0009ham003- 198 -LRB100 06347 HLH 27908 a

1        (8) The furnishing of information pursuant to the
2    Revised Uniform Disposition of Unclaimed Property Act.
3        (9) The furnishing of information pursuant to the
4    Illinois Income Tax Act and the Illinois Estate and
5    Generation-Skipping Transfer Tax Act.
6        (10) The furnishing of information pursuant to the
7    federal "Currency and Foreign Transactions Reporting Act",
8    Title 31, United States Code, Section 1051 et sequentia.
9        (11) The furnishing of information pursuant to any
10    other statute which by its terms or by regulations
11    promulgated thereunder requires the disclosure of
12    financial records other than by subpoena, summons, warrant
13    or court order.
14        (12) The furnishing of information in accordance with
15    the federal Personal Responsibility and Work Opportunity
16    Reconciliation Act of 1996. Any credit union governed by
17    this Act shall enter into an agreement for data exchanges
18    with a State agency provided the State agency pays to the
19    credit union a reasonable fee not to exceed its actual cost
20    incurred. A credit union providing information in
21    accordance with this item shall not be liable to any
22    account holder or other person for any disclosure of
23    information to a State agency, for encumbering or
24    surrendering any assets held by the credit union in
25    response to a lien or order to withhold and deliver issued
26    by a State agency, or for any other action taken pursuant

 

 

10000SB0009ham003- 199 -LRB100 06347 HLH 27908 a

1    to this item, including individual or mechanical errors,
2    provided the action does not constitute gross negligence or
3    willful misconduct. A credit union shall have no obligation
4    to hold, encumber, or surrender assets until it has been
5    served with a subpoena, summons, warrant, court or
6    administrative order, lien, or levy.
7        (13) The furnishing of information to law enforcement
8    authorities, the Illinois Department on Aging and its
9    regional administrative and provider agencies, the
10    Department of Human Services Office of Inspector General,
11    or public guardians: (i) upon subpoena by the investigatory
12    entity or the guardian, or (ii) if there is suspicion by
13    the credit union that a member who is an elderly person or
14    person with a disability has been or may become the victim
15    of financial exploitation. For the purposes of this item
16    (13), the term: (i) "elderly person" means a person who is
17    60 or more years of age, (ii) "person with a disability"
18    means a person who has or reasonably appears to the credit
19    union to have a physical or mental disability that impairs
20    his or her ability to seek or obtain protection from or
21    prevent financial exploitation, and (iii) "financial
22    exploitation" means tortious or illegal use of the assets
23    or resources of an elderly person or person with a
24    disability, and includes, without limitation,
25    misappropriation of the elderly or disabled person's
26    assets or resources by undue influence, breach of fiduciary

 

 

10000SB0009ham003- 200 -LRB100 06347 HLH 27908 a

1    relationship, intimidation, fraud, deception, extortion,
2    or the use of assets or resources in any manner contrary to
3    law. A credit union or person furnishing information
4    pursuant to this item (13) shall be entitled to the same
5    rights and protections as a person furnishing information
6    under the Adult Protective Services Act and the Illinois
7    Domestic Violence Act of 1986.
8        (14) The disclosure of financial records or
9    information as necessary to effect, administer, or enforce
10    a transaction requested or authorized by the member, or in
11    connection with:
12            (A) servicing or processing a financial product or
13        service requested or authorized by the member;
14            (B) maintaining or servicing a member's account
15        with the credit union; or
16            (C) a proposed or actual securitization or
17        secondary market sale (including sales of servicing
18        rights) related to a transaction of a member.
19        Nothing in this item (14), however, authorizes the sale
20    of the financial records or information of a member without
21    the consent of the member.
22        (15) The disclosure of financial records or
23    information as necessary to protect against or prevent
24    actual or potential fraud, unauthorized transactions,
25    claims, or other liability.
26        (16)(a) The disclosure of financial records or

 

 

10000SB0009ham003- 201 -LRB100 06347 HLH 27908 a

1    information related to a private label credit program
2    between a financial institution and a private label party
3    in connection with that private label credit program. Such
4    information is limited to outstanding balance, available
5    credit, payment and performance and account history,
6    product references, purchase information, and information
7    related to the identity of the customer.
8        (b)(1) For purposes of this paragraph (16) of
9    subsection (b) of Section 10, a "private label credit
10    program" means a credit program involving a financial
11    institution and a private label party that is used by a
12    customer of the financial institution and the private label
13    party primarily for payment for goods or services sold,
14    manufactured, or distributed by a private label party.
15        (2) For purposes of this paragraph (16) of subsection
16    (b) of Section 10, a "private label party" means, with
17    respect to a private label credit program, any of the
18    following: a retailer, a merchant, a manufacturer, a trade
19    group, or any such person's affiliate, subsidiary, member,
20    agent, or service provider.
21    (c) Except as otherwise provided by this Act, a credit
22union may not disclose to any person, except to the member or
23his duly authorized agent, any financial records relating to
24that member of the credit union unless:
25        (1) the member has authorized disclosure to the person;
26        (2) the financial records are disclosed in response to

 

 

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1    a lawful subpoena, summons, warrant, citation to discover
2    assets, or court order that meets the requirements of
3    subparagraph (d) of this Section; or
4        (3) the credit union is attempting to collect an
5    obligation owed to the credit union and the credit union
6    complies with the provisions of Section 2I of the Consumer
7    Fraud and Deceptive Business Practices Act.
8    (d) A credit union shall disclose financial records under
9subparagraph (c)(2) of this Section pursuant to a lawful
10subpoena, summons, warrant, citation to discover assets, or
11court order only after the credit union mails a copy of the
12subpoena, summons, warrant, citation to discover assets, or
13court order to the person establishing the relationship with
14the credit union, if living, and otherwise his personal
15representative, if known, at his last known address by first
16class mail, postage prepaid unless the credit union is
17specifically prohibited from notifying the person by order of
18court or by applicable State or federal law. In the case of a
19grand jury subpoena, a credit union shall not mail a copy of a
20subpoena to any person pursuant to this subsection if the
21subpoena was issued by a grand jury under the Statewide Grand
22Jury Act or notifying the person would constitute a violation
23of the federal Right to Financial Privacy Act of 1978.
24    (e)(1) Any officer or employee of a credit union who
25knowingly and wilfully furnishes financial records in
26violation of this Section is guilty of a business offense and

 

 

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1upon conviction thereof shall be fined not more than $1,000.
2    (2) Any person who knowingly and wilfully induces or
3attempts to induce any officer or employee of a credit union to
4disclose financial records in violation of this Section is
5guilty of a business offense and upon conviction thereof shall
6be fined not more than $1,000.
7    (f) A credit union shall be reimbursed for costs which are
8reasonably necessary and which have been directly incurred in
9searching for, reproducing or transporting books, papers,
10records or other data of a member required or requested to be
11produced pursuant to a lawful subpoena, summons, warrant,
12citation to discover assets, or court order. The Secretary and
13the Director may determine, by rule, the rates and conditions
14under which payment shall be made. Delivery of requested
15documents may be delayed until final reimbursement of all costs
16is received.
17(Source: P.A. 98-49, eff. 7-1-13; 99-143, eff. 7-27-15.)
 
18    (205 ILCS 305/62)  (from Ch. 17, par. 4463)
19    Sec. 62. Liquidation.
20    (1) A credit union may elect to dissolve voluntarily and
21liquidate its affairs in the manner prescribed in this Section.
22    (2) The board of directors shall adopt a resolution
23recommending the credit union be dissolved voluntarily, and
24directing that the question of liquidating be submitted to the
25members.

 

 

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1    (3) Within 10 days after the board of directors decides to
2submit the question of liquidation to the members, the chairman
3or president shall notify the Secretary thereof, in writing,
4setting forth the reasons for the proposed action. Within 10
5days after the members act on the question of liquidation, the
6chairman or president shall notify the Secretary, in writing,
7as to whether or not the members approved the proposed
8liquidation. The Secretary then must determine whether this
9Section has been complied with and if his decision is
10favorable, he shall prepare a certificate to the effect that
11this Section has been complied with, a copy of which will be
12retained by the Department and the other copy forwarded to the
13credit union. The certificate must be filed with the recorder
14or if there is no recorder, in the office of the county clerk
15of the county or counties in which the credit union is
16operating, whereupon the credit union must cease operations
17except for the purpose of its liquidation.
18    (4) As soon as the board of directors passes a resolution
19to submit the question of liquidation to the members, payment
20on shares, withdrawal of shares, making any transfer of shares
21to loans and interest, making investments of any kind and
22granting loans shall be suspended pending action by members. On
23approval by the members of such proposal, all such operations
24shall be permanently discontinued. The necessary expenses of
25operating shall, however, continue to be paid on authorization
26of the board of directors or the liquidating agent during the

 

 

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1period of liquidation.
2    (5) For a credit union to enter voluntary liquidation, it
3must be approved by affirmative vote of the members owning a
4majority of the shares entitled to vote, in person or by proxy,
5at a regular or special meeting of the members. Notice, in
6writing, shall be given to each member, by first class mail, at
7least 10 days prior to such meeting. If liquidation is
8approved, the board of directors shall appoint a liquidating
9agent for the purpose of conserving and collecting the assets,
10closing the affairs of the credit union and distributing the
11assets as required by this Act.
12    (6) A liquidating credit union shall continue in existence
13for the purpose of discharging its debts, collecting and
14distributing its assets, and doing all acts required in order
15to terminate its operations and may sue and be sued for the
16purpose of enforcing such debts and obligations until its
17affairs are fully adjusted.
18    (7) Subject to such rules and regulations as the Secretary
19may promulgate, the liquidating agent shall use the assets of
20the credit union to pay; first, expenses incidental to
21liquidating including any surety bond that may be required;
22then, liabilities of the credit union; then special classes of
23shares. The remaining assets shall then be distributed to the
24members proportionately to the dollar value of the shares held
25by each member in relation to the total dollar value of all
26shares outstanding as of the date the dissolution was voted.

 

 

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1    (8) As soon as the liquidating agent determines that all
2assets as to which there is a reasonable expectancy of sale or
3transfer have been liquidated and distributed as set forth in
4this Section, he shall execute a certificate of dissolution on
5a form prescribed by the Department and file the same, together
6with all pertinent books and records of the liquidating credit
7union with the Department, whereupon such credit union shall be
8dissolved. The liquidating agent must, within 3 years after
9issuance of a certificate by the Secretary referred to in
10Subsection (3) of this Section, discharge the debts of the
11credit union, collect and distribute its assets and do all
12other acts required to wind up its business.
13    (9) If the Secretary determines that the liquidating agent
14has failed to make reasonable progress in the liquidating of
15the credit union's affairs and distribution of its assets or
16has violated this Act, the Secretary may take possession and
17control of the credit union and remove the liquidating agent
18and appoint a liquidating agent to complete the liquidation
19under his direction and control. The Secretary shall fill any
20vacancy caused by the resignation, death, illness, removal,
21desertion or incapacity to function of the liquidating agent.
22    (10) Any funds representing unclaimed dividends and shares
23in liquidation and remaining in the hands of the board of
24directors or the liquidating agent at the end of the
25liquidation must be deposited by them, together with all books
26and papers of the credit union, with the State Treasurer in

 

 

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1compliance with the Revised Uniform Disposition of Unclaimed
2Property Act, approved August 17, 1961, as amended.
3(Source: P.A. 97-133, eff. 1-1-12.)
 
4    Section 17-65. The Currency Exchange Act is amended by
5changing Sections 15.1b and 19.3 as follows:
 
6    (205 ILCS 405/15.1b)  (from Ch. 17, par. 4827)
7    Sec. 15.1b. Liquidation; distribution; priority. The
8General Assembly finds and declares that community currency
9exchanges provide important and vital services to Illinois
10citizens. The General Assembly also finds that in providing
11such services, community currency exchanges transact extensive
12business involving check cashing and the writing of money
13orders in communities in which banking services are generally
14unavailable. It is therefore declared to be the policy of this
15State that customers who receive these services must be
16protected from insolvencies of currency exchanges and
17interruptions of services. To carry out this policy and to
18insure that customers of community currency exchanges are
19protected in the event it is determined that a community
20currency exchange in receivership should be liquidated in
21accordance with Section 15.1a of this Act, the Secretary shall
22make a distribution of moneys collected by the receiver in the
23following order of priority: First, allowed claims for the
24actual necessary expenses of the receivership of the community

 

 

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1currency exchange being liquidated, including (a) reasonable
2receiver fees and receiver's attorney's fees approved by the
3Secretary, (b) all expenses of any preliminary or other
4examinations into the condition of the community currency
5exchange or receivership, (c) all expenses incurred by the
6Secretary which are incident to possession and control of any
7property or records of the community currency exchange, and (d)
8reasonable expenses incurred by the Secretary as the result of
9business agreements or contractual arrangements necessary to
10insure that the services of the community currency exchanges
11are delivered to the community without interruption. Said
12business agreements or contractual arrangements may include,
13but are not limited to, agreements made by the Secretary, or by
14the Receiver with the approval of the Secretary, with banks,
15money order companies, bonding companies and other types of
16financial institutions; Second, allowed claims by a purchaser
17of money orders issued on demand of the community currency
18exchange being liquidated; Third, allowed claims arising by
19virtue of and to the extent of the amount a utility customer
20deposits with the community currency exchange being liquidated
21which are not remitted to the utility company; Fourth, allowed
22claims arising by virtue of and to the extent of the amount
23paid by a purchaser of Illinois license plates, vehicle
24stickers sold for State and municipal governments in Illinois,
25and temporary Illinois registration permits purchased at the
26currency exchange being liquidated; Fifth, allowed unsecured

 

 

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1claims for wages or salaries, excluding vacation, severance and
2sick leave pay earned by employee earned within 90 days prior
3to the appointment of a Receiver; Sixth, secured claims;
4Seventh, allowed unsecured claims of any tax, and interest and
5penalty on the tax; Eighth, allowed unsecured claims other than
6a kind specified in paragraph one, two and three of this
7Section, filed with the Secretary within the time the Secretary
8fixes for filing claims; Ninth, allowed unsecured claims, other
9than a kind specified in paragraphs one, two and three of this
10Section filed with the Secretary after the time fixed for
11filing claims by the Secretary; Tenth, allowed creditor claims
12asserted by an owner, member, or stockholder of the community
13currency exchange in liquidation; Eleventh, after one year from
14the final dissolution of the currency exchange, all assets not
15used to satisfy allowed claims shall be distributed pro rata to
16the owner, owners, members, or stockholders of the currency
17exchange.
18    The Secretary shall pay all claims of equal priority
19according to the schedule set out above, and shall not pay
20claims of lower priority until all higher priority claims are
21satisfied. If insufficient assets are available to meet all
22claims of equal priority, those assets shall be distributed pro
23rata among those claims. All unclaimed assets of a currency
24exchange shall be deposited with the Secretary to be paid out
25by him when proper claims therefor are presented to the
26Secretary. If there are funds remaining after the conclusion of

 

 

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1a receivership of an abandoned currency exchange, the remaining
2funds shall be considered unclaimed property and remitted to
3the State Treasurer under the Revised Uniform Disposition of
4Unclaimed Property Act.
5(Source: P.A. 97-315, eff. 1-1-12.)
 
6    (205 ILCS 405/19.3)  (from Ch. 17, par. 4838)
7    Sec. 19.3. (A) The General Assembly hereby finds and
8declares: community currency exchanges and ambulatory currency
9exchanges provide important and vital services to Illinois
10citizens. In so doing, they transact extensive business
11involving check cashing and the writing of money orders in
12communities in which banking services are generally
13unavailable. Customers of currency exchanges who receive these
14services must be protected from being charged unreasonable and
15unconscionable rates for cashing checks and purchasing money
16orders. The Illinois Department of Financial and Professional
17Regulation has the responsibility for regulating the
18operations of currency exchanges and has the expertise to
19determine reasonable maximum rates to be charged for check
20cashing and money order purchases. Therefore, it is in the
21public interest, convenience, welfare and good to have the
22Department establish reasonable maximum rate schedules for
23check cashing and the issuance of money orders and to require
24community and ambulatory currency exchanges to prominently
25display to the public the fees charged for all services. The

 

 

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1Secretary shall review, each year, the cost of operation of the
2Currency Exchange Section and the revenue generated from
3currency exchange examinations and report to the General
4Assembly if the need exists for an increase in the fees
5mandated by this Act to maintain the Currency Exchange Section
6at a fiscally self-sufficient level. The Secretary shall
7include in such report the total amount of funds remitted to
8the State and delivered to the State Treasurer by currency
9exchanges pursuant to the Revised Uniform Disposition of
10Unclaimed Property Act.
11    (B) The Secretary shall, by rules adopted in accordance
12with the Illinois Administrative Procedure Act, expeditiously
13formulate and issue schedules of reasonable maximum rates which
14can be charged for check cashing and writing of money orders by
15community currency exchanges and ambulatory currency
16exchanges.
17        (1) In determining the maximum rate schedules for the
18    purposes of this Section the Secretary shall take into
19    account:
20            (a) Rates charged in the past for the cashing of
21        checks and the issuance of money orders by community
22        and ambulatory currency exchanges.
23            (b) Rates charged by banks or other business
24        entities for rendering the same or similar services and
25        the factors upon which those rates are based.
26   &nb