101ST GENERAL ASSEMBLY
State of Illinois
2019 and 2020
HB4573

 

Introduced 2/5/2020, by Rep. Michael J. Zalewski

 

SYNOPSIS AS INTRODUCED:
 
765 ILCS 1026/15-102
765 ILCS 1026/15-201
765 ILCS 1026/15-202
765 ILCS 1026/15-213
765 ILCS 1026/15-401
765 ILCS 1026/15-503
765 ILCS 1026/15-603

    Amends the Revised Uniform Unclaimed Property Act. Provides that virtual currency is presumed abandoned if it is unclaimed by the apparent owner 5 years after the last indication of interest in the property. Provides that a provision regarding when a tax-deferred retirement account is presumed abandoned also applies to a tax-exempt retirement account. Provides that property held in a pension account or retirement account that qualifies for tax deferral or tax exemption may be presumed abandoned if, among other criteria, it is unclaimed by the apparent owner 3 years after the date the apparent owner becomes 72 (rather than 70.5) years of age. Provides that a business association that has no reportable property shall report to the State Treasurer if the business association has: (1) annual sales of more than $1,000,000; (2) securities that are publicly traded; (3) a net worth of more than $10,000,000; or (4) more than 100 employees. Provides that the State Treasurer does not need to notify the Department of Revenue of the names or social security numbers of apparent owners of abandoned property under certain circumstances. Provides for the identification of apparent owners of abandoned property using databases of the Secretary of State and the State Board of Elections. Provides for the delivery of reportable virtual currency to the State Treasurer. Makes other changes.


LRB101 20378 LNS 69924 b

 

 

A BILL FOR

 

HB4573LRB101 20378 LNS 69924 b

1    AN ACT concerning civil law.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Revised Uniform Unclaimed Property Act is
5amended by changing Sections 15-102, 15-201, 15-202, 15-213,
615-401, 15-503, and 15-603 as follows:
 
7    (765 ILCS 1026/15-102)
8    Sec. 15-102. Definitions. In this Act:
9        (1) "Administrator" means the State Treasurer.
10        (2) "Administrator's agent" means a person with which
11    the administrator contracts to conduct an examination
12    under Article 10 on behalf of the administrator. The term
13    includes an independent contractor of the person and each
14    individual participating in the examination on behalf of
15    the person or contractor.
16        (2.5) (Blank).
17        (3) "Apparent owner" means a person whose name appears
18    on the records of a holder as the owner of property held,
19    issued, or owing by the holder.
20        (4) "Business association" means a corporation, joint
21    stock company, investment company, unincorporated
22    association, joint venture, limited liability company,
23    business trust, trust company, land bank, safe deposit

 

 

HB4573- 2 -LRB101 20378 LNS 69924 b

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

 

 

HB4573- 3 -LRB101 20378 LNS 69924 b

1    electromagnetic, or similar capabilities.
2        (8) "Electronic mail" means a communication by
3    electronic means which is automatically retained and
4    stored and may be readily accessed or retrieved.
5        (8.5) "Escheat fee" means any charge imposed solely by
6    virtue of property being reported as presumed abandoned.
7        (9) "Financial organization" means a bank, savings
8    bank, foreign bank, corporate fiduciary, currency
9    exchange, money transmitter, or credit union.
10        (10) "Game-related digital content" means digital
11    content that exists only in an electronic game or
12    electronic-game platform. The term:
13            (A) includes:
14                (i) game-play currency such as a virtual
15            wallet, even if denominated in United States
16            currency; and
17                (ii) the following if for use or redemption
18            only within the game or platform or another
19            electronic game or electronic-game platform:
20                    (I) points sometimes referred to as gems,
21                tokens, gold, and similar names; and
22                    (II) digital codes; and
23            (B) does not include an item that the issuer:
24                (i) permits to be redeemed for use outside a
25            game or platform for:
26                    (I) money; or

 

 

HB4573- 4 -LRB101 20378 LNS 69924 b

1                    (II) goods or services that have more than
2                minimal value; or
3                (ii) otherwise monetizes for use outside a
4            game or platform.
5        (11) "Gift card" means a record evidencing a promise
6    made for consideration by the seller or issuer of the
7    record that goods, services, or money will be provided to
8    the owner of the record to the value or amount shown in the
9    record that is either:
10            (A) a record:
11                (i) issued on a prepaid basis primarily for
12            personal, family, or household purposes to a
13            consumer in a specified amount;
14                (ii) the value of which does not expire;
15                (iii) that is not subject to a dormancy,
16            inactivity, or post-sale service fee;
17                (iv) that is redeemable upon presentation for
18            goods or services; and
19                (v) that, unless required by law, may not be
20            redeemed for or converted into money or otherwise
21            monetized by the issuer; or
22            (B) a prepaid commercial mobile radio service, as
23        defined in 47 C.F.R. 20.3, as amended.
24        (12) "Holder" means a person obligated to hold for the
25    account of, or to deliver or pay to, the owner, property
26    subject to this Act.

 

 

HB4573- 5 -LRB101 20378 LNS 69924 b

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

 

 

HB4573- 6 -LRB101 20378 LNS 69924 b

1    after abandonment. The term includes an amount payable:
2            (A) for the acquisition and retention of a mineral
3        lease, including a bonus, royalty, compensatory
4        royalty, shut-in royalty, minimum royalty, and delay
5        rental;
6            (B) for the extraction, production, or sale of
7        minerals, including a net revenue interest, royalty,
8        overriding royalty, extraction payment, and production
9        payment; and
10            (C) under an agreement or option, including a
11        joint-operating agreement, unit agreement, pooling
12        agreement, and farm-out agreement.
13        (17) "Money order" means a payment order for a
14    specified amount of money. The term includes an express
15    money order and a personal money order on which the
16    remitter is the purchaser.
17        (18) "Municipal bond" means a bond or evidence of
18    indebtedness issued by a municipality or other political
19    subdivision of a state.
20        (19) "Net card value" means the original purchase price
21    or original issued value of a stored-value card, plus
22    amounts added to the original price or value, minus amounts
23    used and any service charge, fee, or dormancy charge
24    permitted by law.
25        (20) "Non-freely transferable security" means a
26    security that cannot be delivered to the administrator by

 

 

HB4573- 7 -LRB101 20378 LNS 69924 b

1    the Depository Trust Clearing Corporation or similar
2    custodian of securities providing post-trade clearing and
3    settlement services to financial markets or cannot be
4    delivered because there is no agent to effect transfer. The
5    term includes a worthless security.
6        (21) "Owner", unless the context otherwise requires,
7    means a person that has a legal, beneficial, or equitable
8    interest in property subject to this Act or the person's
9    legal representative when acting on behalf of the owner.
10    The term includes:
11            (A) a depositor, for a deposit;
12            (B) a beneficiary, for a trust other than a deposit
13        in trust;
14            (C) a creditor, claimant, or payee, for other
15        property; and
16            (D) the lawful bearer of a record that may be used
17        to obtain money, a reward, or a thing of value.
18        (22) "Payroll card" means a record that evidences a
19    payroll-card account as defined in Regulation E, 12 CFR
20    Part 1005, as amended.
21        (23) "Person" means an individual, estate, business
22    association, public corporation, government or
23    governmental subdivision, agency, or instrumentality, or
24    other legal entity, whether or not for profit.
25        (24) "Property" means tangible property described in
26    Section 15-201 or a fixed and certain interest in

 

 

HB4573- 8 -LRB101 20378 LNS 69924 b

1    intangible property held, issued, or owed in the course of
2    a holder's business or by a government, governmental
3    subdivision, agency, or instrumentality. The term:
4            (A) includes all income from or increments to the
5        property;
6            (B) includes property referred to as or evidenced
7        by:
8                (i) money, virtual currency, interest, or a
9            dividend, check, draft, deposit, or payroll card;
10                (ii) a credit balance, customer's overpayment,
11            stored-value card, security deposit, refund,
12            credit memorandum, unpaid wage, unused ticket for
13            which the issuer has an obligation to provide a
14            refund, mineral proceeds, or unidentified
15            remittance;
16                (iii) a security except for:
17                    (I) a worthless security; or
18                    (II) a security that is subject to a lien,
19                legal hold, or restriction evidenced on the
20                records of the holder or imposed by operation
21                of law, if the lien, legal hold, or restriction
22                restricts the holder's or owner's ability to
23                receive, transfer, sell, or otherwise
24                negotiate the security;
25                (iv) a bond, debenture, note, or other
26            evidence of indebtedness;

 

 

HB4573- 9 -LRB101 20378 LNS 69924 b

1                (v) money deposited to redeem a security, make
2            a distribution, or pay a dividend;
3                (vi) an amount due and payable under an annuity
4            contract or insurance policy;
5                (vii) an amount distributable from a trust or
6            custodial fund established under a plan to provide
7            health, welfare, pension, vacation, severance,
8            retirement, death, stock purchase, profit-sharing,
9            employee-savings, supplemental-unemployment
10            insurance, or a similar benefit; and
11                (viii) any instrument on which a financial
12            organization or business association is directly
13            liable; and
14            (C) does not include:
15                (i) game-related digital content;
16                (ii) a loyalty card;
17                (iii) a gift card; or
18                (iv) funds on deposit or held in trust pursuant
19            to Section 16 of the Illinois Pre-Need Cemetery
20            Sales Act.
21        (25) "Putative holder" means a person believed by the
22    administrator to be a holder, until the person pays or
23    delivers to the administrator property subject to this Act
24    or the administrator or a court makes a final determination
25    that the person is or is not a holder.
26        (26) "Record" means information that is inscribed on a

 

 

HB4573- 10 -LRB101 20378 LNS 69924 b

1    tangible medium or that is stored in an electronic or other
2    medium and is retrievable in perceivable form. The phrase
3    "records of the holder" includes records maintained by a
4    third party that has contracted with the holder.
5        (27) "Security" means:
6            (A) a security as defined in Article 8 of the
7        Uniform Commercial Code;
8            (B) a security entitlement as defined in Article 8
9        of the Uniform Commercial Code, including a customer
10        security account held by a registered broker-dealer,
11        to the extent the financial assets held in the security
12        account are not:
13                (i) registered on the books of the issuer in
14            the name of the person for which the broker-dealer
15            holds the assets;
16                (ii) payable to the order of the person; or
17                (iii) specifically indorsed to the person; or
18            (C) an equity interest in a business association
19        not included in subparagraph (A) or (B).
20        (28) "Sign" means, with present intent to authenticate
21    or adopt a record:
22            (A) to execute or adopt a tangible symbol; or
23            (B) to attach to or logically associate with the
24        record an electronic symbol, sound, or process.
25        (29) "State" means a state of the United States, the
26    District of Columbia, the Commonwealth of Puerto Rico, the

 

 

HB4573- 11 -LRB101 20378 LNS 69924 b

1    United States Virgin Islands, or any territory or insular
2    possession subject to the jurisdiction of the United
3    States.
4        (30) "Stored-value card" means a card, code, or other
5    device that is:
6            (A) issued on a prepaid basis primarily for
7        personal, family, or household purposes to a consumer
8        in a specified amount, whether or not that amount may
9        be increased or reloaded in exchange for payment; and
10            (B) redeemable upon presentation at multiple
11        unaffiliated merchants for goods or services or usable
12        at automated teller machines; and
13        "Stored-value card" does not include a gift card,
14    payroll card, loyalty card, or game-related digital
15    content.
16        (31) "Utility" means a person that owns or operates for
17    public use a plant, equipment, real property, franchise, or
18    license for the following public services:
19            (A) transmission of communications or information;
20            (B) production, storage, transmission, sale,
21        delivery, or furnishing of electricity, water, steam,
22        or gas; or
23            (C) provision of sewage or septic services, or
24        trash, garbage, or recycling disposal.
25        (32) "Virtual currency" means any type of a digital
26    unit, including cryptocurrency, representation of value

 

 

HB4573- 12 -LRB101 20378 LNS 69924 b

1    used as a medium of exchange, unit of account, or form of
2    digitally stored store of value, which does not have legal
3    tender status recognized by the United States. The term
4    does not include:
5            (A) the software or protocols governing the
6        transfer of the digital representation of value;
7            (B) game-related digital content; or
8            (C) a loyalty card or gift card.
9        (33) "Worthless security" means a security whose cost
10    of liquidation and delivery to the administrator would
11    exceed the value of the security on the date a report is
12    due under this Act.
13(Source: P.A. 100-22, eff. 1-1-18; 100-566, eff. 1-1-18;
14101-552, eff. 1-1-20.)
 
15    (765 ILCS 1026/15-201)
16    Sec. 15-201. When property presumed abandoned. Subject to
17Section 15-210, the following property is presumed abandoned if
18it is unclaimed by the apparent owner during the period
19specified below:
20        (1) a traveler's check, 15 years after issuance;
21        (2) a money order, 7 years after issuance;
22        (3) any instrument on which a financial organization or
23    business association is directly liable, 3 years after
24    issuance;
25        (4) a state or municipal bond, bearer bond, or

 

 

HB4573- 13 -LRB101 20378 LNS 69924 b

1    original-issue-discount bond, 3 years after the earliest
2    of the date the bond matures or is called or the obligation
3    to pay the principal of the bond arises;
4        (5) a debt of a business association, 3 years after the
5    obligation to pay arises;
6        (6) a demand, savings, or time deposit, 3 years after
7    the later of maturity or the date of the last indication of
8    interest in the property by the apparent owner, except for
9    a deposit that is automatically renewable, 3 years after
10    its initial date of maturity unless the apparent owner
11    consented in a record on file with the holder to renewal at
12    or about the time of the renewal;
13        (6.5) virtual currency, 5 years after the last
14    indication of interest in the property;
15        (7) money or a credit owed to a customer as a result of
16    a retail business transaction, other than in-store credit
17    for returned merchandise, 3 years after the obligation
18    arose;
19        (8) an amount owed by an insurance company on a life or
20    endowment insurance policy or an annuity contract that has
21    matured or terminated, 3 years after the obligation to pay
22    arose under the terms of the policy or contract or, if a
23    policy or contract for which an amount is owed on proof of
24    death has not matured by proof of the death of the insured
25    or annuitant, as follows:
26            (A) with respect to an amount owed on a life or

 

 

HB4573- 14 -LRB101 20378 LNS 69924 b

1        endowment insurance policy, the earlier of:
2                (i) 3 years after the death of the insured; or
3                (ii) 2 years after the insured has attained, or
4            would have attained if living, the limiting age
5            under the mortality table on which the reserve for
6            the policy is based; and
7            (B) with respect to an amount owed on an annuity
8        contract, 3 years after the death of the annuitant.
9        (9) funds on deposit or held in trust pursuant to the
10    Illinois Funeral or Burial Funds Act, the earliest of:
11            (A) 2 years after the date of death of the
12        beneficiary;
13            (B) one year after the date the beneficiary has
14        attained, or would have attained if living, the age of
15        105 where the holder does not know whether the
16        beneficiary is deceased;
17            (C) 40 years after the contract for prepayment was
18        executed, unless the apparent owner has indicated an
19        interest in the property more than 40 years after the
20        contract for prepayment was executed, in which case, 3
21        years after the last indication of interest in the
22        property by the apparent owner;
23        (10) property distributable by a business association
24    in the course of dissolution or distributions from the
25    termination of a retirement plan, one year after the
26    property becomes distributable;

 

 

HB4573- 15 -LRB101 20378 LNS 69924 b

1        (11) property held by a court, including property
2    received as proceeds of a class action, 3 years after the
3    property becomes distributable;
4        (12) property held by a government or governmental
5    subdivision, agency, or instrumentality, including
6    municipal bond interest and unredeemed principal under the
7    administration of a paying agent or indenture trustee, 3
8    years after the property becomes distributable;
9        (13) wages, commissions, bonuses, or reimbursements to
10    which an employee is entitled, or other compensation for
11    personal services, including amounts held on a payroll
12    card, one year after the amount becomes payable;
13        (14) a deposit or refund owed to a subscriber by a
14    utility, one year after the deposit or refund becomes
15    payable, except that any capital credits or patronage
16    capital retired, returned, refunded or tendered to a member
17    of an electric cooperative, as defined in Section 3.4 of
18    the Electric Supplier Act, or a telephone or
19    telecommunications cooperative, as defined in Section
20    13-212 of the Public Utilities Act, that has remained
21    unclaimed by the person appearing on the records of the
22    entitled cooperative for more than 2 years, shall not be
23    subject to, or governed by, any other provisions of this
24    Act, but rather shall be used by the cooperative for the
25    benefit of the general membership of the cooperative; and
26        (15) property not specified in this Section or Sections

 

 

HB4573- 16 -LRB101 20378 LNS 69924 b

1    15-202 through 15-208, the earlier of 3 years after the
2    owner first has a right to demand the property or the
3    obligation to pay or distribute the property arises.
4    Notwithstanding anything to the contrary in this Section
515-201, and subject to Section 15-210, a deceased owner cannot
6indicate interest in his or her property. If the owner is
7deceased and the abandonment period for the owner's property
8specified in this Section 15-201 is greater than 2 years, then
9the property, other than an amount owed by an insurance company
10on a life or endowment insurance policy or an annuity contract
11that has matured or terminated, shall instead be presumed
12abandoned 2 years from the date of the owner's last indication
13of interest in the property.
14(Source: P.A. 100-22, eff. 1-1-18; 100-566, eff. 1-1-18;
15101-552, eff. 1-1-20.)
 
16    (765 ILCS 1026/15-202)
17    Sec. 15-202. When tax-deferred and tax-exempt retirement
18accounts account presumed abandoned.
19    (a) Subject to Section 15-210, property held in a pension
20account or retirement account that qualifies for tax deferral
21or tax exemption under the income-tax laws of the United States
22is presumed abandoned if it is unclaimed by the apparent owner
23after the later of:
24        (1) 3 years after the following dates:
25            (A) except as in subparagraph (B), the date a

 

 

HB4573- 17 -LRB101 20378 LNS 69924 b

1        communication sent by the holder by first-class United
2        States mail to the apparent owner is returned to the
3        holder undelivered by the United States Postal
4        Service; or
5            (B) if such communication is re-sent within 30 days
6        after the date the first communication is returned
7        undelivered, the date the second communication was
8        returned undelivered by the United States Postal
9        Service; or
10        (2) the earlier of the following dates:
11            (A) 3 years after the date the apparent owner
12        becomes 72 70.5 years of age, if determinable by the
13        holder; or
14            (B) one year after the date of mandatory
15        distribution following death if the Internal Revenue
16        Code requires distribution to avoid a tax penalty and
17        the holder:
18                (i) receives confirmation of the death of the
19            apparent owner in the ordinary course of its
20            business; or
21                (ii) confirms the death of the apparent owner
22            under subsection (b).
23    (b) If a holder in the ordinary course of its business
24receives notice or an indication of the death of an apparent
25owner and subsection (a)(2) applies, the holder shall attempt
26not later than 90 days after receipt of the notice or

 

 

HB4573- 18 -LRB101 20378 LNS 69924 b

1indication to confirm whether the apparent owner is deceased.
2    (c) If the holder does not send communications to the
3apparent owner of an account described in subsection (a) by
4first-class United States mail on at least an annual basis, the
5holder shall attempt to confirm the apparent owner's interest
6in the property by sending the apparent owner an
7electronic-mail communication not later than 2 years after the
8apparent owner's last indication of interest in the property.
9However, the holder promptly shall attempt to contact the
10apparent owner by first-class United States mail if:
11        (1) the holder does not have information needed to send
12    the apparent owner an electronic mail communication or the
13    holder believes that the apparent owner's electronic mail
14    address in the holder's records is not valid;
15        (2) the holder receives notification that the
16    electronic-mail communication was not received; or
17        (3) the apparent owner does not respond to the
18    electronic-mail communication within 30 days after the
19    communication was sent.
20    (d) If first-class United States mail sent under subsection
21(c) is returned to the holder undelivered by the United States
22Postal Service, the property is presumed abandoned 3 years
23after the later of:
24        (1) except as in paragraph (2), the date a
25    communication to contact the apparent owner sent by
26    first-class United States mail is returned to the holder

 

 

HB4573- 19 -LRB101 20378 LNS 69924 b

1    undelivered;
2        (2) if such communication is re-sent within 30 days
3    after the date the first communication is returned
4    undelivered, the date the second communication was
5    returned undelivered; or
6        (3) the date established by subsection (a)(2).
7(Source: P.A. 100-22, eff. 1-1-18.)
 
8    (765 ILCS 1026/15-213)
9    Sec. 15-213. United States savings bonds.
10    (a) As used in this Section, "United States savings bond"
11means property, tangible or intangible, in the form of a
12savings bond issued by the United States Treasury, whether in
13paper, electronic, or paperless form, along with all proceeds
14thereof in the possession of the administrator.
15    (b) Notwithstanding any provision of this Act to the
16contrary, a United States savings bond subject to this Section
17or held or owing in this State by any person is presumed
18abandoned when such bond has remained unclaimed and unredeemed
19for 5 years after its date of final extended maturity.
20    (c) United States savings bonds that are presumed abandoned
21and unclaimed under subsection (b) shall escheat to the State
22of Illinois and all property rights and legal title to and
23ownership of the United States savings bonds, or proceeds from
24the bonds, including all rights, powers, and privileges of
25survivorship of any owner, co-owner, or beneficiary, shall vest

 

 

HB4573- 20 -LRB101 20378 LNS 69924 b

1solely in the State according to the procedure set forth in
2subsections (d) through (f).
3    (d) Within 180 days after a United States savings bond has
4been presumed abandoned, in the absence of a claim having been
5filed with the administrator for the savings bond, the
6administrator shall commence a civil action in the Circuit
7Court of Sangamon County for a determination that the United
8States savings bonds has escheated to the State. The
9administrator may postpone the bringing of the action until
10sufficient United States savings bonds have accumulated in the
11administrator's custody to justify the expense of the
12proceedings.
13    (e) The administrator shall make service by publication in
14the civil action in accordance with Sections 2-206 and 2-207 of
15the Code of Civil Procedure, which shall include the filing
16with the Circuit Court of Sangamon County of the affidavit
17required in Section 2-206 of that Code by an employee of the
18administrator with personal knowledge of the efforts made to
19contact the owners of United States savings bonds presumed
20abandoned under this Section. In addition to the diligent
21inquiries made pursuant to Section 2-206 of the Code of Civil
22Procedure, the administrator may also utilize additional
23discretionary means to attempt to provide notice to persons who
24may own a United States savings bond registered to a person
25with a last known address in the State of Illinois subject to a
26civil action pursuant to subsection (d).

 

 

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1    (f) The owner of a United States savings bond registered to
2a person with a last known address in the State of Illinois
3subject to a civil action pursuant to subsection (d) may file a
4claim for such United States savings bond with either the
5administrator or by filing a claim in the civil action in the
6Circuit Court of Sangamon County in which the savings bond
7registered to that person is at issue prior to the entry of a
8final judgment by the Circuit Court pursuant to this
9subsection, and unless the Circuit Court determines that such
10United States savings bond is not owned by the claimant, then
11such United States savings bond shall no longer be presumed
12abandoned. If no person files a claim or appears at the hearing
13to substantiate a disputed claim or if the court determines
14that a claimant is not entitled to the property claimed by the
15claimant, then the court, if satisfied by evidence that the
16administrator has substantially complied with the laws of this
17State, shall enter a judgment that the United States savings
18bonds have escheated to this State, and all property rights and
19legal title to and ownership of such United States savings
20bonds or proceeds from such bonds, including all rights,
21powers, and privileges of survivorship of any owner, co-owner,
22or beneficiary, shall vest in this State.
23    (g) The administrator shall redeem from the Bureau of the
24Fiscal Service of the United States Treasury the United States
25savings bonds escheated to the State and deposit the proceeds
26from the redemption of United States savings bonds into the

 

 

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1Unclaimed Property Trust Fund.
2    (h) Any person making a claim for the United States savings
3bonds escheated to the State under this subsection, or for the
4proceeds from such bonds, may file a claim with the
5administrator. Upon providing sufficient proof of the validity
6of such person's claim, the administrator may, in his or her
7sole discretion, pay such claim. If payment has been made to
8any claimant, no action thereafter may be maintained by any
9other claimant against the State or any officer thereof for or
10on account of such funds.
11(Source: P.A. 100-22, eff. 1-1-18.)
 
12    (765 ILCS 1026/15-401)
13    Sec. 15-401. Report required by holder.
14    (a) A holder of property presumed abandoned and subject to
15the custody of the administrator shall report in a record to
16the administrator concerning the property. A holder shall
17report via the internet in a format approved by the
18administrator, unless the administrator gives a holder
19specific permission to file a paper report.
20    (b) A holder may contract with a third party to make the
21report required under subsection (a).
22    (c) Whether or not a holder contracts with a third party
23under subsection (b), the holder is responsible:
24        (1) to the administrator for the complete, accurate,
25    and timely reporting of property presumed abandoned; and

 

 

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1        (2) for paying or delivering to the administrator
2    property described in the report.
3    (d) A business association that has no reportable property
4shall report to the administrator on forms via the Internet in
5a format approved by the administrator if the business
6association has:
7        (1) annual sales of more than $1,000,000;
8        (2) securities that are publicly traded;
9        (3) a net worth of more than $10,000,000; or
10        (4) more than 100 employees.
11(Source: P.A. 100-22, eff. 1-1-18.)
 
12    (765 ILCS 1026/15-503)
13    Sec. 15-503. Notice by administrator.
14    (a) The administrator shall give notice to an apparent
15owner that property presumed abandoned and appears to be owned
16by the apparent owner is held by the administrator under this
17Act.
18    (b) In providing notice under subsection (a), the
19administrator shall:
20        (1) except as otherwise provided in paragraph (2), send
21    written notice by first-class United States mail to each
22    apparent owner of property valued at $100 or more held by
23    the administrator, unless the administrator determines
24    that a mailing by first-class United States mail would not
25    be received by the apparent owner, and, in the case of a

 

 

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1    security held in an account for which the apparent owner
2    had consented to receiving electronic mail from the holder,
3    send notice by electronic mail if the electronic-mail
4    address of the apparent owner is known to the administrator
5    instead of by first-class United States mail; or
6        (2) send the notice to the apparent owner's
7    electronic-mail address if the administrator does not have
8    a valid United States mail address for an apparent owner,
9    but has an electronic-mail address that the administrator
10    does not know to be invalid.
11    (c) In addition to the notice under subsection (b), the
12administrator shall:
13        (1) publish every 6 months in at least one English
14    language newspaper of general circulation in each county in
15    this State notice of property held by the administrator
16    which must include:
17            (A) the total value of property received by the
18        administrator during the preceding 6-month period,
19        taken from the reports under Section 15-401;
20            (B) the total value of claims paid by the
21        administrator during the preceding 6-month period;
22            (C) the Internet web address of the unclaimed
23        property website maintained by the administrator;
24            (D) a telephone number and electronic-mail address
25        to contact the administrator to inquire about or claim
26        property; and

 

 

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1            (E) a statement that a person may access the
2        Internet by a computer to search for unclaimed property
3        and a computer may be available as a service to the
4        public at a local public library.
5        (2) The administrator shall maintain a website
6    accessible by the public and electronically searchable
7    which contains the names reported to the administrator of
8    apparent owners for whom property is being held by the
9    administrator. The administrator need not list property on
10    such website when: no owner name was reported, a claim has
11    been initiated or is pending for the property, the
12    administrator has made direct contact with the apparent
13    owner of the property, and in other instances where the
14    administrator reasonably believes exclusion of the
15    property is in the best interests of both the State and the
16    owner of the property.
17    (d) The website or database maintained under subsection
18(c)(2) must include instructions for filing with the
19administrator a claim to property and an online claim form with
20instructions. The website may also provide a printable claim
21form with instructions for its use.
22    (e) Tax return identification of apparent owners of
23abandoned property.
24        (1) At least annually the administrator shall notify
25    the Department of Revenue of the names of persons appearing
26    to be owners of abandoned property under this Section. The

 

 

HB4573- 26 -LRB101 20378 LNS 69924 b

1    administrator shall also provide to the Department of
2    Revenue the social security numbers of the persons, if
3    available.
4        (2) The Department of Revenue shall notify the
5    administrator if any person under subsection (e)(1) has
6    filed an Illinois income tax return and shall provide the
7    administrator with the last known address of the person as
8    it appears in Department of Revenue records, except as
9    prohibited by federal law. The Department of Revenue may
10    also provide additional addresses for the same taxpayer
11    from the records of the Department, except as prohibited by
12    federal law.
13        (3) In order to facilitate the return of property under
14    this subsection, the administrator and the Department of
15    Revenue may enter into an interagency agreement concerning
16    protection of confidential information, data match rules,
17    and other issues.
18        (4) The administrator may deliver, as provided under
19    Section 15-904 of this Act, property or pay the amount
20    owing to a person matched under this Section without the
21    person filing a claim under Section 15-903 of this Act if
22    the following conditions are met:
23            (A) the value of the property that is owed the
24        person is $2,000 or less;
25            (B) the property is not either tangible property or
26        securities;

 

 

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1            (C) the last known address for the person according
2        to the Department of Revenue records is less than 12
3        months old; and
4            (D) the administrator has evidence sufficient to
5        establish that the person who appears in Department of
6        Revenue records is the owner of the property and the
7        owner currently resides at the last known address from
8        the Department of Revenue.
9        (5) If the value of the property that is owed the
10    person is greater than $2,000, or is tangible property or
11    securities the administrator shall provide notice to the
12    person, informing the person that he or she is the owner of
13    abandoned property held by the State and may file a claim
14    with the administrator for return of the property.
15        (6) The administrator does not need to notify the
16    Department of Revenue of the names or social security
17    numbers of apparent owners of abandoned property if the
18    administrator reasonably believes that the Department of
19    Revenue will be unable to provide information that would
20    provide sufficient evidence to establish that the person in
21    the Department of Revenue's records is the apparent owner
22    of unclaimed property in the custody of the administrator.
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

 

 

HB4573- 28 -LRB101 20378 LNS 69924 b

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    (h) Identification of apparent owners of abandoned
11property using other State databases.
12        (1) The administrator may enter into interagency
13    agreements with the Secretary of State and the State Board
14    of Elections to compare the names and social security
15    numbers of persons appearing to be owners of abandoned
16    property under this Section with databases under the
17    control of the Secretary of State and the State Board of
18    Elections. Such interagency agreements shall include terms
19    addressing the protection of confidential information,
20    data match rules, and other necessary and proper issues.
21        (2) Except as prohibited by federal law, the Secretary
22    of State or the State Board of Elections shall provide the
23    administrator with the last known address as it appears in
24    its respective records of any person reasonably believed to
25    be the apparent owner of abandoned property.
26        (3) The administrator may deliver, as provided under

 

 

HB4573- 29 -LRB101 20378 LNS 69924 b

1    Section 15-904, property or pay the amount owing to a
2    person matched under this Section without the person filing
3    a claim under Section 15-903 if the following conditions
4    are met:
5            (A) the value of the property that is owed to the
6        person is $2,000 or less;
7            (B) the property is not tangible property or
8        securities;
9            (C) the last known address of the person according
10        to the records of the Secretary of State or the State
11        Board of Elections is less than 12 months old; and
12            (D) the administrator has evidence sufficient to
13        establish that the person who appears in the records of
14        the Secretary of State or the State Board of Elections
15        is the owner of the property and the owner currently
16        resides at the last known address provided by the
17        Secretary of State or the State Board of Elections.
18(Source: P.A. 100-22, eff. 1-1-18; 100-566, eff. 1-1-18.)
 
19    (765 ILCS 1026/15-603)
20    Sec. 15-603. Payment or delivery of property to
21administrator.
22    (a) Except as otherwise provided in this Section, on filing
23a report under Section 15-401, the holder shall pay or deliver
24to the administrator the property described in the report.
25    (b) If property in a report under Section 15-401 is an

 

 

HB4573- 30 -LRB101 20378 LNS 69924 b

1automatically renewable deposit and a penalty or forfeiture in
2the payment of interest would result from paying the deposit to
3the administrator at the time of the report, the date for
4payment of the property to the administrator is extended until
5a penalty or forfeiture no longer would result from payment, if
6the holder informs the administrator of the extended date.
7    (c) Tangible property in a safe-deposit box may not be
8delivered to the administrator until a mutually agreed upon
9date that is no sooner than 60 days after filing the report
10under Section 15-401.
11    (d) If property reported to the administrator under Section
1215-401 is a security, the administrator may:
13        (1) make an endorsement, instruction, or entitlement
14    order on behalf of the apparent owner to invoke the duty of
15    the issuer, its transfer agent, or the securities
16    intermediary to transfer the security; or
17        (2) dispose of the security under Section 15-702.
18    (e) If the holder of property reported to the administrator
19under Section 15-401 is the issuer of a certificated security,
20the administrator may obtain a replacement certificate in
21physical or book-entry form under Section 8-405 of the Uniform
22Commercial Code. An indemnity bond is not required.
23    (f) The administrator shall establish procedures for the
24registration, issuance, method of delivery, transfer, and
25maintenance of securities delivered to the administrator by a
26holder.

 

 

HB4573- 31 -LRB101 20378 LNS 69924 b

1    (g) An issuer, holder, and transfer agent or other person
2acting in good faith under this Section under instructions of
3and on behalf of the issuer or holder is not liable to the
4apparent owner for a claim arising with respect to property
5after the property has been delivered to the administrator.
6    (h) A holder is not required to deliver to the
7administrator a security identified by the holder as a
8non-freely transferable security in a report filed under
9Section 15-401. If the administrator or holder determines that
10a security is no longer a non-freely transferable security, the
11holder shall report and deliver the security on the next
12regular date prescribed for delivery of securities under this
13Act. The holder shall make a determination annually whether a
14security identified in a report filed under Section 15-401 as a
15non-freely transferable security is no longer a non-freely
16transferable security.
17    (i) If property reported to the administrator is virtual
18currency, the holder shall liquidate the virtual currency and
19remit the proceeds to the administrator. The liquidation shall
20occur anytime within 30 days prior to the filing of the report
21under Section 15-401. The owner shall not have recourse against
22the holder or the administrator to recover any gain in value
23that occurs after the liquidation of the virtual currency under
24this subsection.
25(Source: P.A. 100-22, eff. 1-1-18.)