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92nd General Assembly

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Public Act 92-0271

HB2282 Enrolled                                LRB9202573DJgc

    AN ACT concerning currency exchanges.

    Be it enacted by the People of  the  State  of  Illinois,
represented in the General Assembly:

    Section  5.  The  Currency  Exchange  Act  is  amended by
changing Section 6 as follows:

    (205 ILCS 405/6) (from Ch. 17, par. 4813)
    Sec. 6.  Insurance against loss.  Every applicant  for  a
license  hereunder shall, after his application for a license
has been  approved,  file  with  and  have  approved  by  the
Director,  a  policy  or  policies  of insurance issued by an
insurance company  or  indemnity  company  authorized  to  do
business  under the law of this State, which shall insure the
applicant against loss by theft, burglary, robbery or forgery
in a principal sum as hereinafter provided;  if  the  average
amount  of  cash  and  liquid funds to be kept on hand in the
office of the community currency  exchange  during  the  year
will not be in excess of $10,000 the policy or policies shall
be  in  the  principal sum of $10,000. If such average amount
will be in excess of $10,000, the policy or policies shall be
for an additional principal sum of $500 for  each  $1,000  or
fraction  thereof  of  such excess over the original $10,000.
From time to time, the Director may determine the  amount  of
cash  and liquid funds on hand in the office of any community
currency exchange and shall require the  licensee  to  submit
additional   policies  if  the  same  are  determined  to  be
necessary  in  accordance  with  the  requirements  of   this
Section.
    Any such policy or policies, with respect to forgery, may
carry  a  condition  that  the  community  currency  exchange
assumes the first $1,000 $100 of each claim thereunder.
    Before  an  ambulatory  currency  exchange  shall sell or
issue money orders, it shall file with and have  approved  by
the  Director, a policy or policies of insurance issued by an
insurance company  or  indemnity  company  authorized  to  do
business  under  the  laws  of this State, which shall insure
such ambulatory currency  exchange  against  loss  by  theft,
burglary,  robbery,  forgery or embezzlement in the principal
sum of not less than $500,000.  If the average amount of cash
and liquid funds to be kept on  hand  during  the  year  will
exceed  $500,000,  the  policy  or  policies  shall be for an
additional principal sum of $500 for each $1,000 or  fraction
thereof in excess of $500,000. From time to time the Director
may  determine  the  amount  of cash and liquid funds kept on
hand by an ambulatory currency exchange and shall require  it
to  submit  such  additional policies as are determined to be
required within the limits of this  Section.   No  ambulatory
currency  exchange  subject to this Section shall be required
to furnish more than one policy of insurance  if  the  policy
furnished  insures  it  against  the  foregoing losses at all
locations served by it.
    Any such policy may contain a condition that the  insured
assumes  a  portion  of  the loss, provided the insured shall
file with such policy a sworn financial statement  indicating
its  ability  to  act  as  self-insurer in the amount of such
deductible portion of the policy  without  prejudice  to  the
safety  of  any  funds  belonging  to  its customers.  If the
Director is not satisfied as to the financial ability of  the
ambulatory  currency  exchange,  he may require it to deposit
cash or United States Government Bonds in the amount of  part
or  all of the deductible portion of the policy.
(Source: P.A. 86-432.)

    Section   10.  The   Uniform   Disposition  of  Unclaimed
Property Act is amended by changing Section 11 as follows:
    (765 ILCS 1025/11) (from Ch. 141, par. 111)
    Sec. 11.  (a) Except as otherwise provided in  subsection
(c)  of  Section  4,  every  person  holding  funds  or other
property, tangible or intangible,  presumed  abandoned  under
this  Act  shall  report  and  remit  all  abandoned property
specified in the report to the State Treasurer  with  respect
to the property as hereinafter provided.  The State Treasurer
may  exempt  any businesses from the reporting requirement if
he deems such businesses unlikely  to  be  holding  unclaimed
property.
    (b)  The  information  shall  be  obtained in one or more
reports as required by the State Treasurer.  The  information
shall be verified and shall include:
         (1)  The   name,  social  security  or  federal  tax
    identification number, if known, and last known  address,
    including  zip  code,  of  each person appearing from the
    records of the holder to be the owner of any property  of
    the  value  of  $25 or more presumed abandoned under this
    Act;
         (2)  In case of unclaimed funds  of  life  insurance
    corporations  the  full  name  of  the  insured  and  any
    beneficiary  or  annuitant  and  the  last  known address
    according to the life insurance corporation's records;
         (3)  The date  when  the  property  became  payable,
    demandable,  or  returnable,  and  the  date  of the last
    transaction with the owner with respect to the  property;
    and
         (4)  Other  information  which  the  State Treasurer
    prescribes by rule as necessary for the administration of
    this Act.
    (c)  If the person holding property presumed abandoned is
a successor to other persons who previously held the property
for the owner, or if the holder has changed  his  name  while
holding the property, he shall file with his report all prior
known names and addresses of each holder of the property.
    (d)  The  report and remittance of the property specified
in the  report  shall  be  filed  by  banking  organizations,
financial  organizations, insurance companies other than life
insurance  corporations,  and  governmental  entities  before
November 1 of each year as of June  30  next  preceding.  The
report and remittance of the property specified in the report
shall  be filed by business associations, utilities, and life
insurance corporations before  May  1  of  each  year  as  of
December  31  next  preceding.  The Director may postpone the
reporting date upon written request by any person required to
file a report.
    (d-5)  Notwithstanding the foregoing, currency  exchanges
shall  be  required to report and remit property specified in
the report within 30 days after the conclusion of its  annual
examination  by the Department of Financial Institutions.  As
part  of  the  examination  of  a  currency   exchange,   the
Department  of  Financial  Institutions  shall  instruct  the
currency  exchange  to  submit  a complete unclaimed property
report  using  the  State  Treasurer's   formatted   diskette
reporting program or an alternative reporting format approved
by   the  State  Treasurer.    The  Department  of  Financial
Institutions  shall  provide  the  State  Treasurer  with  an
accounting of the money orders located in the course  of  the
annual  examination including, where available, the amount of
service fees deducted and the date of the conclusion  of  the
examination.
    (e)  Before  filing  the  annual  report,  the  holder of
property presumed abandoned under this Act shall  communicate
with  the  owner  at his last known address if any address is
known to the holder,  setting  forth  the  provisions  hereof
necessary to occur in order to prevent abandonment from being
presumed.   If the holder has not communicated with the owner
at his last known  address  at  least  120  days  before  the
deadline for filing the annual report, the holder shall mail,
at  least  60  days  before  that deadline, a letter by first
class mail to the owner at his last known address unless  any
address   is  shown  to  be  inaccurate,  setting  forth  the
provisions hereof necessary to prevent abandonment from being
presumed.
    (f)  Verification, if made by  a  partnership,  shall  be
executed   by   a  partner;  if  made  by  an  unincorporated
association or private corporation, by  an  officer;  and  if
made by a public corporation, by its chief fiscal officer.
    (g)  Any  person  who has possession of property which he
has reason to believe will be reportable  in  the  future  as
unclaimed  property,  may  report and deliver it prior to the
date required for such  reporting  in  accordance  with  this
Section and is then relieved of responsibility as provided in
Section 14.
    (h) (1)  Records  pertaining  to  presumptively abandoned
property held by a trust division or trust department or by a
trust company, or affiliate of  any  of  the  foregoing  that
provides   nondealer   corporate   custodial   services   for
securities  or  securities  transactions, organized under the
laws of this or another state or the United States  shall  be
retained  until  the  property  is  delivered  to  the  State
Treasurer.
    As  of January 1, 1998, this subdivision (h)(1) shall not
be applicable unless the Department of Financial Institutions
has commenced, but  not  finalized,  an  examination  of  the
holder  as  of  that  date  and the property is included in a
final examination  report  for  the  period  covered  by  the
examination.
    (2)  In  the  case of all other holders commencing on the
effective date of  this  amendatory  Act  of  1993,  property
records  for  the period required for presumptive abandonment
plus the 9 years immediately preceding the beginning of  that
period  shall  be retained for 5 years after the property was
reportable.
    (i)  The   State   Treasurer   may    promulgate    rules
establishing  the  format and media to be used by a holder in
submitting reports required under this Act.
(Source: P.A. 90-167, eff. 7-23-97; 91-16, eff. 7-1-99.)

    Section 99.  Effective date.  This Act takes effect  upon
becoming law.
    Passed in the General Assembly May 15, 2001.
    Approved August 07, 2001.

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