Citations Affected: IC 32-34.
Synopsis: Unclaimed property. Provides that certain property left
unclaimed in a safe deposit box for three years is presumed abandoned.
Permits electronic submission of certain documents in connection with
unclaimed property, and permits the attorney general to determine the
manner in which payment or delivery of certain property is made.
Authorizes the attorney general to deduct certain expenses from
proceeds of property paid to the owner.
Effective: July 1, 2013.
January 7, 2013, read first time and referred to Committee on Rules and Legislative
Procedure.
February 7, 2013, amended, reassigned to Committee on Judiciary.
A BILL FOR AN ACT to amend the Indiana Code concerning state
and local administration.
known address of the apparent owner or other person entitled
to the property;
(4) the last known address of the apparent owner, as shown on the
records of the holder, is in a state that does not provide for the
escheat or custodial taking of the property and the holder is a
domiciliary or a government or governmental subdivision or
agency of this state;
(5) the last known address of the apparent owner, as shown on the
records of the holder, is in a foreign country and the holder is a
domiciliary or a government or governmental subdivision or
agency of this state;
(6) the transaction out of which the property arose occurred in
Indiana, the holder is a domiciliary of a state that does not provide
for the escheat or custodial taking of the property, and the last
known address of the apparent owner or other person entitled to
the property is:
(A) unknown; or
(B) in a state that does not provide for the escheat or custodial
taking of the property; or
(7) the property is a traveler's check or money order:
(A) purchased in Indiana; or
(B) for which the issuer of the traveler's check or money order
has its principal place of business in Indiana and the issuer's
records:
(i) do not show the state in which the instrument was
purchased; or
(ii) show that the instrument was purchased in a state that
does not provide for the escheat or custodial taking of the
property.
(b) Tangible property held in a safe deposit box or any other
safekeeping depository in Indiana that is presumed abandoned is
subject to the custody of this state regardless of the last known
address of the apparent owner.
(c) Tangible property held in a safe deposit box or any other
safekeeping depository in another state that is presumed
abandoned is subject to the custody of this state if:
(1) the last known address of the owner is in Indiana; and
(2) the property is located in a state that does not provide for
the escheat or custodial taking of the property.
box or any other safekeeping depository in Indiana in the ordinary
course of the holder's business; or
(2) the proceeds resulting from the sale of the property described
in subdivision (1) as authorized by other law;
remain unclaimed by the owner for more than five (5) three (3) years
after expiration of the lease or rental period on the box or other
depository, the property or proceeds are presumed abandoned.
former names of the holder, if any, and the known name and address of
any previous holder of the property.
(d) The attorney general shall establish filing dates for the report
required by subsection (a).
(e) The holder of property that is presumed abandoned and that is
subject to custody as unclaimed property under this chapter shall, not
more than one hundred twenty (120) days or less than sixty (60) days
before filing the report required by subsection (a), send written notice
to the apparent owner of the property stating that the holder is in
possession of property subject to this chapter if:
(1) the holder has a record of an address for the apparent owner
that the holder's records do not show as inaccurate;
(2) the claim of the apparent owner is not barred by the statute of
limitations; and
(3) the value of the property is at least fifty dollars ($50).
(f) Before the date of filing the report required by subsection (a), the
holder may request the attorney general to extend the time for filing the
report. The attorney general may grant the extension upon a showing
of good cause. The holder, upon receipt of the extension, may make an
interim payment on the amount the holder estimates will ultimately be
due. The making of an interim payment under this subsection suspends
the accrual of interest on the amount.
(g) The holder shall file with the report an affidavit stating that the
holder has complied with this section.
(h) The report required under this section shall be submitted
electronically in a format approved by the attorney general.
an endorsement, instruction, or entitlement order on behalf of the
apparent owner to invoke the duty of the issuer or its transfer agent or
the securities intermediary to transfer or dispose of the security or the
security entitlement in accordance with IC 26-1-8.1.
(e) If the holder of property reported to the attorney general is the
issuer of a certificated security, the attorney general has the right to
obtain a replacement certificate under IC 26-1-8.1-405, and an
indemnity bond is not required.
(f) An issuer, the holder, and any transfer agent or other person
acting under the instructions of and on behalf of the issuer in
accordance with this section are not liable to the apparent owner and
must be indemnified against the claims of any person in accordance
with section 29 of this chapter.
(g) Payment or delivery of property shall be made in the manner
specified by the attorney general.
amount of money sufficient to implement this subsection.
(d) Before making a deposit into the abandoned property fund, the
attorney general shall record the following:
(1) The name and last known address of each person appearing
from the holder's reports to be entitled to the abandoned property.
(2) The name and last known address of each insured person or
annuitant.
(3) The number, the name of the corporation, and the amount due
concerning any policy or contract listed in the report of a life
insurance company.
(e) Except as provided in subsection (f), earnings on the property
custody fund and the abandoned property fund shall be credited to each
fund.
(f) On July 1 of each year, the interest balance in the property
custody fund established by section 32 of this chapter and the interest
balance in the abandoned property fund shall be transferred to the state
general fund.
first presumed abandoned under this chapter, notwithstanding the
expiration of any other time specified by statute, contract, or court
order during which an action or a proceeding may be commenced or
enforced to obtain payment of a claim for money or recovery of
property.
(f) The attorney general may pay over or deliver to the owner the
property, or the net proceeds of the sale of property if the property has
been sold by the attorney general, together with any additional amount
to which the claimant may be entitled under section 30 of this chapter,
without the owner filing a claim under subsection (a) if the attorney
general identifies the owner.
(g) The following costs may be deducted from the value of the
property before the net proceeds are paid to the owner:
(1) Costs of selling the property, including tangible property
and securities.
(2) Costs of identifying and recovering the property,
including:
(A) costs of an examination under section 42 of this
chapter; or
(B) costs incurred in connection with an interstate
agreement under section 44 of this chapter.