Bill Text: NY S06756 | 2011-2012 | General Assembly | Introduced
Bill Title: Relates to reporting of financial exploitation; establishes a financial exploitation, outreach, education and training program and fund.
Spectrum: Partisan Bill (Democrat 3-0)
Status: (Introduced - Dead) 2012-03-19 - REFERRED TO BANKS [S06756 Detail]
Download: New_York-2011-S06756-Introduced.html
S T A T E O F N E W Y O R K
________________________________________________________________________
6756
I N S E N A T E
March 19, 2012
___________
Introduced by Sen. VALESKY -- read twice and ordered printed, and when
printed to be committed to the Committee on Banks
AN ACT to amend the banking law and the elder law, in relation to finan-
cial exploitation; and to amend the state finance law, in relation to
establishing the financial exploitation, outreach, education and
training fund
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
1 Section 1. The banking law is amended by adding a new section 9-v to
2 read as follows:
3 S 9-V. REPORTING OF SUSPECTED FINANCIAL EXPLOITATION. 1. AS USED IN
4 THIS SECTION, THE FOLLOWING TERMS SHALL HAVE THE FOLLOWING MEANINGS:
5 (A) "FINANCIAL INSTITUTION" SHALL MEAN ANY OF THE FOLLOWING:
6 (1) A DEPOSITORY INSTITUTION, AS DEFINED IN SECTION 3(C) OF THE FEDER-
7 AL DEPOSIT INSURANCE ACT (12 U.S.C. SEC. 1813(C)).
8 (2) AN INSTITUTION-AFFILIATED PARTY, AS DEFINED IN SECTION 3(U) OF THE
9 FEDERAL DEPOSIT INSURANCE ACT (12 U.S.C. SEC. 1813(U)).
10 (3) A FEDERAL CREDIT UNION OR STATE CREDIT UNION, AS DEFINED IN
11 SECTION 101 OF THE FEDERAL CREDIT UNION ACT (12 U.S.C. SEC. 1752),
12 INCLUDING, BUT NOT LIMITED TO, AN INSTITUTION-AFFILIATED PARTY OF A
13 CREDIT UNION, AS DEFINED IN SECTION 206(R) OF THE FEDERAL CREDIT UNION
14 ACT (12 U.S.C. SEC. 1786(R)).
15 (B) "ELDERLY PERSON" SHALL MEAN A PERSON SIXTY YEARS OF AGE OR OLDER.
16 (C) "FINANCIAL EXPLOITATION" SHALL MEAN IMPROPER USE OF AN ELDERLY
17 PERSON'S FUNDS, PROPERTY OR RESOURCES BY ANOTHER INDIVIDUAL, INCLUDING
18 BUT NOT LIMITED TO FRAUD, FALSE PRETENSES, MISREPRESENTATION, EMBEZZLE-
19 MENT, CONSPIRACY, FORGERY, FALSIFYING RECORDS, COERCED PROPERTY TRANS-
20 FERS OR DENIAL OF ACCESS TO ASSETS.
21 2. ANY CERTIFIED PUBLIC ACCOUNTANT OR ATTORNEY LICENSED IN THIS STATE,
22 ANY PREPARER OF TAXES OPERATING IN THIS STATE, AND ANY OFFICER OR
23 EMPLOYEE OF A FINANCIAL INSTITUTION LOCATED WITHIN THIS STATE, WHO
24 REVIEWS OR APPROVES AN ELDERLY PERSON'S FINANCIAL DOCUMENTS, RECORDS OR
25 TRANSACTIONS, IN CONNECTION WITH PROVIDING FINANCIAL AND/OR LEGAL
26 SERVICES TO OR ON BEHALF OF AN ELDERLY PERSON SHALL BE REQUIRED TO
27 REPORT IN ACCORDANCE WITH THIS SECTION WHEN SUCH INDIVIDUAL, WITHIN THE
28 SCOPE OF HIS OR HER EMPLOYMENT OR PROFESSIONAL PRACTICE, HAS REASONABLE
29 CAUSE TO BELIEVE THAT SUCH ELDERLY PERSON HAS BEEN OR IS BEING SUBJECTED
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD07964-02-2
S. 6756 2
1 TO FINANCIAL EXPLOITATION. A BANK TELLER SHALL BE EXEMPT FROM THE
2 REQUIREMENTS OF THIS SECTION, PROVIDED THAT BANK TELLERS RECEIVE TRAIN-
3 ING APPROVED BY THE OFFICE FOR THE AGING ON IDENTIFYING SCAMS AND OTHER
4 FORMS OF FINANCIAL EXPLOITATION.
5 3. IN ADDITION TO THOSE PERSONS REQUIRED TO REPORT SUSPECTED FINANCIAL
6 EXPLOITATION UNDER THIS SECTION, ANY OTHER PERSON MAY MAKE SUCH A REPORT
7 IF HE OR SHE HAS REASONABLE CAUSE TO BELIEVE THAT AN ELDERLY PERSON HAS
8 BEEN OR IS BEING SUBJECTED TO FINANCIAL EXPLOITATION.
9 4. REPORTS OF SUSPECTED FINANCIAL EXPLOITATION UNDER THIS SECTION
10 SHALL BE MADE IMMEDIATELY BY TELEPHONE OR AS SOON AS PRACTICABLY POSSI-
11 BLE, AND BY WRITTEN REPORT SENT WITHIN TWO WORKING DAYS TO THE ADULT
12 PROTECTIVE SERVICES UNIT OF THE LOCAL DEPARTMENT OF SOCIAL SERVICES.
13 5. AN ALLEGATION BY AN ELDERLY PERSON, OR ANY OTHER PERSON, THAT
14 FINANCIAL EXPLOITATION HAS OCCURRED IS SUFFICIENT TO TRIGGER THE REPORT-
15 ING REQUIREMENT IN SUBDIVISION TWO OF THIS SECTION.
16 6. ANY PERSON WHO IN GOOD FAITH MAKES A REPORT UNDER THIS SECTION
17 SHALL HAVE IMMUNITY FROM ANY LIABILITY, CIVIL OR CRIMINAL, FOR HAVING
18 MADE SUCH A REPORT. FOR THE PURPOSE OF ANY PROCEEDING, CIVIL OR CRIMI-
19 NAL, THE GOOD FAITH OF ANY PERSON REQUIRED TO REPORT INSTANCES OF FINAN-
20 CIAL EXPLOITATION UNDER SUBDIVISION TWO OF THIS SECTION SHALL BE
21 PRESUMED.
22 7. IF, AFTER A PROCEEDING WITH NOTICE AND A HEARING, THE SUPERINTEN-
23 DENT DETERMINES THAT ANY PERSON REQUIRED BY THIS SECTION TO REPORT AN
24 INSTANCE OF SUSPECTED FINANCIAL EXPLOITATION HAS WILLFULLY FAILED TO
25 REPORT SUCH INSTANCE, SUCH PERSON SHALL BE DEEMED TO HAVE VIOLATED THIS
26 SECTION AND SHALL BE SUBJECT TO A PENALTY NOT TO EXCEED ONE THOUSAND
27 DOLLARS PER VIOLATION.
28 S 2. Section 202 of the elder law is amended by adding a new subdivi-
29 sion 16 to read as follows:
30 16. TO CONDUCT AN OUTREACH, EDUCATION AND TRAINING PROGRAM FOR FINAN-
31 CIAL INSTITUTIONS AS DEFINED IN PARAGRAPH (A) OF SUBDIVISION ONE OF
32 SECTION NINE-V OF THE BANKING LAW.
33 S 3. The elder law is amended by adding a new section 219-a to read
34 as follows:
35 S 219-A. FINANCIAL EXPLOITATION, OUTREACH, EDUCATION AND TRAINING
36 PROGRAM. 1. DEFINITIONS. FOR THE PURPOSES OF THIS SECTION, THE TERM
37 "DESIGNATED AGENCY" SHALL HAVE THE MEANING ASCRIBED TO IT UNDER SECTION
38 TWO HUNDRED FOURTEEN OF THIS TITLE.
39 2. THE DIRECTOR, WITHIN THE AMOUNTS APPROPRIATED THEREFOR, SHALL, IN
40 CONJUNCTION WITH THE OFFICE OF CHILDREN AND FAMILY SERVICES AND THE
41 BANKING DEPARTMENT, ESTABLISH A FINANCIAL OUTREACH, EDUCATION AND TRAIN-
42 ING PROGRAM, HEREINAFTER REFERRED TO IN THIS SECTION AS "THE PROGRAM,"
43 FOR THE PURPOSE OF PROVIDING AN EDUCATION, OUTREACH AND TRAINING PROGRAM
44 TO CERTIFIED PUBLIC ACCOUNTANTS LICENSED IN THIS STATE, ATTORNEYS
45 LICENSED IN THIS STATE, ANY PREPARER OF TAXES OPERATING IN THIS STATE,
46 AND TO FINANCIAL INSTITUTIONS AS DEFINED IN SECTION NINE-V OF THE BANK-
47 ING LAW LOCATED WITHIN THIS STATE. THE OUTREACH, EDUCATION AND TRAINING
48 PROGRAM SHALL BE A VOLUNTARY PROGRAM. THE DIRECTOR, IN CONJUNCTION WITH
49 THE OFFICE OF CHILDREN AND FAMILY SERVICES AND THE DEPARTMENT OF FINAN-
50 CIAL SERVICES, SHALL COORDINATE ACTIVITIES TO IDENTIFY AND PROVIDE
51 TRAINING TO THE INSTITUTIONS AND INDIVIDUALS DESCRIBED IN THIS SECTION.
52 3. (A) AS PART OF THE PROGRAM, THE DIRECTOR MAY AWARD GRANTS TO QUALI-
53 FIED DESIGNATED AGENCIES TO ESTABLISH LOCAL ELDERLY EXPLOITATION
54 OUTREACH, EDUCATION AND TRAINING PROGRAMS. QUALIFIED DESIGNATED AGENCIES
55 SHALL WORK COLLABORATIVELY WITH SUCH INSTITUTIONS AND INDIVIDUALS, AND
56 THEIR REPRESENTATIVE ASSOCIATIONS.
S. 6756 3
1 (B) IN MAKING SUCH GRANTS, THE DIRECTOR SHALL CONSIDER:
2 (1) THE MANNER IN WHICH THE DESIGNATED AGENCY PROPOSES TO PROVIDE SUCH
3 EDUCATION, OUTREACH AND TRAINING;
4 (2) THE CAPACITY OF THE DESIGNATED AGENCY TO COORDINATE ITS SERVICES
5 WITH BANKING, HUMAN SERVICE AND LAW ENFORCEMENT AND PUBLIC AGENCIES
6 WHICH PROVIDE SERVICES OR ASSISTANCE TO THE ELDERLY, INCLUDING THE LOCAL
7 DEPARTMENT OF SOCIAL SERVICES ADULT PROTECTIVE SERVICES UNIT; AND
8 (3) ANY OTHER CRITERIA DETERMINED BY THE DIRECTOR TO BE APPROPRIATE.
9 4. THE PROGRAM SHALL, AT A MINIMUM, CONSIST OF THE FOLLOWING ELEMENTS
10 WHICH SHALL BE PROVIDED BY THE OFFICE FOR THE AGING:
11 (A) EDUCATIONAL AND INFORMATIONAL MATERIALS IN PRINT, AUDIO, VISUAL,
12 ELECTRONIC OR OTHER MEDIA;
13 (B) PUBLIC SERVICE ANNOUNCEMENTS, ADVERTISEMENTS, MEDIA CAMPAIGNS,
14 WORKSHOPS AND MASS MAILINGS;
15 (C) CONFERENCES OR PRESENTATIONS DESIGNED TO PROVIDE INFORMATION TO
16 THOSE INDIVIDUALS IDENTIFIED IN SUBDIVISION TWO OF SECTION NINE-V OF THE
17 BANKING LAW; AND
18 (D) INSTRUCTIONS ON HOW TO REPORT KNOWN OR SUSPECTED INCIDENTS OF
19 FINANCIAL EXPLOITATION OF THE ELDERLY, INCLUDING THE APPROPRIATE TELE-
20 PHONE NUMBERS TO CALL AND THE TYPES OF INFORMATION THAT WOULD ASSIST THE
21 OFFICE WITH ITS INVESTIGATION OF THE REPORT.
22 5. THE DIRECTOR SHALL CONVENE AN ADVISORY COMMITTEE MADE UP OF AT
23 LEAST TEN BUT NO MORE THAN TWENTY MEMBERS TO ADVISE THE DIRECTOR AND
24 MAKE RECOMMENDATIONS ON THE ASPECTS OF DEVELOPING AND IMPLEMENTING THE
25 PROGRAM. MEMBERS OF THE ADVISORY COMMITTEE SHALL INCLUDE BUT NOT BE
26 LIMITED TO: AT LEAST TWO REPRESENTATIVES FROM STATEWIDE SENIOR ADVOCACY
27 ORGANIZATIONS, AT LEAST ONE REPRESENTATIVE REPRESENTING A NON-PROFIT
28 SENIOR ORGANIZATION WHICH OPERATES AN ELDER ABUSE PREVENTION PROGRAM, AT
29 LEAST ONE ATTORNEY WHOSE PRACTICE CONCENTRATES IN ELDER LAW OR AN INDI-
30 VIDUAL ACTING ON BEHALF OF THE ELDER LAW SECTION OF THE NEW YORK STATE
31 BAR ASSOCIATION, AT LEAST ONE BANKER OR A REPRESENTATIVE OF AN ASSOCI-
32 ATION REPRESENTING BANKERS, AT LEAST ONE CERTIFIED PUBLIC ACCOUNTANT OR
33 A REPRESENTATIVE OF AN ASSOCIATION REPRESENTING CERTIFIED PUBLIC
34 ACCOUNTANTS, AT LEAST TWO MEMBERS REPRESENTING PROTECTIVE SERVICES FOR
35 ADULTS, AND AT LEAST TWO LAW ENFORCEMENT REPRESENTATIVES.
36 S 4. The state finance law is amended by adding a new section 99-u to
37 read as follows:
38 S 99-U. FINANCIAL EXPLOITATION, OUTREACH, EDUCATION AND TRAINING FUND.
39 1. THERE IS HEREBY ESTABLISHED IN THE JOINT CUSTODY OF THE COMPTROLLER
40 AND THE SUPERINTENDENT OF BANKS A SPECIAL REVENUE FUND TO BE KNOWN AS
41 THE "FINANCIAL EXPLOITATION, OUTREACH, EDUCATION AND TRAINING FUND".
42 2. THE FINANCIAL EXPLOITATION, OUTREACH, EDUCATION AND TRAINING FUND
43 SHALL CONSIST OF ALL MONEYS RECEIVED BY THE STATE UNDER SECTION NINE-V
44 OF THE BANKING LAW AND ALL OTHER FEES, FINES, GRANTS, BEQUESTS OR OTHER
45 MONIES CREDITED, APPROPRIATED OR TRANSFERRED THERETO FROM ANY OTHER FUND
46 OR SOURCE.
47 3. THE MONEYS OF THE FINANCIAL EXPLOITATION, OUTREACH, EDUCATION AND
48 TRAINING FUND SHALL BE DISBURSED BY THE COMPTROLLER TO THE STATE OFFICE
49 FOR THE AGING FOR THE PURPOSE OF CARRYING OUT THE PROVISIONS OF SECTIONS
50 TWO HUNDRED NINETEEN AND TWO HUNDRED NINETEEN-A OF THE ELDER LAW.
51 S 5. This act shall take effect immediately; provided, however, that
52 subdivisions 2, 3, 4, 5, 6 and 7 of section 9-v of the banking law, as
53 added by section one of this act, shall take effect on the two hundred
54 seventieth day after this act shall have become a law.
