Report Title:

Exempts foreign banks

 

Description:

Exempts foreign banks that are licensed under U.S. laws or any state which are supervised as financial institutions from the provisions of the Money Transmitters Act.

 


HOUSE OF REPRESENTATIVES

H.B. NO.

1311

TWENTY-FOURTH LEGISLATURE, 2007

 

STATE OF HAWAII

 

 

 

 

 

 

A BILL FOR AN ACT


 

 

RELATING TO MONEY TRANSMITTERS.

 

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 


     SECTION 1.  Section 489D-5, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:

     "(a)  This chapter shall not apply to:

     (1)  The United States or any department, agency, or instrumentality thereof;

     (2)  The United States Postal Service;

     (3)  The State or any political subdivisions thereof;

     (4)  Banks, bank holding companies, credit unions, building and loan associations, foreign banks, savings and loan associations, savings banks, financial services loan companies, or mutual banks organized or licensed under the laws of the United States or any state, even if those entities act as authorized delegates for licensees and provided that they do not issue or sell payment instruments through authorized delegates who are not banks, bank holding companies, credit unions, building and loan associations, foreign banks, savings and loan associations, savings banks, financial services loan companies, or mutual banks; and

     (5)  The electronic transfer of government benefits for any federal, state, or county governmental agency as defined in Federal Reserve Board Regulation E, by a contractor for, and on behalf of the United States or any department, agency, or instrumentality thereof, or any state or any political subdivisions thereof."

     SECTION 2.  Section 489D-12, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:

     "(a)  On or before December 31 of each year, each licensee shall pay to the commissioner an annual license fee of $500, plus $100 for each [authorized delegate,] additional location in the State, not to exceed an aggregate fee of $2,000."

     SECTION 3.  Section 489D-19, Hawaii Revised Statutes, is amended to read as follows:

     "§489D-19  Confidentiality of records.  (a)  The commissioner and all employees, contractors, attorneys contracted or employed by the State, and appointees of the division of financial institutions shall not divulge or furnish any information in their possession or obtained by them in the course of their official duties to persons outside the division, except the director of commerce and consumer affairs, or unless otherwise permitted by this section or any other law regulating licensees or authorized delegates, in which case the disclosure shall not authorize or permit any further disclosure of the information.  The disclosures prohibited by this section shall include, without limitation, information that is:

     (1)  Privileged or exempt from disclosure under any federal or state law;

     (2)  Related to an examination performed by or on behalf of the commissioner or contained in any report of examination;

     (3)  Contained in any report submitted to, or for the use of the commissioner, except for the nonproprietary portions of applications;

     (4)  Related to the business, personal, or financial affairs of any person and is furnished to, or for the use of, the commissioner in confidence;

     (5)  Privileged or confidential and related to trade secrets and commercial or financial information obtained from a person;

     (6)  Obtained pursuant to any lawful investigation for the purpose of enforcing the laws regulating licensees or authorized delegates;

     (7)  Related solely to the internal personnel rules or other internal practices of the commissioner;

     (8)  Contained in personnel, medical, and similar files, including financial files, the disclosure of which would constitute a clearly unwarranted invasion of personal privacy; or

     (9)  Contained in inter-agency and intra-agency communications, whether or not contained in written memoranda, letters, tapes, or records, that would not be routinely available by law to a private party, including memoranda, reports, and other documents prepared by the staff of the commissioner.

     (b)  Any information identified in subsection (a) is confidential and not subject to subpoena or other legal process.

     (c)  The commissioner shall furnish a copy of each report of examination to the licensee or authorized delegate examined.  The report and its contents shall remain the property of the commissioner and shall not be disclosed to any person who is not an officer, director, employee, authorized auditor, attorney, other consultant, or advisor of the licensee or authorized delegate.  Any person who has received the report from the licensee or authorized delegate shall be bound by the confidentiality provisions of this section.  The report and its contents shall not be subject to subpoena or other legal process requiring disclosure.

     (d)  The commissioner may furnish reports of examination and other information relating to the examination of a licensee or authorized delegate to:

     (1)  The governor, the attorney general, and heads of other state governmental agencies having regulatory authority over the licensee or authorized delegate;

     (2)  Other agencies of the United States or a state for use where necessary to investigate civil or criminal charges in connection with the affairs of any licensee or authorized delegate under the supervision of the commissioner."

     SECTION 4.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 5.  This Act shall take effect upon its approval.

 

INTRODUCED BY:

_____________________________

 

 

BY REQUEST