S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  7345

                       2013-2014 Regular Sessions

                          I N  A S S E M B L Y

                              May 13, 2013
                               ___________

Introduced  by  M.  of  A.  ROBINSON,  MILLMAN,  WEPRIN, PEOPLES-STOKES,
  CAMARA, BARRON -- read once and referred to the Committee on Aging

AN ACT to amend the banking law, in relation to establishing the opt  in
  program for reporting of suspected financial exploitation

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. The banking law is amended by adding a new article  2-D  to
read as follows:
                               ARTICLE 2-D
                         FINANCIAL EXPLOITATION
SECTION 90. OPT  IN PROGRAM FOR REPORTING OF SUSPECTED FINANCIAL EXPLOI-
              TATION.
  S 90. OPT IN PROGRAM FOR REPORTING OF  SUSPECTED  FINANCIAL  EXPLOITA-
TION. 1. AS USED IN THIS ARTICLE:
  (A)  "ADULT  PROTECTIVE  SERVICES  AGENCY"  SHALL  MEAN A LOCAL SOCIAL
SERVICES OFFICE PROVIDING ADULT PROTECTIVE SERVICES PURSUANT TO  SECTION
FOUR HUNDRED SEVENTY-THREE OF THE SOCIAL SERVICES LAW;
  (B)  "FINANCIAL  EXPLOITATION"  SHALL  MEAN IMPROPER USE OF AN ADULT'S
FUNDS, PROPERTY OR RESOURCES BY ANOTHER INDIVIDUAL,  INCLUDING  BUT  NOT
LIMITED  TO,  FRAUD, FALSE PRETENSES, EMBEZZLEMENT, CONSPIRACY, FORGERY,
FALSIFYING RECORDS, COERCED PROPERTY TRANSFERS, OR DENIAL OF  ACCESS  TO
ASSETS; AND
  (C) "FINANCIAL INSTITUTION" SHALL MEAN BANKS, TRUST COMPANIES, PRIVATE
BANKERS, SAVINGS BANKS, LICENSED LENDERS, SAVINGS AND LOAN ASSOCIATIONS,
CREDIT  UNIONS, INVESTMENT COMPANIES, MUTUAL TRUST INVESTMENT COMPANIES,
AND BANKING ORGANIZATIONS AS DEFINED IN SECTION TWO OF THIS CHAPTER.
  2. THE DEPARTMENT SHALL DEVELOP A VOLUNTARY PROGRAM WHERE A  FINANCIAL
INSTITUTION  MAY  BE  REQUIRED  BY AN INDIVIDUAL WHO HAS AN ACCOUNT WITH
SUCH FINANCIAL INSTITUTION TO REPORT SUSPECTED FINANCIAL EXPLOITATION TO
THE APPROPRIATE ADULT PROTECTIVE SERVICES  AGENCY  AND  APPROPRIATE  LAW
ENFORCEMENT. THIS PROGRAM SHALL OPERATE UNDER THE FOLLOWING PARAMETERS:

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD10951-01-3
              

A. 7345                             2

  (A)  PARTICIPATION  IN THE PROGRAM SHALL BE OFFERED TO ALL INDIVIDUALS
WHO HAVE ACCOUNTS WITH THE FINANCIAL INSTITUTION;
  (B) PARTICIPATION IN THE PROGRAM SHALL BE VOLUNTARY;
  (C) AN INDIVIDUAL MAY REVOKE, IN WRITING ON THE FORM PRESCRIBED BY THE
DEPARTMENT, THEIR PARTICIPATION AT ANY TIME;
  (D) IF AN OFFICER, DIRECTOR, AGENT OR EMPLOYEE OF A FINANCIAL INSTITU-
TION,  ACTING IN THEIR OFFICIAL CAPACITY, HAS CAUSE TO SUSPECT FINANCIAL
EXPLOITATION OF AN INDIVIDUAL PARTICIPATING IN SUCH PROGRAM, SUCH  OFFI-
CER,  DIRECTOR, AGENT OR EMPLOYEE SHALL REPORT, OR CAUSE TO BE REPORTED,
SUCH SUSPECTED FINANCIAL EXPLOITATION IN ACCORDANCE WITH RULES AND REGU-
LATIONS PROMULGATED BY THE  DEPARTMENT  ON  A  FORM  PRESCRIBED  BY  THE
DEPARTMENT;
  (E)  THE  DEPARTMENT  SHALL DEVELOP A FORM FOR USE BY FINANCIAL INSTI-
TUTIONS THAT AN INDIVIDUAL MAY COMPLETE IN ORDER TO PARTICIPATE IN  THIS
PROGRAM  AND  A  FORM  BY  WHICH  AN INDIVIDUAL MAY REVOKE THEIR PARTIC-
IPATION;
  (F) THE ORIGINAL FORM SHALL BE KEPT ON FILE BY THE FINANCIAL  INSTITU-
TION  AS LONG AS THE INDIVIDUAL MAINTAINS AN ACCOUNT WITH SUCH FINANCIAL
INSTITUTION AND A COPY SHALL BE FORWARDED  TO  THE  DEPARTMENT  AND  THE
INDIVIDUAL; AND
  (G)  THE  DEPARTMENT SHALL PROMULGATE ANY RULES AND REGULATIONS NECES-
SARY TO EFFECTUATE THE PROVISIONS OF THIS  SECTION  INCLUDING,  BUT  NOT
LIMITED TO:
  (1)  GUIDELINES  FOR  HOW AND TO WHOM SUSPECTED FINANCIAL EXPLOITATION
SHALL BE REPORTED, WHETHER TO ADULT PROTECTIVE SERVICES AND/OR APPROPRI-
ATE LAW ENFORCEMENT; AND
  (2) WHAT INDICATORS SHALL FORM THE REASONABLE BASIS  OF  A  REPORT  OF
SUSPECTED FINANCIAL EXPLOITATION.
  3.  AN  INDIVIDUAL  WHO  HAS  OPTED TO PARTICIPATE IN THIS PROGRAM AND
WHOSE PARTICIPATION HAS NOT BEEN REVOKED SHALL BE DEEMED TO  HAVE  GIVEN
PERMISSION  FOR  REPORTS  OF  SUSPECTED  FINANCIAL  EXPLOITATION  TO  BE
REFERRED TO APPROPRIATE LAW ENFORCEMENT, PROVIDING THAT SUCH REPORTS ARE
MADE IN ACCORDANCE WITH RULES AND REGULATIONS PRESCRIBED BY THE  DEPART-
MENT.
  4.  IF  AN  INDIVIDUAL  HAS REVOKED PARTICIPATION IN THE PROGRAM, SUCH
REVOCATION SHALL BE EFFECTIVE UPON THE APPROPRIATE FORM BEING  PRESENTED
TO  THE FINANCIAL INSTITUTION.  THEREAFTER NO REPORT OF SUSPECTED FINAN-
CIAL EXPLOITATION SHALL BE MADE WITHOUT THE INDIVIDUAL'S EXPRESS CONSENT
UNLESS THE INDIVIDUAL CHOOSES TO PARTICIPATE IN THE PROGRAM AGAIN  AT  A
LATER POINT IN TIME.
  5. A THIRD PARTY LOCATED OR DOING BUSINESS IN THIS STATE OR AN EMPLOY-
EE  THEREOF  WHO, ACTING REASONABLY AND IN GOOD FAITH IN ACCORDANCE WITH
THIS SECTION, SHALL HAVE IMMUNITY FROM ANY CIVIL  LIABILITY  THAT  MIGHT
OTHERWISE RESULT BY REASON OF SUCH ACTIONS.
  6. ANY INFORMATION OR DOCUMENTATION SUBMITTED PURSUANT TO THIS SECTION
SHALL NOT BE SUBJECT TO DISCLOSURE UNDER ARTICLE SIX OF THE PUBLIC OFFI-
CERS LAW.
  S  2.  This  act  shall take effect on the sixtieth day after it shall
have become a law.

                            
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 7345--A

                       2013-2014 Regular Sessions

                          I N  A S S E M B L Y

                              May 13, 2013
                               ___________

Introduced  by  M.  of  A.  ROBINSON,  MILLMAN,  WEPRIN, PEOPLES-STOKES,
  CAMARA, BARRON, MOSLEY, OTIS, BARRETT, BROOK-KRASNY -- Multi-Sponsored
  by -- M. of A.  ARROYO, SIMANOWITZ -- read once and  referred  to  the
  Committee  on Aging -- reported and referred to the Committee on Codes
  -- committee discharged, bill amended, ordered  reprinted  as  amended
  and recommitted to said committee

AN  ACT to amend the banking law, in relation to establishing the opt in
  program for reporting of suspected financial exploitation

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1.  The banking law is amended by adding a new article 2-D to
read as follows:
                               ARTICLE 2-D
                         FINANCIAL EXPLOITATION
SECTION 90. OPT IN PROGRAM FOR REPORTING OF SUSPECTED FINANCIAL  EXPLOI-
              TATION.
  S  90.  OPT  IN PROGRAM FOR REPORTING OF SUSPECTED FINANCIAL EXPLOITA-
TION. 1. AS USED IN THIS ARTICLE:
  (A) "ADULT PROTECTIVE SERVICES  AGENCY"  SHALL  MEAN  A  LOCAL  SOCIAL
SERVICES  OFFICE PROVIDING ADULT PROTECTIVE SERVICES PURSUANT TO SECTION
FOUR HUNDRED SEVENTY-THREE OF THE SOCIAL SERVICES LAW;
  (B) "FINANCIAL EXPLOITATION" SHALL MEAN IMPROPER  USE  OF  AN  ADULT'S
FUNDS,  PROPERTY  OR  RESOURCES BY ANOTHER INDIVIDUAL, INCLUDING BUT NOT
LIMITED TO, FRAUD, FALSE PRETENSES, EMBEZZLEMENT,  CONSPIRACY,  FORGERY,
FALSIFYING  RECORDS,  COERCED PROPERTY TRANSFERS, OR DENIAL OF ACCESS TO
ASSETS; AND
  (C) "FINANCIAL INSTITUTION" SHALL MEAN BANKS, TRUST COMPANIES, PRIVATE
BANKERS, SAVINGS BANKS, LICENSED LENDERS, SAVINGS AND LOAN ASSOCIATIONS,
CREDIT UNIONS, INVESTMENT COMPANIES, MUTUAL TRUST INVESTMENT  COMPANIES,
AND BANKING ORGANIZATIONS AS DEFINED IN SECTION TWO OF THIS CHAPTER THAT
ARE LICENSED BY THE SUPERINTENDENT.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD10951-02-3
              

A. 7345--A                          2

  (D) "ACCOUNT HOLDER" SHALL MEAN AN INDIVIDUAL WHO HAS AN INDIVIDUAL OR
JOINT ACCOUNT WITH A FINANCIAL INSTITUTION.
  2. THE DEPARTMENT SHALL DEVELOP A PROGRAM WHEREBY A FINANCIAL INSTITU-
TION  SHALL  BE REQUIRED TO REPORT SUSPECTED FINANCIAL EXPLOITATION OF A
PARTICIPATING  ACCOUNT  HOLDER  TO  THE  APPROPRIATE  ADULT   PROTECTIVE
SERVICES  AGENCY  AND  APPROPRIATE  LAW  ENFORCEMENT. THIS PROGRAM SHALL
OPERATE AS FOLLOWS:
  (A) PARTICIPATION IN THIS PROGRAM SHALL  BE  OFFERED  TO  ALL  ACCOUNT
HOLDERS;
  (B) SUCH PARTICIPATION SHALL BE VOLUNTARY FOR ACCOUNT HOLDERS;
  (C)  AN ACCOUNT HOLDER MAY REVOKE HIS OR HER PARTICIPATION AT ANY TIME
IN THE FORM AND MANNER PRESCRIBED BY THE DEPARTMENT;
  (D) IF AN OFFICER, DIRECTOR, AGENT OR EMPLOYEE OF A FINANCIAL INSTITU-
TION, ACTING IN HIS OR HER  OFFICIAL  CAPACITY,  HAS  CAUSE  TO  SUSPECT
FINANCIAL  EXPLOITATION  OF  AN  ACCOUNT  HOLDER  PARTICIPATING  IN SUCH
PROGRAM, SUCH OFFICER, DIRECTOR, AGENT  OR  EMPLOYEE  SHALL  REPORT,  OR
CAUSE  TO  BE REPORTED, SUCH SUSPECTED FINANCIAL EXPLOITATION IN ACCORD-
ANCE WITH RULES AND REGULATIONS PROMULGATED BY THE DEPARTMENT ON A  FORM
PRESCRIBED BY THE DEPARTMENT;
  (E)  THE  DEPARTMENT  SHALL DEVELOP A FORM FOR USE BY FINANCIAL INSTI-
TUTIONS THAT AN ACCOUNT HOLDER MAY COMPLETE IN ORDER TO  PARTICIPATE  IN
THIS PROGRAM AND A FORM BY WHICH AN ACCOUNT HOLDER MAY REVOKE HIS OR HER
PARTICIPATION;
  (F)  THE ORIGINAL FORM SHALL BE KEPT ON FILE BY THE FINANCIAL INSTITU-
TION AS LONG AS THE ACCOUNT HOLDER MAINTAINS AN ACCOUNT WITH SUCH FINAN-
CIAL INSTITUTION AND A COPY SHALL BE FORWARDED TO THE DEPARTMENT AND THE
ACCOUNT HOLDER; AND
  (G) THE DEPARTMENT SHALL PROMULGATE ANY RULES AND  REGULATIONS  NECES-
SARY  TO  EFFECTUATE  THE  PROVISIONS OF THIS SECTION INCLUDING, BUT NOT
LIMITED TO:
  (1) GUIDELINES FOR HOW AND TO WHOM  SUSPECTED  FINANCIAL  EXPLOITATION
SHALL BE REPORTED, WHETHER TO ADULT PROTECTIVE SERVICES AND/OR APPROPRI-
ATE LAW ENFORCEMENT; AND
  (2)  IDENTIFICATION  OF  INDICATORS  THAT  MAY  BE USED TO DETERMINE A
REASONABLE BASIS FOR REPORTING SUSPECTED FINANCIAL EXPLOITATION.
  3. AN ACCOUNT HOLDER WHO HAS OPTED TO PARTICIPATE IN THIS PROGRAM  AND
WHOSE  PARTICIPATION  HAS NOT BEEN REVOKED SHALL BE DEEMED TO HAVE GIVEN
PERMISSION  FOR  REPORTS  OF  SUSPECTED  FINANCIAL  EXPLOITATION  TO  BE
REFERRED TO APPROPRIATE LAW ENFORCEMENT, PROVIDING THAT SUCH REPORTS ARE
MADE  IN ACCORDANCE WITH RULES AND REGULATIONS PRESCRIBED BY THE DEPART-
MENT.
  4. IF AN ACCOUNT HOLDER HAS REVOKED PARTICIPATION IN THE PROGRAM, SUCH
REVOCATION SHALL BE EFFECTIVE UPON RECEIPT OF  SUCH  REVOCATION  BY  THE
FINANCIAL  INSTITUTION.  THEREAFTER,  NO  REPORT  OF SUSPECTED FINANCIAL
EXPLOITATION SHALL BE  DEEMED  REQUIRED  BY  THIS  SECTION  UNLESS  SUCH
ACCOUNT  HOLDER  CHOOSES  TO PARTICIPATE IN THE PROGRAM AGAIN AT A LATER
POINT IN TIME.
  5. A FINANCIAL INSTITUTION LOCATED OR DOING BUSINESS IN THIS STATE  OR
AN  EMPLOYEE THEREOF WHO, ACTING REASONABLY AND IN GOOD FAITH IN ACCORD-
ANCE WITH THIS SECTION SHALL HAVE IMMUNITY FROM ANY CIVIL LIABILITY THAT
MIGHT OTHERWISE RESULT BY REASON OF SUCH ACTIONS.
  6. ANY INFORMATION OR DOCUMENTATION SUBMITTED PURSUANT TO THIS SECTION
SHALL NOT BE SUBJECT TO DISCLOSURE UNDER ARTICLE SIX OF THE PUBLIC OFFI-
CERS LAW.

A. 7345--A                          3

  7. NOTHING IN THIS SECTION SHALL BE CONSTRUED TO PREVENT ANY FINANCIAL
INSTITUTION OR ANY OFFICER, DIRECTOR, AGENT, OR  EMPLOYEE  THEREOF  FROM
CARRYING OUT ITS DUTIES PURSUANT TO ANY OTHER PROVISION OF LAW.
  S  2.  This  act  shall take effect on the sixtieth day after it shall
have become a law.