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

                                 7892--A

                       2013-2014 Regular Sessions

                          I N  A S S E M B L Y

                              June 7, 2013
                               ___________

Introduced by M. of A. MILLMAN, WEPRIN -- Multi-Sponsored by -- M. of A.
  SEPULVEDA  --  read  once  and  referred  to the Committee on Aging --
  committee discharged, bill amended, ordered reprinted as  amended  and
  recommitted to said committee

AN ACT to amend the social services law and the banking law, in relation
  to  authorizing  banking organizations to refuse to disburse moneys in
  circumstances of the financial exploitation of a vulnerable adult

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

  Section 1. Section 473 of the social services law is amended by adding
a new subdivision 8 to read as follows:
  8. (A) AS USED IN THIS SUBDIVISION:
  (I) "BANKING INSTITUTION" MEANS ANY STATE OR FEDERALLY CHARTERED BANK,
TRUST  COMPANY,  SAVINGS  BANK,  SAVINGS AND LOAN ASSOCIATION OR, CREDIT
UNION.
  (II) "VULNERABLE ADULT" MEANS AN  INDIVIDUAL  WHO  BECAUSE  OF  MENTAL
AND/OR  PHYSICAL  IMPAIRMENT,  IS  UNABLE  TO  MANAGE  HIS  OR  HER  OWN
RESOURCES, OR PROTECT HIMSELF OR HERSELF FROM FINANCIAL EXPLOITATION.
  (B) IF A BANKING INSTITUTION, SOCIAL SERVICES OFFICIAL OR LAW ENFORCE-
MENT AGENCY REASONABLY BELIEVES THAT FINANCIAL EXPLOITATION OF A VULNER-
ABLE ADULT HAS OCCURRED OR MAY OCCUR, THE BANKING INSTITUTION  MAY,  BUT
SHALL NOT BE REQUIRED TO, REFUSE ANY TRANSACTION REQUIRING THE DISBURSAL
OF MONEYS IN THE ACCOUNT OF:
  (I) A VULNERABLE ADULT;
  (II)  WHICH  A  VULNERABLE ADULT IS A BENEFICIARY, INCLUDING TRUST AND
GUARDIANSHIP ACCOUNTS; AND
  (III) A PERSON WHO IS SUSPECTED OF ENGAGING IN THE FINANCIAL EXPLOITA-
TION OF A VULNERABLE ADULT.
  (C) A BANKING INSTITUTION MAY ALSO REFUSE TO DISBURSE MONEYS  PURSUANT
TO  THIS  SUBDIVISION  IF  A SOCIAL SERVICES OFFICIAL OR LAW ENFORCEMENT
AGENCY PROVIDES INFORMATION TO SUCH INSTITUTION DEMONSTRATING THAT IT IS

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD11238-04-3
              

A. 7892--A                          2

REASONABLE TO BELIEVE THAT FINANCIAL EXPLOITATION OF A VULNERABLE  ADULT
HAS OCCURRED OR MAY OCCUR.
  (D)  A BANKING INSTITUTION SHALL NOT BE REQUIRED TO REFUSE TO DISBURSE
FUNDS PURSUANT TO THIS SECTION. SUCH A REFUSAL SHALL BE IN  THE  BANKING
INSTITUTION'S  DISCRETION,  BASED  ON  THE INFORMATION AVAILABLE TO SUCH
INSTITUTION.
  (E) ANY BANKING INSTITUTION WHICH REFUSES TO DISBURSE MONEYS  PURSUANT
TO THIS SUBDIVISION SHALL:
  (I)  MAKE A REASONABLE EFFORT TO PROVIDE NOTICE, ORALLY OR IN WRITING,
TO ALL PARTIES AUTHORIZED TO TRANSACT BUSINESS ON THE ACCOUNT FROM WHICH
DISBURSEMENT WAS REFUSED; AND
  (II) REPORT THE INCIDENT TO THE SOCIAL SERVICES  OFFICIAL  RESPONSIBLE
FOR ADMINISTERING ADULT PROTECTIVE SERVICES PURSUANT TO THIS ARTICLE FOR
THE AFFECTED VULNERABLE ADULT.
  (F)  THE REFUSAL TO DISBURSE MONEYS PURSUANT TO THIS SUBDIVISION SHALL
TERMINATE UPON THE EARLIER OF:
  (I) THE TIME AT WHICH THE BANKING INSTITUTION IS  SATISFIED  THAT  THE
DISBURSEMENT  WILL NOT RESULT IN THE FINANCIAL EXPLOITATION OF A VULNER-
ABLE ADULT; OR
  (II) THE ISSUANCE OF AN ORDER BY A COURT  OF  COMPETENT  JURISDICTION,
DIRECTING THE DISBURSAL OF THE MONEYS.
  (G)  A  BANKING INSTITUTION MAY PROVIDE ACCESS TO OR COPIES OF RECORDS
RELEVANT TO SUSPECTED FINANCIAL EXPLOITATION OF A  VULNERABLE  ADULT  TO
LAW  ENFORCEMENT  AGENCIES AND SOCIAL SERVICES OFFICIALS RESPONSIBLE FOR
ADMINISTERING THE PROVISIONS OF THIS ARTICLE. SUCH RECORDS  MAY  INCLUDE
RELEVANT   HISTORICAL   RECORDS  AND  RECENT  TRANSACTIONS  RELATING  TO
SUSPECTED FINANCIAL EXPLOITATION.
  (H) A BANKING INSTITUTION OR AN EMPLOYEE OF SUCH AN INSTITUTION  SHALL
BE  IMMUNE FROM CRIMINAL, CIVIL OR ADMINISTRATIVE LIABILITY FOR REFUSING
TO DISBURSE MONEYS OR DISBURSING MONEYS PURSUANT  TO  THIS  SUBDIVISION,
AND  FOR  ACTIONS  TAKEN IN FURTHERANCE OF THAT DETERMINATION, INCLUDING
THE MAKING OF A REPORT OR THE PROVIDING OF ACCESS TO OR COPIES OF  RELE-
VANT RECORDS TO A SOCIAL SERVICES OFFICIAL OR LAW ENFORCEMENT AGENCY, IF
SUCH  DETERMINATIONS  AND ACTIONS WERE MADE IN GOOD FAITH AND IN ACCORD-
ANCE WITH THE PROVISIONS OF THIS SUBDIVISION.
  S 2. Section 4 of the banking law is amended by adding a new  subdivi-
sion 4 to read as follows:
  4.  A  BANKING INSTITUTION OR AN EMPLOYEE OF SUCH AN INSTITUTION SHALL
BE IMMUNE FROM CRIMINAL, CIVIL OR ADMINISTRATIVE LIABILITY FOR  REFUSING
TO DISBURSE MONEYS OR DISBURSING MONEYS PURSUANT TO SUBDIVISION EIGHT OF
SECTION  FOUR  HUNDRED SEVENTY-THREE OF THE SOCIAL SERVICES LAW, AND FOR
ACTIONS TAKEN IN FURTHERANCE OF THAT DETERMINATION, INCLUDING THE MAKING
OF A REPORT OR THE PROVIDING OF ACCESS TO OR COPIES OF RELEVANT  RECORDS
TO  A SOCIAL SERVICES OFFICIAL OR LAW ENFORCEMENT AGENCY, IF SUCH DETER-
MINATIONS AND ACTIONS WERE MADE IN GOOD FAITH  AND  IN  ACCORDANCE  WITH
SUBDIVISION  EIGHT  OF  SECTION FOUR HUNDRED SEVENTY-THREE OF THE SOCIAL
SERVICES LAW. FOR PURPOSES OF THIS SUBDIVISION, THE TERM "BANKING INSTI-
TUTION" SHALL MEAN ANY STATE OR FEDERALLY CHARTERED BANK, TRUST COMPANY,
SAVINGS BANK, SAVINGS AND LOAN ASSOCIATION OR, CREDIT UNION.
  S 3. This act shall take effect on the one hundred eightieth day after
it shall have become a law.