S T A T E   O F   N E W   Y O R K
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    S. 2806--A                                            A. 4037--A

                       2015-2016 Regular Sessions

                      S E N A T E - A S S E M B L Y

                            January 29, 2015
                               ___________

IN  SENATE -- Introduced by Sen. GOLDEN -- read twice and ordered print-
  ed, and when printed to be committed to  the  Committee  on  Banks  --
  recommitted  to  the Committee on Banks in accordance with Senate Rule
  6, sec. 8 -- committee discharged, bill amended, ordered reprinted  as
  amended and recommitted to said committee

IN  ASSEMBLY -- Introduced by M. of A. ROBINSON, BARRETT, OTIS, PEOPLES-
  STOKES,  MOSLEY,  ARROYO,  FARRELL,  PERRY,   SEPULVEDA,   SIMANOWITZ,
  LINARES, BARRON -- read once and referred to the Committee on Aging --
  ordered  to  a third reading -- committed to the Committee on Aging in
  accordance with Assembly Rule 3, sec. 2 -- reported  and  referred  to
  the  Committee  on  Codes -- reported and referred to the Committee on
  Ways and Means -- reported and referred to the Committee on  Rules  --
  Rules Committee discharged, bill amended, ordered reprinted as amended
  and recommitted to the Committee on Rules

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;

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD00937-02-6

              

S. 2806--A                          2                         A. 4037--A

  (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.
  (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  SUPERINTENDENT,  IN  CONSULTATION  WITH  THE DIRECTOR OF THE
OFFICE FOR THE AGING,  THE  ATTORNEY  GENERAL,  REPRESENTATIVES  OF  THE
FINANCIAL  SERVICES  INDUSTRY,  LAW  ENFORCEMENT,  SENIOR GROUPS, SENIOR
CENTERS, INDEPENDENT LIVING CENTERS, DISABILITY  GROUPS,  THE  NEW  YORK
STATE  OFFICE  FOR  THE  PREVENTION  OF  DOMESTIC VIOLENCE, AND DISTRICT
ATTORNEYS, SHALL DEVELOP:
  (1) GUIDELINES FOR WHEN, HOW AND TO WHOM SUSPECTED FINANCIAL EXPLOITA-
TION SHOULD BE REPORTED, WHETHER TO  ADULT  PROTECTIVE  SERVICES  AND/OR
APPROPRIATE LAW ENFORCEMENT;
  (2) IDENTIFICATION OF WARNING SIGNS AND EVIDENCE THAT WOULD BE ACCEPT-
ABLE INDICATORS OF FINANCIAL EXPLOITATION AND THAT MAY BE USED TO DETER-
MINE A REASONABLE BASIS FOR REPORTING SUSPECTED FINANCIAL EXPLOITATION;
  (3)  INFORMATION  THAT  SHOULD  BE  INCLUDED  IN A REPORT OF SUSPECTED
FINANCIAL ABUSE; AND
  (4) THE APPLICABLE LAWS, RULES AND REGULATIONS THAT MUST  BE  FOLLOWED
WHILE REPORTING SUSPECTED FINANCIAL ABUSE.
  3. THE SUPERINTENDENT, IN CONSULTATION WITH THE DIRECTOR OF THE OFFICE
FOR  THE  AGING,  THE ATTORNEY GENERAL, REPRESENTATIVES OF THE FINANCIAL
SERVICES INDUSTRY, LAW ENFORCEMENT, SENIOR GROUPS, SENIOR CENTERS, INDE-

S. 2806--A                          3                         A. 4037--A

PENDENT LIVING CENTERS, DISABILITY GROUPS, THE NEW YORK STATE OFFICE FOR
THE PREVENTION OF  DOMESTIC  VIOLENCE,  AND  DISTRICT  ATTORNEYS,  SHALL
DEVELOP;
  (A) TRAINING FOR BANK EMPLOYEES CONCERNING THE GUIDELINES OF DEVELOPED
PURSUANT TO SUBDIVISION TWO OF THIS SECTION THAT SHALL INCLUDE DISABILI-
TY LITERACY TRAINING; AND
  (B)  A  BROCHURE  EDUCATING  BANK CUSTOMERS REGARDING THE REPORTING OF
FINANCIAL EXPLOITATION AND HOW TO REPORT THAT THEY ARE BEING EXPLOITED.
  4. 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.
  5. 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.
  6. A FINANCIAL INSTITUTION LOCATED OR DOING BUSINESS IN THIS STATE  OR
AN  EMPLOYEE THEREOF WHO ACTS 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.
  7. ANY INFORMATION OR DOCUMENTATION SUBMITTED PURSUANT TO THIS SECTION
SHALL NOT BE SUBJECT TO DISCLOSURE UNDER ARTICLE SIX OF THE PUBLIC OFFI-
CERS LAW.
  8.  NOTHING  IN  THIS  SECTION  SHALL BE DEEMED TO ALTER OR NEGATE THE
DUTIES OF ANY FINANCIAL INSTITUTION OR ANY OFFICER, DIRECTOR, AGENT,  OR
EMPLOYEE THEREOF ESTABLISHED BY ANY OTHER PROVISION OF LAW.
  S  2.  This  act  shall take effect on the sixtieth day after it shall
have become a law.