S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   7705
 
                        2017-2018 Regular Sessions
 
                           I N  A S S E M B L Y
 
                               May 10, 2017
                                ___________
 
 Introduced  by  M.  of  A.  RODRIGUEZ  --  read once and referred to the
   Committee on Banks
 
 AN ACT to amend the banking law, in relation to enacting the  "community
   financial  services access and modernization act of 2017"; and provid-
   ing for the repeal of certain provisions upon expiration thereof

   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Short title. This act shall be known as and may be cited as
 the "community financial services access and modernization act of 2017".
   §  2.  Paragraph  (b)  of subdivision 5 of section 18-a of the banking
 law, as amended by chapter 155 of the laws of 2012, is amended  to  read
 as follows:
   (b) two thousand dollars when the application relates to the licensing
 of  an  additional  location or change of location or the licensing of a
 [mobile unit]  LIMITED STATION of a licensed [casher of  checks]  FINAN-
 CIAL SERVICES PROVIDER; or
   §  3.  Section 366 of the banking law, as amended by chapter 49 of the
 laws of 1961, subdivision 1 as amended by chapter 849  of  the  laws  of
 1964  and  as  further amended by section 104 of part A of chapter 62 of
 the laws of 2011, subdivisions 2 and 3 as renumbered by chapter  132  of
 the laws of 1969, is amended to read as follows:
   § 366.  Definitions.  When used in this article. 1. The term "licensed
 [casher of checks] FINANCIAL SERVICES PROVIDER" means  any  [individual,
 partnership,  unincorporated  association  or  corporation]  PERSON duly
 licensed by the superintendent of financial services to engage in  busi-
 ness pursuant to the provisions of this article.
   2.  The  term  "licensee"  means  a PERSON licensed [casher of checks,
 drafts and/or money orders] TO PROVIDE FINANCIAL SERVICES  REGULATED  BY
 THIS ARTICLE.
   3.  The  term  ["mobile  unit"] "LIMITED STATION" means any vehicle or
 other movable means from which the business of [cashing  checks,  drafts

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

                                                            LBD11339-02-7

 A. 7705                             2

 or  money orders] PROVIDING FINANCIAL SERVICES REGULATED BY THIS ARTICLE
 is to be conducted.
   4.  THE  TERM  "PERSON"  MEANS  ANY  INDIVIDUAL OR OTHER LEGAL ENTITY,
 INCLUDING ANY CORPORATION, PARTNERSHIP, ASSOCIATION OR LIMITED LIABILITY
 COMPANY.
   5. THE TERM "FINANCIAL SERVICES" MEANS OFFERING OR  PROVIDING  ANY  OF
 THE FOLLOWING FINANCIAL PRODUCTS OR SERVICES: (A) THE CASHING OF CHECKS,
 DRAFTS AND/OR MONEY ORDERS,
   (B)  MONEY  TRANSMISSION  SERVICES AS DEFINED IN ARTICLE THIRTEEN-B OF
 THIS CHAPTER, PROVIDED, HOWEVER, A LICENSED FINANCIAL SERVICES  PROVIDER
 OFFERING MONEY TRANSMISSION PURSUANT TO ARTICLE THIRTEEN-B OF THIS CHAP-
 TER,  OTHER THAN AS AN AGENT OF A LICENSEE, SHALL FIRST OBTAIN A LICENSE
 UNDER THAT ARTICLE,
   (C) BILL PAYMENT SERVICES,
   (D) THE SALE OF PREPAID DEBIT CARDS, AND
   (E) THE DISPENSING OF MASS TRANSIT FARE CARDS, OR SUCH OTHER MEDIUM OR
 MECHANISM FOR THE DISPENSING OF MASS TRANSIT FARES.
   6. THE TERM "MASTER LICENSE" SHALL MEAN AN ORIGINAL LICENSE ISSUED  BY
 THE SUPERINTENDENT THAT AUTHORIZES A PERSON TO ENGAGE IN THE BUSINESS OF
 CASHING  OF  CHECKS AND RELATED FINANCIAL SERVICES, AND IN THE CASE OF A
 LICENSEE WHO HAS MULTIPLE LICENSED BUSINESS LOCATIONS AT THE TIME OF THE
 EFFECTIVE DATE OF THIS SUBDIVISION, THE INITIAL LONGEST SITE CONTINUOUS-
 LY LICENSED UNDER THIS ARTICLE.
   7. THE TERM "SUPPLEMENTAL LICENSE" SHALL MEAN A LICENSE ISSUED BY  THE
 SUPERINTENDENT  THAT  AUTHORIZES  A  PERSON  HAVING  A MASTER LICENSE TO
 ENGAGE IN THE BUSINESS  OF  CASHING  OF  CHECKS  AND  RELATED  FINANCIAL
 SERVICES  AT  BRANCH  LOCATIONS,  AND  IN THE CASE OF A LICENSEE WHO HAS
 MULTIPLE LICENSED BUSINESS LOCATIONS AT THE TIME OF THE  EFFECTIVE  DATE
 OF  THIS  SUBDIVISION,  ANY LICENSE ISSUED TO AN EXISTING LICENSEE AFTER
 THE LICENSE FOR THE ORIGINAL SITE.
   § 4. Section 367 of the banking law, as amended by chapter 151 of  the
 laws of 1945, subdivision 3 as amended by section 7 of part D-1 of chap-
 ter  109  of the laws of 2006, subdivision 4 as amended by chapter 96 of
 the laws of 1981, is amended to read as follows:
   § 367.  License  requirements;  fees;  capital  requirements.  1.   No
 person[,  partnership,  association  or corporation] shall engage in the
 business of cashing checks, drafts or money orders for  a  consideration
 without first obtaining a license from the superintendent.
   2.  Application  for such license shall be in writing, under oath, and
 in the form prescribed by the  superintendent,  and  shall  contain  the
 name,  and  the  address both of the residence and place of business, of
 the applicant, and if the applicant is a  co-partnership  [or],  associ-
 ation  OR  LIMITED  LIABILITY COMPANY, of every member thereof, and if a
 corporation, of each officer and director thereof; also, if the business
 is to be conducted at a specific address, the address at which the busi-
 ness is to be conducted, and if the business is to be conducted  from  a
 [mobile unit] LIMITED STATION, the New York state registration number or
 other  identification of such [mobile unit] LIMITED STATION and the area
 in which the applicant proposes to operate such  [mobile  unit]  LIMITED
 STATION;  and  also  such  further information as the superintendent may
 require.
   3. Such applicant at the time of making such application shall pay  to
 the superintendent a fee as prescribed pursuant to section eighteen-a of
 this  chapter  for  investigating the application.  AN APPLICATION FOR A
 MASTER LICENSE SHALL  BE  IN  WRITING,  UNDER  OATH,  AND  IN  THE  FORM
 PRESCRIBED  BY  THE SUPERINTENDENT AND SHALL CONTAIN SUCH INFORMATION AS

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 THE SUPERINTENDENT MAY REQUIRE BY REGULATION. THE APPLICATION SHALL  SET
 FORTH ALL OF THE LOCATIONS AT WHICH THE APPLICANT SEEKS TO CONDUCT BUSI-
 NESS  HEREUNDER.    AT  THE  TIME OF MAKING THE APPLICATION FOR A MASTER
 LICENSE, AN EXISTING LICENSEE UNDER THIS ARTICLE SHALL PAY TO THE SUPER-
 INTENDENT  THE  SUM  OF  TWO  HUNDRED  FIFTY  DOLLARS  FOR EACH PROPOSED
 LOCATION AS A FEE FOR INVESTIGATING THE APPLICATION. AN  APPLICANT  THAT
 DOES  NOT  CURRENTLY  HOLD  A  LICENSE UNDER THIS ARTICLE AT THE TIME OF
 APPLICATION SHALL PAY  TO  THE  SUPERINTENDENT  AN  APPLICATION  FEE  AS
 PROVIDED IN THIS CHAPTER FOR INITIAL APPLICATIONS. Any licensee request-
 ing  a  change of address, shall at the time of making such request, pay
 to the superintendent a fee as prescribed pursuant to section eighteen-a
 of this chapter for investigating the new  address;  provided,  however,
 that the superintendent may, in his or her discretion, waive such inves-
 tigation  fee  if  warranted, and provided further, that no fee shall be
 payable for the relocation of a limited station.
   4. Every applicant shall prove, in form  satisfactory  to  the  super-
 intendent  that  he  or it has available for the operation of such busi-
 ness, for each location and for each [mobile unit] LIMITED STATION spec-
 ified in the  application,  liquid  assets  of  at  least  ten  thousand
 dollars,  and  every licensee shall continuously maintain for the opera-
 tion of such business for each  location  and  for  each  [mobile  unit]
 LIMITED STATION liquid assets of at least ten thousand dollars. Notwith-
 standing  the  foregoing provisions of this subdivision, the superinten-
 dent, upon application by an applicant and for  good  cause  shown,  may
 permit a reduction from ten thousand dollars to not less than five thou-
 sand dollars of minimum liquid assets required for each location.
   §  5. Section 369 of the banking law, as amended by chapter 151 of the
 laws of 1945, subdivision 1 as amended by chapter 233  of  the  laws  of
 2005,  subdivisions  4  and  5  as amended by chapter 132 of the laws of
 1969, subdivision 6 as amended by chapter 164 of the laws of 2003, para-
 graph (b) of subdivision 6 as amended by section 6 of part LL of chapter
 56 of the laws of 2010, and subdivision 7 as added by chapter 485 of the
 laws of 1947, is amended to read as follows:
   § 369. Conditions precedent to issuing license; issuance and filing of
 license; posting license. 1. If the superintendent shall find  that  the
 financial  responsibility, experience, character, and general fitness of
 the applicant, and of the members thereof if the applicant be a co-part-
 nership [or], association OR LIMITED LIABILITY COMPANY, and of the offi-
 cers and directors thereof if the applicant be a corporation,  are  such
 as to command the confidence of the community and to warrant belief that
 the  business  will be operated honestly, fairly, and efficiently within
 the purposes of this article, and if the superintendent shall find  that
 the granting of such application will promote the convenience and advan-
 tage  of  the area in which such business is to be conducted, and if the
 superintendent shall find that the applicant has available for the oper-
 ation of such business for each location  and  for  each  [mobile  unit]
 LIMITED  STATION  specified in the application liquid assets of at least
 ten thousand dollars,  the  superintendent  shall  thereupon  execute  a
 MASTER  license  AND  IF APPLICABLE ONE OR MORE SUPPLEMENTAL LICENSES in
 duplicate to permit the [cashing of checks,  drafts  and  money  orders]
 DELIVERY OF FINANCIAL SERVICES in accordance with the provisions of this
 article  at  the location OR LOCATIONS or in the area OR AREAS specified
 in such application. In finding whether the application will promote the
 convenience and advantage to the public, the superintendent shall deter-
 mine whether there is a  community  need  for  a  new  licensee  in  the
 proposed  area  OR  AREAS to be served. No license shall be issued to an

 A. 7705                             4
 
 applicant for a license, at a location to be licensed  which  is  closer
 than one thousand five hundred eighty-four feet (three-tenths of a mile)
 from  an  existing  licensee,  except  with  the written consent of such
 existing  licensee  or  pursuant  to  subdivision three of section three
 hundred seventy of this article, subject to any restriction or condition
 as the superintendent may promulgate by regulation;  provided,  however,
 the  superintendent  may permit a location to be licensed that is closer
 than three-tenths of a mile from  an  existing  licensee  provided  such
 applicant  engages in the cashing of checks, drafts or money orders only
 for payees of such checks, drafts or money orders that  are  other  than
 natural  persons  at  the location to be licensed and such applicant was
 engaged in the cashing of such checks, drafts or money orders for payees
 that are other than natural persons at such location on  or  before  the
 fourteenth  day  of  July,  two thousand four, and provided further that
 upon licensing any such location by the superintendent, such license  as
 it  pertains solely to such location shall not be affected thereafter by
 any change of control of such license pursuant to section three  hundred
 seventy-a  of  this article, provided that the licensee continues there-
 after to engage at that location in the cashing  of  checks,  drafts  or
 money  orders  only  for  payees that are other than natural persons and
 provided further that such license shall bear a legend stating that such
 location is restricted to the cashing of checks, drafts or money  orders
 only for payees that are other than natural persons. The three-tenths of
 a mile distance requirement as set forth in this section shall not apply
 in cases where the existing licensee is a restricted location as author-
 ized  in  the preceding sentence, or is any other licensed location that
 engages solely in the cashing of checks, drafts or money orders only for
 payees that are  other  than  natural  persons.  For  purposes  of  this
 section,  such  distance  shall be measured on a straight line along the
 street between the nearest point of the store fronts of the check  cash-
 ing facilities. The primary business of the licensee, at the location to
 be licensed, shall be financial services. The superintendent shall tran-
 smit  one  copy of such license to the applicant and file another in the
 office of the department. Notwithstanding the  foregoing  provisions  of
 this  subdivision,  the superintendent, upon application by an applicant
 and for good cause shown, may  permit  a  reduction  from  ten  thousand
 dollars  to not less than five thousand dollars of minimum liquid assets
 required for each location.
   2. Such license shall state the name  of  the  licensee;  and  if  the
 licensee  is  a  co-partnership  [or], association, OR LIMITED LIABILITY
 COMPANY, the names of the members thereof; and  if  the  licensee  is  a
 corporation, the date of its incorporation; and if the business is to be
 conducted  at  a specific address, the address at which such business is
 to be conducted; and if the business is to be conducted through the  use
 of  a  [mobile  unit]  LIMITED  STATION, the New York state registration
 number or other identification of such [mobile unit] LIMITED STATION and
 the area in which such [mobile unit] LIMITED STATION is authorized to do
 business.
   3. [Such license] ALL LICENSES ISSUED BY THE SUPERINTENDENT  shall  be
 kept  conspicuously  posted in the place of business of the licensee or,
 in the case of a [mobile unit] LIMITED STATION, upon such [mobile  unit]
 LIMITED STATION.  Such license shall not be transferable or assignable.
   4.  Such  license  shall  remain  in full force and effect until it is
 surrendered by the licensee or revoked or suspended as provided in  this
 article.  IN THE CASE OF A CHANGE OF CONTROL OF A LOCATION OR A BUSINESS
 LICENSED HEREUNDER, THE LICENSEE APPROVED TO  ACQUIRE  THE  BUSINESS  OR

 A. 7705                             5
 
 LOCATION  MAY  UTILIZE  A  TRUE COPY OF THE EXISTING LICENSE PENDING THE
 ISSUANCE OF A NEW LICENSE BY THE SUPERINTENDENT.
   5.  If  the superintendent shall find that the applicant fails to meet
 any of the conditions set forth in subdivision one of this  section,  he
 OR  SHE  shall  not  issue  such license, and he OR SHE shall notify the
 applicant of the denial.  If an application is denied or withdrawn,  the
 superintendent  shall retain the investigation fee to cover the costs of
 investigating the application and return the license fee to  the  appli-
 cant.
   6.  The  superintendent may refuse to issue a license pursuant to this
 article if he OR SHE shall find that the applicant, or any person who is
 a director, officer, partner, agent, employee or substantial stockholder
 of the applicant, (a) has been convicted of a crime in any  jurisdiction
 or  (b) is associating or consorting with any person who has, or persons
 who have, been convicted of a crime or crimes  in  any  jurisdiction  or
 jurisdictions;  provided,  however,  that  the  superintendent shall not
 issue such a license if he OR SHE shall find that the applicant, or  any
 person  who is a director, officer, partner, agent, employee or substan-
 tial stockholder of the applicant, has been convicted of a felony in any
 jurisdiction or of a crime which, if committed within this state,  would
 constitute  a  felony  under  the laws thereof. For the purposes of this
 article, a person shall be deemed to have been convicted of a  crime  if
 such person shall have pleaded guilty to a charge thereof before a court
 or  magistrate,  or shall have been found guilty thereof by the decision
 or judgment of a court or magistrate or by the verdict of a jury,  irre-
 spective  of  the  pronouncement  of sentence or the suspension thereof,
 unless such plea of guilty, or such decision, judgment or verdict, shall
 have been set aside, reversed or otherwise abrogated by lawful  judicial
 process  or unless the person convicted of the crime shall have received
 a pardon therefor from the president of the United States or the  gover-
 nor   or  other  pardoning  authority  in  the  jurisdiction  where  the
 conviction was had, or shall have received a certificate of relief  from
 disabilities  or a certificate of good conduct pursuant to article twen-
 ty-three of the correction law to remove the disability under this arti-
 cle because of such conviction. The term "substantial  stockholder,"  as
 used in this subdivision, shall be deemed to refer to a person owning or
 controlling ten per centum or more of the total outstanding stock of the
 corporation  in which such person is a stockholder. In making a determi-
 nation pursuant to this subdivision, the  superintendent  shall  require
 fingerprinting of the applicant. Such fingerprints shall be submitted to
 the  division  of criminal justice services for a state criminal history
 record check, as defined in subdivision one of  section  three  thousand
 thirty-five  of  the  education law, and may be submitted to the federal
 bureau of investigation for a national criminal history record check.
   7. No license pursuant to this article shall be issued to  any  appli-
 cant  to  do  business  at the place specified in the application as the
 place where the business is to be conducted if, within the twelve months
 preceding such application, a license to engage in business pursuant  to
 this article at such place shall have been revoked.
   §  6. Section 370 of the banking law, as amended by chapter 151 of the
 laws of 1945, subdivision 2 as amended by section 38 of part O of  chap-
 ter  59  of the laws of 2006 and subdivision 3 as amended by chapter 703
 of the laws of 2006, is amended to read as follows:
   § 370. Restrictions as to place or area of doing business;  establish-
 ment of stations; change of location. 1. No more than one place of busi-
 ness  or one [mobile unit] LIMITED STATION shall be maintained under the

 A. 7705                             6
 
 same license; provided, however, that  more  than  one  license  may  be
 issued to the same licensee [upon compliance with the provisions of this
 article  for each new license] AND IF THE SUPERINTENDENT DETERMINES THAT
 AN  EXISTING  LICENSEE  IS  IN  GOOD STANDING AND IN COMPLIANCE WITH THE
 PROVISIONS OF THIS ARTICLE, A SUBSEQUENT APPLICATION  FOR  A  SECOND  OR
 MULTIPLE  SUPPLEMENTAL  LICENSES  AT  DIFFERENT, SEPARATE AND ADDITIONAL
 LOCATIONS SHALL BE EXPEDITED BY THE SUPERINTENDENT PROVIDED THE  MINIMUM
 LIQUIDITY  REQUIREMENTS AND COMMUNITY NEED CRITERIA SET FORTH IN SECTION
 THREE HUNDRED SIXTY-NINE OF THIS ARTICLE HAVE BEEN DEMONSTRATED  IN  THE
 APPLICATION FOR THE ADDITIONAL LOCATION OR LOCATIONS.
   2.  Any  licensed  [casher  of checks] FINANCIAL SERVICES PROVIDER may
 open and maintain, within this state, one or more limited  stations  for
 the purpose of cashing checks, drafts or money orders for the particular
 group  or groups specified in the license authorizing each such station.
 Such stations shall be licensed pursuant to and be subject  to  all  the
 provisions  of  this  chapter  applicable to licensed cashers of checks,
 except that (a) [such station shall not be subject to the distance limi-
 tation set forth in subdivision one of section three hundred  sixty-nine
 of  this  article,  (b)] the fee for investigating the application for a
 station shall be as prescribed pursuant to section  eighteen-a  of  this
 chapter,  and  [(c)]  (B)  where  such a station is at the premises of a
 specified employer for the purpose of cashing checks, drafts  and  money
 orders  for  the  employees  of  such employer, the fees and charges for
 cashing such checks, drafts or money orders shall not be subject to  the
 limitations  of  subdivision one of section three hundred seventy-two of
 this article if such fees and charges are paid by such employer.
   3. A licensee may make a written application to the superintendent for
 leave to change his or her place of  business,  or  in  the  case  of  a
 [mobile unit] LIMITED STATION, the area in which such unit is authorized
 to  be operated, stating the reasons for such proposed change AND IN THE
 CASE WHERE THE APPLICANT CURRENTLY HOLDS A MASTER LICENSE TO  OPERATE  A
 BUSINESS  ESTABLISHED  UNDER  THIS  ARTICLE,  THE  SUPERINTENDENT  SHALL
 STREAMLINE AND REDUCE THE INFORMATION REQUIRED FROM SUCH APPLICANT. Such
 application may be approved for relocation from  a  site  within  three-
 tenths of a mile of another licensee to another site within three-tenths
 of  a mile of such other licensee provided that such new site is farther
 from such existing licensee than the site from which permission to relo-
 cate is sought. Only in situations in which a licensee seeks  to  change
 its  place  of  business  due  to extraordinary circumstances, as may be
 determined by the superintendent pursuant to regulations, may the super-
 intendent, in his or her discretion, determine that an  application  may
 be  approved for relocation from a site within three-tenths of a mile of
 another licensee to a new site which is closer to such existing licensee
 than the site from which permission to relocate is sought. Notwithstand-
 ing any other provision of this subdivision,  a  licensee  may  relocate
 from  any  location  to a location that is within three-tenths of a mile
 from another licensee with the written consent of the other licensee. If
 the superintendent approves such application he or she shall issue a new
 license in duplicate in accordance with the provisions of section  three
 hundred  sixty-nine  of  this  article, stating the new location of such
 licensee or, in the case of a [mobile unit]  LIMITED  STATION,  the  new
 area in which such [mobile unit] LIMITED STATION may be operated.
   §  7. Section 370-a of the banking law, as added by chapter 142 of the
 laws of 1992, subdivision 1 as amended by section 39 of part O of  chap-
 ter 59 of the laws of 2006, is amended to read as follows:

 A. 7705                             7
 
   § 370-a.  Changes  in control. 1. It shall be unlawful except with the
 prior approval of the superintendent for any action to  be  taken  which
 results  in a change of control of the business of a licensee.  Prior to
 any change of control, the person desirous of acquiring control  of  the
 business  of  a licensee, IF SUCH PERSON IS NOT ALREADY A LICENSEE UNDER
 THIS ARTICLE, shall make written application to the  superintendent  and
 pay an investigation fee as prescribed pursuant to section eighteen-a of
 this  chapter  to the superintendent. The application shall contain such
 information as the superintendent, by rule or regulation, may  prescribe
 as  necessary or appropriate, AND IN THE CASE WHERE THE ACQUIRING PERSON
 CURRENTLY HOLDS A MASTER LICENSE TO OPERATE A BUSINESS ESTABLISHED UNDER
 THIS ARTICLE, AND IN THE CASE OF A LIMITED STATION LICENSE,  THE  SUPER-
 INTENDENT SHALL STREAMLINE AND REDUCE THE INFORMATION REQUIRED FROM SUCH
 APPLICANT,  for  the  purpose  of  making  the determination required by
 subdivision two of this section.
   2. The superintendent shall approve or disapprove the proposed  change
 of  control  of a licensee in accordance with the provisions of subdivi-
 sions one and six of section three hundred sixty-nine of  this  article.
 The  superintendent shall approve or disapprove the application in writ-
 ing within ninety days after the date the application is filed with  the
 superintendent.
   3.  For  a period of six months from the date of qualification thereof
 and for such  additional  period  of  time  as  the  superintendent  may
 prescribe,  in  writing,  the  provisions of subdivisions one and two of
 this section shall not apply to a transfer of control  by  operation  of
 law  to the legal representative, as hereinafter defined, of one who has
 control of a  licensee.  Thereafter,  such  legal  representative  shall
 comply  with the provisions of subdivisions one and two of this section.
 The provisions of subdivisions one and two  of  this  section  shall  be
 applicable  to  an application made under such section by a legal repre-
 sentative.
   The term "legal representative", for the  purposes  of  this  section,
 shall  mean  one  duly appointed by a court of competent jurisdiction to
 act as  executor,  administrator,  trustee,  committee,  conservator  or
 receiver,  including  one  who  succeeds  a legal representative and one
 acting  in  an  ancillary  capacity  thereto  in  accordance  with   the
 provisions of such court appointment.
   4. As used in this section: (a) the term "person" includes an individ-
 ual,  partnership,  corporation, association, LIMITED LIABILITY COMPANY,
 or any  other  organization,  and  (b)  the  term  "control"  means  the
 possession,  directly or indirectly, of the power to direct or cause the
 direction of the management and policies of a licensee, whether  through
 the  ownership of voting stock of such licensee, the ownership of voting
 stock of any person which possesses such  power  or  otherwise.  Control
 shall  be presumed to exist if any person, directly or indirectly, owns,
 controls or holds with power to vote ten  per  centum  or  more  of  the
 voting  stock  of  any licensee or of any person which owns, controls or
 holds with power to vote ten per centum or more of the voting  stock  of
 any licensee, but no person shall be deemed to control a licensee solely
 by  reason  of  being an officer or director of such licensee or person.
 The superintendent may in his OR HER discretion, upon the application of
 a licensee or any person who, directly or indirectly, owns, controls  or
 holds  with power to vote or seeks to own, control or hold with power to
 vote any voting stock of such licensee, determine  whether  or  not  the
 ownership,  control or holding of such voting stock constitutes or would
 constitute control of such licensee for purposes of this section.

 A. 7705                             8
 
   § 8. Section 371 of the banking law, as added by chapter  151  of  the
 laws of 1945, is amended to read as follows:
   § 371.  Regulations.  The  superintendent  is  hereby  authorized  and
 empowered to make such rules and regulations, and such specific rulings,
 demands, and findings as he OR SHE may deem  necessary  for  the  proper
 conduct  of  the  business  authorized  and  licensed  under and for the
 enforcement of this article, in addition  hereto  and  not  inconsistent
 herewith.
   §  9. Section 372 of the banking law, as amended by chapter 151 of the
 laws of 1945, the section heading  and  subdivision  1  as  amended  and
 subdivision  7 as added by chapter 432 of the laws of 2004, subdivisions
 2, 3 and 4 as added and subdivisions 5 and 6 as  renumbered  by  chapter
 263  of  the  laws of 1983, and subdivision 6 as added by chapter 485 of
 the laws of 1947, is amended to read as follows:
   § 372. Fees and charges; posting schedule; records and reports. 1. The
 superintendent shall, by regulation, establish the  maximum  fees  which
 may  be charged by licensees for cashing a check, draft, or money order.
 No licensee shall charge or collect any sum for cashing a check,  draft,
 or  money  order  in  excess of that established by the superintendent's
 regulations; provided, however, that no maximum fee shall apply  to  the
 charging of fees by licensees for the cashing of checks, drafts or money
 orders  for payees of such checks, drafts or money orders that are other
 than natural persons. THE LICENSEE SHALL PAY TO EVERY CUSTOMER TENDERING
 ANY CHECK, DRAFT OR MONEY ORDER TO BE CASHED, THE ENTIRE FACE AMOUNT  OF
 SUCH  INSTRUMENT,  LESS  ANY CHARGES PERMITTED BY THE SUPERINTENDENT, IN
 SUCH FORM AND BY SUCH MEANS AS AGREED UPON BY THE CUSTOMER ON  THE  SAME
 DATE UPON WHICH SUCH INSTRUMENT IS PRESENTED.
   2. The schedule of fees and charges permitted under this section shall
 be  conspicuously  and  continuously posted in every location and [mobil
 unit] LIMITED STATION licensed under this article. WHENEVER  A  LICENSEE
 HEREUNDER  IS  AUTHORIZED  UNDER  THIS  ARTICLE TO OFFER OTHER FINANCIAL
 SERVICES, THE POSTING AND SIGNAGE REQUIREMENTS THEREUNDER  SHALL  SUPER-
 SEDE OTHER SIGNAGE REQUIREMENTS UNDER THIS ARTICLE.
   3.  IN THE CASE OF AN INTERNET, DIGITAL OR OTHER ELECTRONIC ADVERTISE-
 MENT OR SOLICITATION, A LICENSEE SHALL BE DEEMED TO HAVE  FULFILLED  THE
 DISCLOSURE  REQUIREMENTS  OF 3 CRR-NY 400.8 AND 406.6 OF THE SUPERINTEN-
 DENT'S REGULATIONS BY DISPLAYING THE DISCLOSURES ON ITS WEBSITE, SO LONG
 AS THE ADVERTISEMENT OR SOLICITATION INCLUDES A LINK  DIRECTLY  TO  SUCH
 WEBSITE.
   4.  No  change in fees shall become effective earlier than thirty days
 after the superintendent shall notify the majority leader of the senate,
 the speaker of the assembly, and the chairmen of  both  the  senate  and
 assembly committees on banks of his OR HER intention to change fees.
   [4.]  5. The fees in effect immediately prior to the effective date of
 this subdivision shall continue to be the maximum allowable  fees  until
 revised by the superintendent's regulations.
   [5.]  6.  Each licensee shall keep and use in its business such books,
 accounts, and records as the superintendent may require  to  carry  into
 effect the provisions of this article and the rules and regulations made
 by  the  superintendent  hereunder.  Every  licensee shall preserve such
 books, accounts and records for at least two years.  A LICENSEE SHALL BE
 DEEMED TO BE IN COMPLIANCE WITH THIS REQUIREMENT IF THE  LICENSEE  MAIN-
 TAINS  ALL  INFORMATION  RELATED  TO THE FINANCIAL SERVICES TRANSACTIONS
 CONDUCTED BY SAID LICENSEE ACCORDING TO THE PROVISIONS OF SECTION  THIR-
 TY-SIX-B OF THIS CHAPTER.

 A. 7705                             9

   [6.] 7. Before a licensee shall deposit with any banking organization,
 or  with  any  organization engaged in the business of banking, a check,
 draft or money order cashed by such licensee, the same must be  endorsed
 with  the  actual  name  under which such licensee is doing business and
 must  have  the  words  "licensed  [casher of checks] FINANCIAL SERVICES
 PROVIDER" legibly written or stamped immediately  after  or  below  such
 name.
   [7.]  8.  Every  licensee  shall submit to the superintendent, or such
 person as the superintendent may  designate,  such  suspicious  activity
 reports  or currency transaction reports as are required to be submitted
 to federal authorities pursuant to provisions of the  Bank  Secrecy  Act
 (subchapter  11,  chapter  53,  title  31, United States code) and regu-
 lations and administrative orders related thereto,  as  amended,  within
 the  periods of time as required by such act and regulations. A licensee
 may submit a copy of any such report  to  the  superintendent,  or  such
 person  as  the  superintendent  may  designate, that is filed with such
 federal authorities. The superintendent may adopt  such  regulations  or
 require  such  additional reports as he or she deems necessary to insure
 the effective enforcement of this subdivision.
   § 10. Section 372-a of the banking law, as added by chapter 432 of the
 laws of 2004, is amended to read as follows:
   § 372-a. Superintendent authorized to examine. 1. For the  purpose  of
 discovering  violations of this article or securing information lawfully
 required in this section, the superintendent may at  any  time,  and  as
 often as may be determined, either personally or by a person duly desig-
 nated  by  the  superintendent,  investigate  the  [cashing of checks by
 licensees] BUSINESS PRACTICES OF A LICENSEE RENDERING FINANCIAL SERVICES
 AUTHORIZED BY THIS ARTICLE and examine the books, accounts, records, and
 files used therein of every licensee.
   2. For the purpose established in subdivision one of this section, the
 superintendent and his or her duly designated representatives shall have
 free access to the offices and  places  of  business,  books,  accounts,
 papers,  records,  files,  safes  and  vaults of all such licensees. The
 superintendent shall have authority to require the attendance of and  to
 examine  under oath all persons whose testimony may be required relative
 to such cashing of checks or such business.
   § 11. Subdivisions 1 and 2 of section 373 of the banking law, subdivi-
 sion 1 as amended by chapter 432 of the laws of 2004 and  subdivision  2
 as  amended  by  chapter  132 of the laws of 1969, are amended and a new
 subdivision 2-a is added to read as follows:
   1. No licensee shall engage in the business of making loans of  money,
 credit,  goods  or  things  or  discounting of notes, bills of exchange,
 checks, or other evidences of debt pursuant to the provisions of article
 nine of this chapter, nor shall a loan business or  the  negotiation  of
 loans  or  the  discounting of notes, bills of exchange, checks or other
 evidences of debt be conducted on the same premises where  the  licensee
 is  conducting  business  pursuant  to  the  provisions of this article.
 Except as otherwise provided by regulation of  the  superintendent,  all
 checks,  drafts  and  money  orders shall be deposited in the licensee's
 bank account not later than the first business day following the day  on
 which  they  were  cashed. No licensee shall at any time cash or advance
 any moneys on a post-dated check or draft or engage in the  business  of
 transmitting money or receiving money for transmission; provided, howev-
 er, that a licensee may cash a check [payable on the first banking busi-
 ness day following the date of cashing (a) if such check is drawn by the
 United  States,  the  state of New York, or any political subdivision of

 A. 7705                            10

 the state of New York, or by any department, bureau, agency,  authority,
 instrumentality  or  officer,  acting  in  his official capacity, of the
 United States or of the state of New York or of any  political  subdivi-
 sion  of  the state of New York, or (b) if such check is a payroll check
 drawn by an employer to  the  order  of  its  employee  in  payment  for
 services  performed  by  such  employee]  WITHOUT  REGARD  TO  THE  DATE
 IMPRINTED ON THE CHECK  AS  LONG  AS  THE  CHECK  IS  DEPOSITED  IN  THE
 LICENSEE'S  BANK ACCOUNT NOT LATER THAN THE FIRST BUSINESS DAY FOLLOWING
 THE DAY ON WHICH IT WAS CASHED. No licensee shall cash any check,  draft
 or  money order if the face amount for which it is drawn is in excess of
 [fifteen] THIRTY thousand dollars AND WHICH AMOUNT  SHALL  BE  INCREASED
 ANNUALLY  BY  A PERCENTUM AMOUNT, BASED UPON AN INCREASE IN THE CONSUMER
 PRICE INDEX FOR THE NEW YORK-NORTHERN N.J.-LONG ISLAND, NY-NJ-CT-PA AREA
 FOR ALL URBAN CONSUMERS (ANNUAL CPI-U), AS REPORTED  BY  THE  BUREAU  OF
 LABOR  STATISTICS OF THE U.S.  DEPARTMENT OF LABOR FOR THE CALENDAR YEAR
 PRECEDING THE YEAR IN WHICH SUCH INCREASE IS MADE COMPARED TO SUCH ANNU-
 AL CPI-U FOR THE YEAR PRIOR SUCH PRECEDING YEAR; provided, however, that
 this restriction shall not apply to the cashing  of  checks,  drafts  or
 money  orders drawn by the United States, any state thereof or any poli-
 tical subdivision of any such state, or by any department, bureau, agen-
 cy, authority, instrumentality or officer, acting in his official capac-
 ity,  of  the  United  States,  any  state  thereof  or  any   political
 subdivision  of  any such state, or any [banking] FINANCIAL institution,
 or to any check or draft drawn by OR ON ACCOUNT OF any insurance  compa-
 ny,  ANY  CHECK  ISSUED ON BEHALF OF AN INSURANCE COMPANY, any broker or
 dealer registered with the securities and exchange commission, OR AFFIL-
 IATE OF A BROKER OR DEALER, or  any  attorney  [for  the  settlement  of
 claims], OR TO ANY CHECK ISSUED AS AN ADVANCE TO A LAWSUIT OR AS PART OF
 A STRUCTURED SETTLEMENT, OR TO ANY CHECKS FOR COMPENSATION BONUSES UNDER
 INCENTIVE  PLANS, or to any check which has been certified OR GUARANTEED
 by the banking institution on which it has been drawn, OR IF SUCH  CHECK
 IS  DRAWN  ON  A BONA FIDE WORKERS' COMPENSATION FUND ISSUED BY A THIRD-
 PARTY PAYOR, OR IF SUCH CHECK IS DRAWN BY AN EMPLOYER FROM A PENSION  OR
 PROFIT SHARING FUND, OR IF SUCH CHECK IS DRAWN BY A UNION FROM A PENSION
 OR  BENEFIT  FUND OR IF SUCH CHECK IS DRAWN BY A UNION, OR IF SUCH CHECK
 IS FROM THE SALE OF REAL PROPERTY; provided further, however,  that  any
 such  restriction  upon  the maximum face amount that may be cashed by a
 licensee shall not apply to the  cashing  of  checks,  drafts  or  money
 orders  by  licensees  for payees of such checks, drafts or money orders
 that are other than natural persons. For purposes of  this  subdivision,
 "[banking] FINANCIAL institution" means any bank, trust company, savings
 bank, savings and loan association [or], credit union OR OTHER FINANCIAL
 INSTITUTION which is incorporated, chartered [or], organized OR LICENSED
 under the laws of this state or any other state or the United States.
   2.  The  superintendent  may suspend or revoke any license or licenses
 issued pursuant to this article if, after notice and a  hearing,  he  OR
 SHE shall find that the licensee (a) has committed any fraud, engaged in
 any  dishonest  activities  or  made  any  misrepresentation; or (b) has
 violated any provisions of the banking  law  or  any  regulation  issued
 pursuant  thereto, or has violated any other law in the course of its or
 his dealings as a [licensed casher of checks] LICENSEE DELIVERING  CHECK
 CASHING  AND  RELATED  FINANCIAL SERVICES TO THE PUBLIC PURSUANT TO THIS
 ARTICLE; or (c) has made a false statement in the application  for  such
 license  or  failed  to give a true reply to a question in such applica-
 tion; or (d) has demonstrated his or its incompetency or  untrustworthi-
 ness  to act as a [licensed casher of checks] LICENSEE DELIVERING FINAN-

 A. 7705                            11
 
 CIAL SERVICES TO THE PUBLIC PURSUANT TO THIS  ARTICLE;  or  (e)  is  not
 doing  sufficient  business  pursuant  to  this  article  to justify the
 continuance of the license, or if he OR SHE shall find that  any  ground
 or grounds exist which would require or warrant the refusal of an appli-
 cation  for the issuance of the license if such an application were then
 before him OR HER.  Such a hearing shall be held in the manner and  upon
 such  notice  as  may  be  prescribed  by the superintendent. Pending an
 investigation or a hearing for  the  suspension  or  revocation  of  any
 license  or licenses issued pursuant to this article, the superintendent
 may temporarily suspend such license or licenses for  a  period  not  to
 exceed  ninety  days, provided the superintendent shall find that such a
 temporary suspension is in the public interest.
   2-A. A LICENSEE SHALL BE DEEMED TO BE IN COMPLIANCE WITH THE  REQUIRE-
 MENTS  OF  3  NYCRR-400.5 (B) (3) PROVIDED THAT THE LICENSEE MAINTAINS A
 WRITTEN POLICY, APPROVED BY THE SUPERINTENDENT, DESIGNED TO MITIGATE THE
 RISK THAT THE LICENSEE WILL CASH ANY CHECK OR DRAFT OF ANY  DRAWER  THAT
 IS LIKELY TO BE DISHONORED.
   §  12.  Subdivision 10 of section 36 of the banking law, as amended by
 chapter 182 of the laws of 2011, is amended to read as follows:
   10. All reports of examinations and investigations, correspondence and
 memoranda concerning or arising out of  such  examination  and  investi-
 gations,  including any duly authenticated copy or copies thereof in the
 possession of any banking organization,  bank  holding  company  or  any
 subsidiary  thereof  (as  such terms "bank holding company" and "subsid-
 iary" are defined in article three-A of this chapter),  any  corporation
 or  any  other  entity affiliated with a banking organization within the
 meaning of subdivision six of this section and any  non-banking  subsid-
 iary  of  a  corporation  or any other entity which is an affiliate of a
 banking organization within the meaning of  subdivision  six-a  of  this
 section,  foreign banking corporation, licensed lender, licensed [casher
 of checks] FINANCIAL SERVICES PROVIDER, licensed mortgage banker, regis-
 tered mortgage broker, licensed mortgage loan originator, licensed sales
 finance company, registered mortgage loan servicer,  licensed  insurance
 premium  finance  agency, licensed transmitter of money, licensed budget
 planner, any other person or entity subject to  supervision  under  this
 chapter,  or the department, shall be confidential communications, shall
 not be subject to subpoena and shall not be made public unless,  in  the
 judgment  of  the  superintendent,  the  ends  of justice and the public
 advantage will be subserved by the publication thereof, in  which  event
 the superintendent may publish or authorize the publication of a copy of
 any  such  report  or  any  part thereof in such manner as may be deemed
 proper or unless such laws specifically authorize such  disclosure.  For
 the  purposes of this subdivision, "reports of examinations and investi-
 gations, and any correspondence and memoranda concerning or arising  out
 of such examinations and investigations", includes any such materials of
 a  bank,  insurance  or  securities regulatory agency or any unit of the
 federal government or that of this state any other state or that of  any
 foreign  government  which are considered confidential by such agency or
 unit and which are in the possession of  the  department  or  which  are
 otherwise confidential materials that have been shared by the department
 with any such agency or unit and are in the possession of such agency or
 unit.
   §  13.  Subdivisions  3  and  5  of  section 37 of the banking law, as
 amended by chapter 360 of the laws of  1984,  are  amended  to  read  as
 follows:

 A. 7705                            12

   3. In addition to any reports expressly required by this chapter to be
 made,  the superintendent may require any banking organization, licensed
 lender,  licensed  [casher  of  checks]  FINANCIAL  SERVICES   PROVIDER,
 licensed  mortgage  banker,  foreign banking corporation licensed by the
 superintendent  to  do  business in this state, bank holding company and
 any non-banking subsidiary thereof, corporate affiliate of  a  corporate
 banking  organization  within  the meaning of subdivision six of section
 thirty-six of this article and any non-banking subsidiary  of  a  corpo-
 ration  which is an affiliate of a corporate banking organization within
 the meaning of subdivision six-a of section thirty-six of  this  article
 to  make  special  reports  to him OR HER at such times as he OR SHE may
 prescribe.
   5. The superintendent may extend at his  discretion  the  time  within
 which  a  banking  organization, foreign banking corporation licensed by
 the superintendent to do business in this state, bank holding company or
 any non-banking subsidiary thereof, licensed [casher of  checks]  FINAN-
 CIAL  SERVICES  PROVIDER,  licensed  mortgage  banker, private banker or
 licensed lender is required to make and file any report  to  the  super-
 intendent.
   §  14.  Subdivisions  1,  2, 3 and 5 of section 39 of the banking law,
 subdivisions 1, 2 and 5 as amended by chapter 123 of the  laws  of  2009
 and  subdivision  3  as  amended by chapter 155 of the laws of 2012, are
 amended to read as follows:
   1. To appear and explain an  apparent  violation.  Whenever  it  shall
 appear to the superintendent that any banking organization, bank holding
 company,  registered  mortgage  broker, licensed mortgage banker, regis-
 tered  mortgage  loan  servicer,  licensed  mortgage  loan   originator,
 licensed   lender,   licensed  [casher  of  checks]  FINANCIAL  SERVICES
 PROVIDER, licensed sales finance  company,  licensed  insurance  premium
 finance  agency, licensed transmitter of money, licensed budget planner,
 out-of-state state bank that maintains a branch or branches or represen-
 tative or other offices in this state, or  foreign  banking  corporation
 licensed  by  the  superintendent to do business or maintain a represen-
 tative office in this state has violated any law or  regulation,  he  or
 she may, in his or her discretion, issue an order describing such appar-
 ent  violation  and  requiring  such  banking organization, bank holding
 company, registered mortgage broker, licensed mortgage banker,  licensed
 mortgage  loan  originator, licensed lender, licensed [casher of checks]
 FINANCIAL SERVICES PROVIDER, licensed sales  finance  company,  licensed
 insurance   premium  finance  agency,  licensed  transmitter  of  money,
 licensed budget planner, out-of-state state bank that maintains a branch
 or branches or representative or other offices in this state, or foreign
 banking corporation to appear before him or her, at  a  time  and  place
 fixed  in  said  order,  to  present  an  explanation  of  such apparent
 violation.
   2. To discontinue unauthorized or unsafe and unsound practices.  When-
 ever  it  shall  appear to the superintendent that any banking organiza-
 tion, bank holding company, registered mortgage broker,  licensed  mort-
 gage  banker,  registered mortgage loan servicer, licensed mortgage loan
 originator, licensed  lender,  licensed  [casher  of  checks]  FINANCIAL
 SERVICES  PROVIDER,  licensed  sales finance company, licensed insurance
 premium finance agency, licensed transmitter of money,  licensed  budget
 planner,  out-of-state state bank that maintains a branch or branches or
 representative or other offices in this state, or foreign banking corpo-
 ration licensed by the superintendent to do business in  this  state  is
 conducting  business in an unauthorized or unsafe and unsound manner, he

 A. 7705                            13
 
 or she may, in his or her  discretion,  issue  an  order  directing  the
 discontinuance of such unauthorized or unsafe and unsound practices, and
 fixing a time and place at which such banking organization, bank holding
 company,  registered  mortgage  broker, licensed mortgage banker, regis-
 tered  mortgage  loan  servicer,  licensed  mortgage  loan   originator,
 licensed   lender,   licensed  [casher  of  checks]  FINANCIAL  SERVICES
 PROVIDER, licensed sales finance  company,  licensed  insurance  premium
 finance  agency, licensed transmitter of money, licensed budget planner,
 out-of-state state bank that maintains a branch or branches or represen-
 tative or other offices in this state, or  foreign  banking  corporation
 may  voluntarily  appear before him or her to present any explanation in
 defense of the practices directed in said order to be discontinued.
   3. To make good impairment of capital or  to  ensure  compliance  with
 financial  requirements.  Whenever it shall appear to the superintendent
 that the capital or capital stock  of  any  banking  organization,  bank
 holding  company  or any subsidiary thereof which is organized, licensed
 or registered pursuant to this chapter, is impaired,  or  the  financial
 requirements  imposed by subdivision one of section two hundred two-b of
 this chapter or any regulation of the superintendent on  any  branch  or
 agency  of  a  foreign banking corporation or the financial requirements
 imposed by this chapter or any regulation of the superintendent  on  any
 licensed  lender,  registered mortgage broker, licensed mortgage banker,
 licensed [casher of checks] FINANCIAL SERVICES PROVIDER, licensed  sales
 finance  company,  licensed  insurance  premium finance agency, licensed
 transmitter of money, licensed budget planner or private banker are  not
 satisfied,  the  superintendent may, in the superintendent's discretion,
 issue an order directing that such banking  organization,  bank  holding
 company,  branch  or agency of a foreign banking corporation, registered
 mortgage broker, licensed mortgage  banker,  licensed  lender,  licensed
 [casher  of  checks] FINANCIAL SERVICES PROVIDER, licensed sales finance
 company, licensed insurance premium finance agency, licensed transmitter
 of money, licensed budget planner, or  private  banker  make  good  such
 deficiency forthwith or within a time specified in such order.
   5.  To keep books and accounts as prescribed. Whenever it shall appear
 to the superintendent that any banking organization, bank holding compa-
 ny, registered mortgage broker,  licensed  mortgage  banker,  registered
 mortgage  loan  servicer,  licensed  mortgage  loan originator, licensed
 lender,  licensed  [casher  of  checks]  FINANCIAL  SERVICES   PROVIDER,
 licensed sales finance company, licensed insurance premium finance agen-
 cy,  licensed  transmitter  of money, licensed budget planner, agency or
 branch of a foreign banking corporation licensed by  the  superintendent
 to  do  business  in this state, does not keep its books and accounts in
 such manner as to enable him or her to readily ascertain its true condi-
 tion, he or she may, in his or her discretion, issue an order  requiring
 such  banking  organization,  bank  holding company, registered mortgage
 broker, licensed mortgage banker,  registered  mortgage  loan  servicer,
 licensed  mortgage loan originator, licensed lender, licensed [casher of
 checks] FINANCIAL SERVICES PROVIDER,  licensed  sales  finance  company,
 licensed  insurance  premium  finance  agency,  licensed  transmitter of
 money, licensed budget planner, or foreign banking corporation,  or  the
 officers  or agents thereof, or any of them, to open and keep such books
 or accounts as he or she may, in his or her  discretion,  determine  and
 prescribe  for the purpose of keeping accurate and convenient records of
 its transactions and accounts.
   § 15. Subdivisions 1, 2, 3, 4, 5 and 6 of section 42  of  the  banking
 law,  subdivision 1 as amended by chapter 65 of the laws of 1948, subdi-

 A. 7705                            14
 
 visions 2 and 3 as amended by chapter 553 of the laws of 1960,  subdivi-
 sion  4  as amended by chapter 60 of the laws of 1957 and subdivisions 5
 and 6 as amended by chapter 249 of the laws of 1968, are amended to read
 as follows:
   1. The name and the location of the principal office of every proposed
 corporation,  private  banker,  licensed  lender and licensed [casher of
 checks]  FINANCIAL  SERVICES  PROVIDER,  the  organization  certificate,
 private  banker's  certificate  or  application for license of which has
 been filed for examination, and the date of such filing.
   2. The name and location of every licensed lender and licensed [casher
 of checks] FINANCIAL SERVICES PROVIDER, and the name,  location,  amount
 of  capital  stock  or  permanent capital and amount of surplus of every
 corporation and private banker and the minimum assets required of  every
 branch of a foreign banking corporation authorized to commence business,
 and the date of authorization or licensing.
   3. The name of every proposed corporation, private banker, branch of a
 foreign  banking  corporation,  licensed  lender and licensed [casher of
 checks] FINANCIAL SERVICES PROVIDERS to which a certificate of  authori-
 zation or a license has been refused and the date of notice of refusal.
   4.  The  name  and  location of every private banker, licensed lender,
 licensed [casher of checks] FINANCIAL SERVICES PROVIDER,  sales  finance
 company and foreign corporation the authorization certificate or license
 of which has been revoked, and the date of such revocation.
   5.  The  name of every banking organization, licensed lender, licensed
 [casher of checks] FINANCIAL SERVICES PROVIDER and  foreign  corporation
 which  has applied for leave to change its place or one of its places of
 business and the places from and to which the change is proposed  to  be
 made; the name of every banking organization which has applied to change
 the designation of its principal office to a branch office and to change
 the  designation  of  one of its branch offices to its principal office,
 and the location of the principal office which is proposed to be  redes-
 ignated as a branch office and of the branch office which is proposed to
 be redesignated as the principal office.
   6.  The  name of every banking organization, licensed lender, licensed
 [casher of checks] FINANCIAL SERVICES PROVIDER and  foreign  corporation
 authorized  to change its place or one of its places of business and the
 date when and the places from and to which the change is  authorized  to
 be made; the name of every banking organization authorized to change the
 designation of its principal office to a branch office and to change the
 designation  of a branch office to its principal office, the location of
 the redesignated principal office and of the redesignated branch office,
 and the date of such change.
   § 16. Paragraph (a) of subdivision 1 of section 44 of the banking law,
 as amended by chapter 155 of the laws of 2012, is  amended  to  read  as
 follows:
   (a) Without limiting any power granted to the superintendent under any
 other provision of this chapter, the superintendent may, in a proceeding
 after  notice  and a hearing, require any safe deposit company, licensed
 lender,  licensed  [casher  of  checks]  FINANCIAL  SERVICES   PROVIDER,
 licensed sales finance company, licensed insurance premium finance agen-
 cy,  licensed transmitter of money, licensed mortgage banker, registered
 mortgage broker, licensed mortgage loan originator, registered  mortgage
 loan  servicer  or  licensed budget planner to pay to the people of this
 state a penalty for  any  violation  of  this  chapter,  any  regulation
 promulgated  thereunder, any final or temporary order issued pursuant to
 section thirty-nine of this article, any condition imposed in writing by

 A. 7705                            15
 
 the superintendent in connection with the grant of  any  application  or
 request, or any written agreement entered into with the superintendent.
   §  17.  This  act  shall  take effect on the one hundred eightieth day
 after it shall have become a law; provided, however, that:
   (a) effective immediately, any  rules  and  regulations  necessary  to
 implement  the  provisions  of  this  act on its effective date shall be
 added, amended and/or repealed on or before such date;
   (b) the amendments to section 373 of the banking law made  by  section
 eleven  of  this  act shall expire and be deemed repealed June 30, 2022;
 and
   (c) any contract, instrument, argument  or  other  written  obligation
 entered  into  by  a financial service provider authorized under section
 373 of the banking law prior to June 30, 2022 shall be deemed valid  and
 enforceable after such date.

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  7705--A
 
                        2017-2018 Regular Sessions
 
                           I N  A S S E M B L Y
 
                               May 10, 2017
                                ___________
 
 Introduced  by  M.  of  A.  RODRIGUEZ,  HEVESI, COOK, SEPULVEDA, WEPRIN,
   MONTESANO, DICKENS, D'URSO, VANEL, ARROYO, PICHARDO,  RIVERA,  ABBATE,
   McDONOUGH,  GJONAJ  --  Multi-Sponsored by -- M. of A. FARRELL, RAMOS,
   TITONE -- read once and referred to the Committee on Banks --  commit-
   tee  discharged, bill amended, ordered reprinted as amended and recom-
   mitted to said committee
 
 AN ACT to amend the banking law, in relation to enacting the  "community
   financial  services access and modernization act of 2017"; and provid-
   ing for the repeal of certain provisions upon expiration thereof
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Short title. This act shall be known as and may be cited as
 the "community financial services access and modernization act of 2017".
   §  2.  Paragraph  (b)  of subdivision 5 of section 18-a of the banking
 law, as amended by chapter 155 of the laws of 2012, is amended  to  read
 as follows:
   (b) two thousand dollars when the application relates to the licensing
 of  an  additional  location or change of location or the licensing of a
 [mobile unit]  LIMITED STATION of a licensed casher of checks; or
   § 3. Section 366 of the banking law, as amended by chapter 49  of  the
 laws  of  1961,  subdivision  1 as amended by chapter 849 of the laws of
 1964 and as further amended by section 104 of part A of  chapter  62  of
 the  laws of 2011, and subdivisions 2 and 3 as renumbered by chapter 132
 of the laws of 1969, is amended to read as follows:
   § 366. Definitions. When used in this article. 1. The  term  "licensed
 casher  of  checks"  means  any [individual, partnership, unincorporated
 association or corporation] PERSON duly licensed by  the  superintendent
 of  financial  services to engage in business pursuant to the provisions
 of this article.
   2. The term "licensee" means  a  licensed  casher  of  checks,  drafts
 and/or money orders.

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

                                                            LBD11339-03-7

 A. 7705--A                          2
 
   3.  The  term  ["mobile  unit"] "LIMITED STATION" means any vehicle or
 other movable means from which the business of [cashing  checks,  drafts
 or  money orders] PROVIDING FINANCIAL SERVICES REGULATED BY THIS ARTICLE
 is to be conducted.
   4.  THE  TERM  "PERSON"  MEANS  ANY  INDIVIDUAL OR OTHER LEGAL ENTITY,
 INCLUDING ANY CORPORATION, PARTNERSHIP, ASSOCIATION OR LIMITED LIABILITY
 COMPANY.
   5. THE TERM "FINANCIAL SERVICES" MEANS OFFERING OR  PROVIDING  ANY  OF
 THE FOLLOWING FINANCIAL PRODUCTS OR SERVICES: (A) THE CASHING OF CHECKS,
 DRAFTS AND/OR MONEY ORDERS,
   (B)  MONEY  TRANSMISSION  SERVICES AS DEFINED IN ARTICLE THIRTEEN-B OF
 THIS CHAPTER, PROVIDED, HOWEVER, A LICENSED FINANCIAL SERVICES  PROVIDER
 OFFERING MONEY TRANSMISSION PURSUANT TO ARTICLE THIRTEEN-B OF THIS CHAP-
 TER,  OTHER THAN AS AN AGENT OF A LICENSEE, SHALL FIRST OBTAIN A LICENSE
 UNDER THAT ARTICLE,
   (C) BILL PAYMENT SERVICES,
   (D) THE SALE OF PREPAID DEBIT CARDS, AND
   (E) THE DISPENSING OF MASS TRANSIT FARE CARDS, OR SUCH OTHER MEDIUM OR
 MECHANISM FOR THE DISPENSING OF MASS TRANSIT FARES.
   6. THE TERM "MASTER LICENSE" SHALL MEAN AN ORIGINAL LICENSE ISSUED  BY
 THE SUPERINTENDENT THAT AUTHORIZES A PERSON TO ENGAGE IN THE BUSINESS OF
 CASHING  OF  CHECKS AND RELATED FINANCIAL SERVICES, AND IN THE CASE OF A
 LICENSEE WHO HAS MULTIPLE LICENSED BUSINESS LOCATIONS AT THE TIME OF THE
 EFFECTIVE DATE OF THIS SUBDIVISION, THE INITIAL LONGEST SITE CONTINUOUS-
 LY LICENSED UNDER THIS ARTICLE.
   7. THE TERM "SUPPLEMENTAL LICENSE" SHALL MEAN A LICENSE ISSUED BY  THE
 SUPERINTENDENT  THAT  AUTHORIZES  A  PERSON  HAVING  A MASTER LICENSE TO
 ENGAGE IN THE BUSINESS  OF  CASHING  OF  CHECKS  AND  RELATED  FINANCIAL
 SERVICES  AT  BRANCH  LOCATIONS,  AND  IN THE CASE OF A LICENSEE WHO HAS
 MULTIPLE LICENSED BUSINESS LOCATIONS AT THE TIME OF THE  EFFECTIVE  DATE
 OF  THIS  SUBDIVISION,  ANY LICENSE ISSUED TO AN EXISTING LICENSEE AFTER
 THE LICENSE FOR THE ORIGINAL SITE.
   § 4. Section 367 of the banking law, as amended by chapter 151 of  the
 laws of 1945, subdivision 3 as amended by section 7 of part D-1 of chap-
 ter  109 of the laws of 2006, and subdivision 4 as amended by chapter 96
 of the laws of 1981, is amended to read as follows:
   § 367.  License  requirements;  fees;  capital  requirements.  1.   No
 person[,  partnership,  association  or corporation] shall engage in the
 business of cashing checks, drafts or money orders for  a  consideration
 without first obtaining a license from the superintendent.
   2.  Application  for such license shall be in writing, under oath, and
 in the form prescribed by the  superintendent,  and  shall  contain  the
 name,  and  the  address both of the residence and place of business, of
 the applicant, and if the applicant is a  co-partnership  [or],  associ-
 ation  OR  LIMITED  LIABILITY COMPANY, of every member thereof, and if a
 corporation, of each officer and director thereof; also, if the business
 is to be conducted at a specific address, the address at which the busi-
 ness is to be conducted, and if the business is to be conducted  from  a
 [mobile unit] LIMITED STATION, the New York state registration number or
 other  identification of such [mobile unit] LIMITED STATION and the area
 in which the applicant proposes to operate such  [mobile  unit]  LIMITED
 STATION;  and  also  such  further information as the superintendent may
 require.
   3. Such applicant at the time of making such application shall pay  to
 the superintendent a fee as prescribed pursuant to section eighteen-a of
 this  chapter  for  investigating the application.  AN APPLICATION FOR A

 A. 7705--A                          3
 
 MASTER LICENSE SHALL  BE  IN  WRITING,  UNDER  OATH,  AND  IN  THE  FORM
 PRESCRIBED  BY  THE SUPERINTENDENT AND SHALL CONTAIN SUCH INFORMATION AS
 THE SUPERINTENDENT MAY REQUIRE BY REGULATION. THE APPLICATION SHALL  SET
 FORTH ALL OF THE LOCATIONS AT WHICH THE APPLICANT SEEKS TO CONDUCT BUSI-
 NESS  HEREUNDER.    AT  THE  TIME OF MAKING THE APPLICATION FOR A MASTER
 LICENSE, AN EXISTING LICENSEE UNDER THIS ARTICLE SHALL PAY TO THE SUPER-
 INTENDENT THE SUM  OF  TWO  HUNDRED  FIFTY  DOLLARS  FOR  EACH  PROPOSED
 LOCATION  AS  A FEE FOR INVESTIGATING THE APPLICATION. AN APPLICANT THAT
 DOES NOT CURRENTLY HOLD A LICENSE UNDER THIS  ARTICLE  AT  THE  TIME  OF
 APPLICATION  SHALL  PAY  TO  THE  SUPERINTENDENT  AN  APPLICATION FEE AS
 PROVIDED IN THIS CHAPTER FOR INITIAL APPLICATIONS. Any licensee request-
 ing a change of address, shall at the time of making such  request,  pay
 to the superintendent a fee as prescribed pursuant to section eighteen-a
 of  this  chapter  for investigating the new address; provided, however,
 that the superintendent may, in his or her discretion, waive such inves-
 tigation fee if warranted, and provided further, that no  fee  shall  be
 payable for the relocation of a limited station.
   4.  Every  applicant  shall  prove, in form satisfactory to the super-
 intendent that he or it has available for the operation  of  such  busi-
 ness, for each location and for each [mobile unit] LIMITED STATION spec-
 ified  in  the  application,  liquid  assets  of  at  least ten thousand
 dollars, and every licensee shall continuously maintain for  the  opera-
 tion  of  such  business  for  each  location and for each [mobile unit]
 LIMITED STATION liquid assets of at least ten thousand dollars. Notwith-
 standing the foregoing provisions of this subdivision,  the  superinten-
 dent,  upon  application  by  an applicant and for good cause shown, may
 permit a reduction from ten thousand dollars to not less than five thou-
 sand dollars of minimum liquid assets required for each location.
   § 5. Section 369 of the banking law, as amended by chapter 151 of  the
 laws  of  1945,  subdivision  1 as amended by chapter 233 of the laws of
 2005, subdivisions 4 and 5 as amended by chapter  132  of  the  laws  of
 1969, subdivision 6 as amended by chapter 164 of the laws of 2003, para-
 graph (b) of subdivision 6 as amended by section 6 of part LL of chapter
 56 of the laws of 2010, and subdivision 7 as added by chapter 485 of the
 laws of 1947, is amended to read as follows:
   § 369. Conditions precedent to issuing license; issuance and filing of
 license;  posting  license. 1. If the superintendent shall find that the
 financial responsibility, experience, character, and general fitness  of
 the applicant, and of the members thereof if the applicant be a co-part-
 nership [or], association OR LIMITED LIABILITY COMPANY, and of the offi-
 cers  and  directors thereof if the applicant be a corporation, are such
 as to command the confidence of the community and to warrant belief that
 the business will be operated honestly, fairly, and  efficiently  within
 the  purposes of this article, and if the superintendent shall find that
 the granting of such application will promote the convenience and advan-
 tage of the area in which such business is to be conducted, and  if  the
 superintendent shall find that the applicant has available for the oper-
 ation  of  such  business  for  each location and for each [mobile unit]
 LIMITED STATION specified in the application liquid assets of  at  least
 ten  thousand  dollars,  the  superintendent  shall  thereupon execute a
 MASTER license AND IF APPLICABLE ONE OR MORE  SUPPLEMENTAL  LICENSES  in
 duplicate  to  permit  the  [cashing of checks, drafts and money orders]
 DELIVERY OF FINANCIAL SERVICES in accordance with the provisions of this
 article at the location OR LOCATIONS or in the area OR  AREAS  specified
 in such application. In finding whether the application will promote the
 convenience and advantage to the public, the superintendent shall deter-

 A. 7705--A                          4
 
 mine  whether  there  is  a  community  need  for  a new licensee in the
 proposed area OR AREAS to be served. No license shall be  issued  to  an
 applicant  for  a  license, at a location to be licensed which is closer
 than one thousand five hundred eighty-four feet (three-tenths of a mile)
 from  an  existing  licensee,  except  with  the written consent of such
 existing licensee or pursuant to  subdivision  three  of  section  three
 hundred seventy of this article, subject to any restriction or condition
 as  the  superintendent may promulgate by regulation; provided, however,
 the superintendent may permit a location to be licensed that  is  closer
 than  three-tenths  of  a  mile  from an existing licensee provided such
 applicant engages in the cashing of checks, drafts or money orders  only
 for  payees  of  such checks, drafts or money orders that are other than
 natural persons at the location to be licensed and  such  applicant  was
 engaged in the cashing of such checks, drafts or money orders for payees
 that  are  other  than natural persons at such location on or before the
 fourteenth day of July, two thousand four,  and  provided  further  that
 upon  licensing any such location by the superintendent, such license as
 it pertains solely to such location shall not be affected thereafter  by
 any  change of control of such license pursuant to section three hundred
 seventy-a of this article, provided that the licensee  continues  there-
 after  to  engage  at  that location in the cashing of checks, drafts or
 money orders only for payees that are other  than  natural  persons  and
 provided further that such license shall bear a legend stating that such
 location  is restricted to the cashing of checks, drafts or money orders
 only for payees that are other than natural persons. The three-tenths of
 a mile distance requirement as set forth in this section shall not apply
 in cases where the existing licensee is a restricted location as author-
 ized in the preceding sentence, or is any other licensed  location  that
 engages solely in the cashing of checks, drafts or money orders only for
 payees  that  are  other  than  natural  persons.  For  purposes of this
 section, such distance shall be measured on a straight  line  along  the
 street  between the nearest point of the store fronts of the check cash-
 ing facilities. The primary business of the licensee, at the location to
 be licensed, shall be financial services. The superintendent shall tran-
 smit one copy of such license to the applicant and file another  in  the
 office  of  the  department. Notwithstanding the foregoing provisions of
 this subdivision, the superintendent, upon application by  an  applicant
 and  for  good  cause  shown,  may  permit a reduction from ten thousand
 dollars to not less than five thousand dollars of minimum liquid  assets
 required for each location.
   2.  Such  license  shall  state  the  name of the licensee; and if the
 licensee is a co-partnership  [or],  association  OR  LIMITED  LIABILITY
 COMPANY,  the  names  of  the  members thereof; and if the licensee is a
 corporation, the date of its incorporation; and if the business is to be
 conducted at a specific address, the address at which such  business  is
 to  be conducted; and if the business is to be conducted through the use
 of a [mobile unit] LIMITED STATION,  the  New  York  state  registration
 number or other identification of such [mobile unit] LIMITED STATION and
 the area in which such [mobile unit] LIMITED STATION is authorized to do
 business.
   3.  [Such  license] ALL LICENSES ISSUED BY THE SUPERINTENDENT shall be
 kept conspicuously posted in the place of business of the  licensee  or,
 in  the case of a [mobile unit] LIMITED STATION, upon such [mobile unit]
 LIMITED STATION.  Such license shall not be transferable or assignable.
   4. Such license shall remain in full force  and  effect  until  it  is
 surrendered  by the licensee or revoked or suspended as provided in this

 A. 7705--A                          5
 
 article. IN THE CASE OF A CHANGE OF CONTROL OF A LOCATION OR A  BUSINESS
 LICENSED  HEREUNDER,  THE  LICENSEE  APPROVED TO ACQUIRE THE BUSINESS OR
 LOCATION MAY UTILIZE A TRUE COPY OF THE  EXISTING  LICENSE  PENDING  THE
 ISSUANCE OF A NEW LICENSE BY THE SUPERINTENDENT.
   5.  If  the superintendent shall find that the applicant fails to meet
 any of the conditions set forth in subdivision one of this  section,  he
 OR  SHE  shall  not  issue  such license, and he OR SHE shall notify the
 applicant of the denial.  If an application is denied or withdrawn,  the
 superintendent  shall retain the investigation fee to cover the costs of
 investigating the application and return the license fee to  the  appli-
 cant.
   6.  The  superintendent may refuse to issue a license pursuant to this
 article if he OR SHE shall find that the applicant, or any person who is
 a director, officer, partner, agent, employee or substantial stockholder
 of the applicant, (a) has been convicted of a crime in any  jurisdiction
 or  (b) is associating or consorting with any person who has, or persons
 who have, been convicted of a crime or crimes  in  any  jurisdiction  or
 jurisdictions;  provided,  however,  that  the  superintendent shall not
 issue such a license if he OR SHE shall find that the applicant, or  any
 person  who is a director, officer, partner, agent, employee or substan-
 tial stockholder of the applicant, has been convicted of a felony in any
 jurisdiction or of a crime which, if committed within this state,  would
 constitute  a  felony  under  the laws thereof. For the purposes of this
 article, a person shall be deemed to have been convicted of a  crime  if
 such person shall have pleaded guilty to a charge thereof before a court
 or  magistrate,  or shall have been found guilty thereof by the decision
 or judgment of a court or magistrate or by the verdict of a jury,  irre-
 spective  of  the  pronouncement  of sentence or the suspension thereof,
 unless such plea of guilty, or such decision, judgment or verdict, shall
 have been set aside, reversed or otherwise abrogated by lawful  judicial
 process  or unless the person convicted of the crime shall have received
 a pardon therefor from the president of the United States or the  gover-
 nor   or  other  pardoning  authority  in  the  jurisdiction  where  the
 conviction was had, or shall have received a certificate of relief  from
 disabilities  or a certificate of good conduct pursuant to article twen-
 ty-three of the correction law to remove the disability under this arti-
 cle because of such conviction. The term "substantial  stockholder,"  as
 used in this subdivision, shall be deemed to refer to a person owning or
 controlling ten per centum or more of the total outstanding stock of the
 corporation  in which such person is a stockholder. In making a determi-
 nation pursuant to this subdivision, the  superintendent  shall  require
 fingerprinting of the applicant. Such fingerprints shall be submitted to
 the  division  of criminal justice services for a state criminal history
 record check, as defined in subdivision one of  section  three  thousand
 thirty-five  of  the  education law, and may be submitted to the federal
 bureau of investigation for a national criminal history record check.
   7. No license pursuant to this article shall be issued to  any  appli-
 cant  to  do  business  at the place specified in the application as the
 place where the business is to be conducted if, within the twelve months
 preceding such application, a license to engage in business pursuant  to
 this article at such place shall have been revoked.
   §  6. Section 370 of the banking law, as amended by chapter 151 of the
 laws of 1945, subdivision 2 as amended by section 38 of part O of  chap-
 ter  59  of the laws of 2006 and subdivision 3 as amended by chapter 703
 of the laws of 2006, is amended to read as follows:

 A. 7705--A                          6
 
   § 370. Restrictions as to place or area of doing business;  establish-
 ment of stations; change of location. 1. No more than one place of busi-
 ness  or one [mobile unit] LIMITED STATION shall be maintained under the
 same license; provided, however, that  more  than  one  license  may  be
 issued to the same licensee [upon compliance with the provisions of this
 article  for each new license] AND IF THE SUPERINTENDENT DETERMINES THAT
 AN EXISTING LICENSEE IS IN GOOD STANDING  AND  IN  COMPLIANCE  WITH  THE
 PROVISIONS  OF  THIS  ARTICLE,  A SUBSEQUENT APPLICATION FOR A SECOND OR
 MULTIPLE SUPPLEMENTAL LICENSES AT  DIFFERENT,  SEPARATE  AND  ADDITIONAL
 LOCATIONS  SHALL BE EXPEDITED BY THE SUPERINTENDENT PROVIDED THE MINIMUM
 LIQUIDITY REQUIREMENTS AND COMMUNITY NEED CRITERIA SET FORTH IN  SECTION
 THREE  HUNDRED  SIXTY-NINE OF THIS ARTICLE HAVE BEEN DEMONSTRATED IN THE
 APPLICATION FOR THE ADDITIONAL LOCATION OR LOCATIONS.
   2. Any licensed casher of checks may open and  maintain,  within  this
 state,  one  or more limited stations for the purpose of cashing checks,
 drafts or money orders for the particular group or groups  specified  in
 the  license  authorizing  each  such  station.  Such  stations shall be
 licensed pursuant to and be subject to all the provisions of this  chap-
 ter  applicable  to  licensed  cashers  of checks, except that (a) [such
 station shall not be subject to the distance  limitation  set  forth  in
 subdivision  one  of  section  three hundred sixty-nine of this article,
 (b)] the fee for investigating the application for a station shall be as
 prescribed pursuant to section eighteen-a of this chapter, and [(c)] (B)
 where such a station is at the premises of a specified employer for  the
 purpose  of cashing checks, drafts and money orders for the employees of
 such employer, the fees and charges for cashing such checks,  drafts  or
 money  orders shall not be subject to the limitations of subdivision one
 of section three hundred seventy-two of this article if  such  fees  and
 charges are paid by such employer.
   3. A licensee may make a written application to the superintendent for
 leave  to  change  his  or  her  place  of business, or in the case of a
 [mobile unit] LIMITED STATION, the area in which such unit is authorized
 to be operated, stating the reasons for such proposed change AND IN  THE
 CASE  WHERE  THE APPLICANT CURRENTLY HOLDS A MASTER LICENSE TO OPERATE A
 BUSINESS  ESTABLISHED  UNDER  THIS  ARTICLE,  THE  SUPERINTENDENT  SHALL
 STREAMLINE AND REDUCE THE INFORMATION REQUIRED FROM SUCH APPLICANT. Such
 application  may  be  approved  for relocation from a site within three-
 tenths of a mile of another licensee to another site within three-tenths
 of a mile of such other licensee provided that such new site is  farther
 from such existing licensee than the site from which permission to relo-
 cate  is  sought. Only in situations in which a licensee seeks to change
 its place of business due to  extraordinary  circumstances,  as  may  be
 determined by the superintendent pursuant to regulations, may the super-
 intendent,  in  his or her discretion, determine that an application may
 be approved for relocation from a site within three-tenths of a mile  of
 another licensee to a new site which is closer to such existing licensee
 than the site from which permission to relocate is sought. Notwithstand-
 ing  any  other  provision  of this subdivision, a licensee may relocate
 from any location to a location that is within three-tenths  of  a  mile
 from another licensee with the written consent of the other licensee. If
 the superintendent approves such application he or she shall issue a new
 license  in duplicate in accordance with the provisions of section three
 hundred sixty-nine of this article, stating the  new  location  of  such
 licensee  or,  in  the  case of a [mobile unit] LIMITED STATION, the new
 area in which such [mobile unit] LIMITED STATION may be operated.

 A. 7705--A                          7
 
   § 7. Section 370-a of the banking law, as added by chapter 142 of  the
 laws  of 1992, subdivision 1 as amended by section 39 of part O of chap-
 ter 59 of the laws of 2006, is amended to read as follows:
   § 370-a.  Changes  in control. 1. It shall be unlawful except with the
 prior approval of the superintendent for any action to  be  taken  which
 results  in a change of control of the business of a licensee.  Prior to
 any change of control, the person desirous of acquiring control  of  the
 business  of  a licensee, IF SUCH PERSON IS NOT ALREADY A LICENSEE UNDER
 THIS ARTICLE, shall make written application to the  superintendent  and
 pay an investigation fee as prescribed pursuant to section eighteen-a of
 this  chapter  to the superintendent. The application shall contain such
 information as the superintendent, by rule or regulation, may  prescribe
 as  necessary or appropriate, AND IN THE CASE WHERE THE ACQUIRING PERSON
 CURRENTLY HOLDS A MASTER LICENSE TO OPERATE A BUSINESS ESTABLISHED UNDER
 THIS ARTICLE, AND IN THE CASE OF A LIMITED STATION LICENSE,  THE  SUPER-
 INTENDENT SHALL STREAMLINE AND REDUCE THE INFORMATION REQUIRED FROM SUCH
 APPLICANT,  for  the  purpose  of  making  the determination required by
 subdivision two of this section.
   2. The superintendent shall approve or disapprove the proposed  change
 of  control  of a licensee in accordance with the provisions of subdivi-
 sions one and six of section three hundred sixty-nine of  this  article.
 The  superintendent shall approve or disapprove the application in writ-
 ing within ninety days after the date the application is filed with  the
 superintendent.
   3.  For  a period of six months from the date of qualification thereof
 and for such  additional  period  of  time  as  the  superintendent  may
 prescribe,  in  writing,  the  provisions of subdivisions one and two of
 this section shall not apply to a transfer of control  by  operation  of
 law  to the legal representative, as hereinafter defined, of one who has
 control of a  licensee.  Thereafter,  such  legal  representative  shall
 comply  with the provisions of subdivisions one and two of this section.
 The provisions of subdivisions one and two  of  this  section  shall  be
 applicable  to  an application made under such section by a legal repre-
 sentative.
   The term "legal representative", for the  purposes  of  this  section,
 shall  mean  one  duly appointed by a court of competent jurisdiction to
 act as  executor,  administrator,  trustee,  committee,  conservator  or
 receiver,  including  one  who  succeeds  a legal representative and one
 acting  in  an  ancillary  capacity  thereto  in  accordance  with   the
 provisions of such court appointment.
   4. As used in this section: (a) the term "person" includes an individ-
 ual,  partnership,  corporation, association, LIMITED LIABILITY COMPANY,
 or any  other  organization,  and  (b)  the  term  "control"  means  the
 possession,  directly or indirectly, of the power to direct or cause the
 direction of the management and policies of a licensee, whether  through
 the  ownership of voting stock of such licensee, the ownership of voting
 stock of any person which possesses such  power  or  otherwise.  Control
 shall  be presumed to exist if any person, directly or indirectly, owns,
 controls or holds with power to vote ten  per  centum  or  more  of  the
 voting  stock  of  any licensee or of any person which owns, controls or
 holds with power to vote ten per centum or more of the voting  stock  of
 any licensee, but no person shall be deemed to control a licensee solely
 by  reason  of  being an officer or director of such licensee or person.
 The superintendent may in his OR HER discretion, upon the application of
 a licensee or any person who, directly or indirectly, owns, controls  or
 holds  with power to vote or seeks to own, control or hold with power to

 A. 7705--A                          8
 
 vote any voting stock of such licensee, determine  whether  or  not  the
 ownership,  control or holding of such voting stock constitutes or would
 constitute control of such licensee for purposes of this section.
   §  8.  Section  371 of the banking law, as added by chapter 151 of the
 laws of 1945, is amended to read as follows:
   § 371.  Regulations.  The  superintendent  is  hereby  authorized  and
 empowered to make such rules and regulations, and such specific rulings,
 demands,  and  findings  as  he OR SHE may deem necessary for the proper
 conduct of the business  authorized  and  licensed  under  and  for  the
 enforcement  of  this  article,  in addition hereto and not inconsistent
 herewith.
   § 9. Section 372 of the banking law, as amended by chapter 151 of  the
 laws  of  1945,  the  section  heading  and subdivision 1 as amended and
 subdivision 7 as added by chapter 432 of the laws of 2004,  subdivisions
 2,  3  and  4 as added and subdivisions 5 and 6 as renumbered by chapter
 263 of the laws of 1983, and subdivision 6 as added by  chapter  485  of
 the laws of 1947, is amended to read as follows:
   § 372. Fees and charges; posting schedule; records and reports. 1. The
 superintendent  shall,  by  regulation, establish the maximum fees which
 may be charged by licensees for cashing a check, draft, or money  order.
 No  licensee shall charge or collect any sum for cashing a check, draft,
 or money order in excess of that  established  by  the  superintendent's
 regulations;  provided,  however, that no maximum fee shall apply to the
 charging of fees by licensees for the cashing of checks, drafts or money
 orders for payees of such checks, drafts or money orders that are  other
 than natural persons. THE LICENSEE SHALL PAY TO EVERY CUSTOMER TENDERING
 ANY  CHECK, DRAFT OR MONEY ORDER TO BE CASHED, THE ENTIRE FACE AMOUNT OF
 SUCH INSTRUMENT, LESS ANY CHARGES PERMITTED BY  THE  SUPERINTENDENT,  IN
 SUCH  FORM  AND BY SUCH MEANS AS AGREED UPON BY THE CUSTOMER ON THE SAME
 DATE UPON WHICH SUCH INSTRUMENT IS PRESENTED.
   2. The schedule of fees and charges permitted under this section shall
 be conspicuously and continuously posted in every  location  and  [mobil
 unit] LIMITED STATION licensed under this article.
   3.  IN THE CASE OF AN INTERNET, DIGITAL OR OTHER ELECTRONIC ADVERTISE-
 MENT OR SOLICITATION, A LICENSEE SHALL BE DEEMED TO HAVE  FULFILLED  THE
 DISCLOSURE REQUIREMENTS REQUIRED BY LAW BY DISPLAYING THE DISCLOSURES ON
 ITS  WEBSITE,  SO  LONG  AS THE ADVERTISEMENT OR SOLICITATION INCLUDES A
 LINK DIRECTLY TO SUCH WEBSITE.
   4. No change in fees shall become effective earlier than  thirty  days
 after the superintendent shall notify the majority leader of the senate,
 the  speaker  of  the  assembly, and the chairmen of both the senate and
 assembly committees on banks of his OR HER intention to change fees.
   [4.] 5. The fees in effect immediately prior to the effective date  of
 this  subdivision  shall continue to be the maximum allowable fees until
 revised by the superintendent's regulations.
   [5.] 6. Each licensee shall keep and use in its business  such  books,
 accounts,  and  records  as the superintendent may require to carry into
 effect the provisions of this article and the rules and regulations made
 by the superintendent hereunder.  Every  licensee  shall  preserve  such
 books, accounts and records for at least two years.
   [6.] 7. Before a licensee shall deposit with any banking organization,
 or  with  any  organization engaged in the business of banking, a check,
 draft or money order cashed by such licensee, the same must be  endorsed
 with  the  actual  name  under which such licensee is doing business and
 must have the words "licensed  casher  of  checks"  legibly  written  or
 stamped immediately after or below such name.

 A. 7705--A                          9
 
   [7.]  8.  Every  licensee  shall submit to the superintendent, or such
 person as the superintendent may  designate,  such  suspicious  activity
 reports  or currency transaction reports as are required to be submitted
 to federal authorities pursuant to provisions of the  Bank  Secrecy  Act
 (subchapter  11,  chapter  53,  title  31, United States code) and regu-
 lations and administrative orders related thereto,  as  amended,  within
 the  periods of time as required by such act and regulations. A licensee
 may submit a copy of any such report  to  the  superintendent,  or  such
 person  as  the  superintendent  may  designate, that is filed with such
 federal authorities. The superintendent may adopt  such  regulations  or
 require  such  additional reports as he or she deems necessary to insure
 the effective enforcement of this subdivision.
   § 10. Section 372-a of the banking law, as added by chapter 432 of the
 laws of 2004, is amended to read as follows:
   § 372-a. Superintendent authorized to examine. 1. For the  purpose  of
 discovering  violations of this article or securing information lawfully
 required in this section, the superintendent may at  any  time,  and  as
 often as may be determined, either personally or by a person duly desig-
 nated  by  the  superintendent,  investigate  the  [cashing of checks by
 licensees] BUSINESS PRACTICES OF A LICENSEE RENDERING FINANCIAL SERVICES
 AUTHORIZED BY THIS ARTICLE and examine the books, accounts, records, and
 files used therein of every licensee.
   2. For the purpose established in subdivision one of this section, the
 superintendent and his or her duly designated representatives shall have
 free access to the offices and  places  of  business,  books,  accounts,
 papers,  records,  files,  safes  and  vaults of all such licensees. The
 superintendent shall have authority to require the attendance of and  to
 examine  under oath all persons whose testimony may be required relative
 to such cashing of checks or such business.
   § 11. Subdivisions 1 and 2 of section 373 of the banking law, subdivi-
 sion 1 as amended by chapter 432 of the laws of 2004 and  subdivision  2
 as  amended  by  chapter 132 of the laws of 1969, are amended to read as
 follows:
   1. No licensee shall engage in the business of making loans of  money,
 credit,  goods  or  things  or  discounting of notes, bills of exchange,
 checks, or other evidences of debt pursuant to the provisions of article
 nine of this chapter, nor shall a loan business or  the  negotiation  of
 loans  or  the  discounting of notes, bills of exchange, checks or other
 evidences of debt be conducted on the same premises where  the  licensee
 is  conducting  business  pursuant  to  the  provisions of this article.
 Except as otherwise provided by regulation of  the  superintendent,  all
 checks,  drafts  and  money  orders shall be deposited in the licensee's
 bank account not later than the first business day following the day  on
 which  they  were  cashed. No licensee shall at any time cash or advance
 any moneys on a post-dated check or draft or engage in the  business  of
 transmitting money or receiving money for transmission; provided, howev-
 er, that a licensee may cash a check [payable on the first banking busi-
 ness day following the date of cashing (a) if such check is drawn by the
 United  States,  the  state of New York, or any political subdivision of
 the state of New York, or by any department, bureau, agency,  authority,
 instrumentality  or  officer,  acting  in  his official capacity, of the
 United States or of the state of New York or of any  political  subdivi-
 sion  of  the state of New York, or (b) if such check is a payroll check
 drawn by an employer to  the  order  of  its  employee  in  payment  for
 services  performed  by  such  employee]  WITHOUT  REGARD  TO  THE  DATE
 IMPRINTED ON THE CHECK  AS  LONG  AS  THE  CHECK  IS  DEPOSITED  IN  THE

 A. 7705--A                         10
 
 LICENSEE'S  BANK ACCOUNT NOT LATER THAN THE FIRST BUSINESS DAY FOLLOWING
 THE DAY ON WHICH IT WAS CASHED. No licensee shall cash any check,  draft
 or  money order if the face amount for which it is drawn is in excess of
 [fifteen]   THIRTY   thousand  dollars;  provided,  however,  that  this
 restriction shall not apply to the cashing of checks,  drafts  or  money
 orders  drawn  by  the United States, any state thereof or any political
 subdivision of any such state, or by  any  department,  bureau,  agency,
 authority,  instrumentality or officer, acting in his official capacity,
 of the United States, any state thereof or any political subdivision  of
 any  such state, or any [banking] FINANCIAL institution, or to any check
 or draft drawn by OR ON ACCOUNT OF  any  insurance  company,  ANY  CHECK
 ISSUED  ON  BEHALF  OF AN INSURANCE COMPANY, any broker or dealer regis-
 tered with the securities and exchange commission, or  any  CHECK  WHICH
 FROM  THE  FACE  OF  THE  CHECK,  THE  CHECK  STUB  OR OTHER DOCUMENTARY
 EVIDENCE, IT IS APPARENT THAT SUCH CHECK IS ISSUED  FOR  A  BUSINESS  OR
 COMMERCIAL  PURPOSE  BY AN attorney [for the settlement of claims], SUCH
 AS FROM AN INTEREST ON LAWYER ACCOUNT, OR AS AN ADVANCE TO A LAWSUIT  OR
 AS  PART OF A STRUCTURED SETTLEMENT, OR FROM THE SALE OF REAL ESTATE, OR
 TO ANY CHECKS FOR COMPENSATION BONUSES UNDER INCENTIVE PLANS, or to  any
 check  which has been certified OR GUARANTEED by the banking institution
 on which it has been drawn, OR IF SUCH CHECK IS DRAWN  ON  A  BONA  FIDE
 WORKERS'  COMPENSATION  FUND  ISSUED  BY A THIRD-PARTY PAYOR, OR IF SUCH
 CHECK IS DRAWN BY AN EMPLOYER FROM A PENSION OR PROFIT SHARING FUND,  OR
 IF  SUCH  CHECK IS DRAWN BY A UNION FROM A PENSION OR BENEFIT FUND OR IF
 SUCH CHECK IS DRAWN BY A UNION; provided further, however, that any such
 restriction upon the maximum face amount that may be cashed by a  licen-
 see  shall not apply to the cashing of checks, drafts or money orders by
 licensees for payees of such checks, drafts or  money  orders  that  are
 other than natural persons. For purposes of this subdivision, "[banking]
 FINANCIAL  institution"  means  any  bank,  trust company, savings bank,
 savings and loan association  [or],  credit  union  OR  OTHER  FINANCIAL
 INSTITUTION which is incorporated, chartered [or], organized OR LICENSED
 under the laws of this state or any other state or the United States.
   2.  The  superintendent  may suspend or revoke any license or licenses
 issued pursuant to this article if, after notice and a  hearing,  he  OR
 SHE shall find that the licensee (a) has committed any fraud, engaged in
 any  dishonest  activities  or  made  any  misrepresentation; or (b) has
 violated any provisions of the banking  law  or  any  regulation  issued
 pursuant  thereto, or has violated any other law in the course of its or
 his dealings as a licensed casher of checks; or (c)  has  made  a  false
 statement  in  the application for such license or failed to give a true
 reply to a question in such application; or (d) has demonstrated his  or
 its  incompetency  or  untrustworthiness  to act as a licensed casher of
 checks; or (e) is not doing sufficient business pursuant to this article
 to justify the continuance of the license, or if he OR  SHE  shall  find
 that  any  ground  or  grounds  exist which would require or warrant the
 refusal of an application for the issuance of the  license  if  such  an
 application  were  then before him OR HER.  Such a hearing shall be held
 in the manner and upon such notice as may be prescribed  by  the  super-
 intendent.  Pending  an investigation or a hearing for the suspension or
 revocation of any license or licenses issued pursuant to  this  article,
 the  superintendent may temporarily suspend such license or licenses for
 a period not to exceed ninety days, provided  the  superintendent  shall
 find that such a temporary suspension is in the public interest.
   §  12.   Subdivision 3 of section 37 of the banking law, as amended by
 chapter 360 of the laws of 1984, is amended to read as follows:

 A. 7705--A                         11
 
   3. In addition to any reports expressly required by this chapter to be
 made, the superintendent may require any banking organization,  licensed
 lender,  licensed  casher  of  checks, licensed mortgage banker, foreign
 banking corporation licensed by the superintendent  to  do  business  in
 this state, bank holding company and any non-banking subsidiary thereof,
 corporate affiliate of a corporate banking organization within the mean-
 ing  of  subdivision  six  of section thirty-six of this article and any
 non-banking subsidiary of a corporation  which  is  an  affiliate  of  a
 corporate  banking  organization within the meaning of subdivision six-a
 of section thirty-six of this article to make special reports to him  OR
 HER at such times as he OR SHE may prescribe.
   §  13.    This  act shall take effect on the one hundred eightieth day
 after it shall have become a law; provided, however, that:
   (a) effective immediately, any  rules  and  regulations  necessary  to
 implement  the  provisions  of  this  act on its effective date shall be
 added, amended and/or repealed on or before such date;
   (b) the amendments to section 373 of the banking law made  by  section
 eleven  of  this  act shall expire and be deemed repealed June 30, 2022;
 and
   (c) any contract, instrument, argument  or  other  written  obligation
 entered  into  by  a financial service provider authorized under section
 373 of the banking law prior to June 30, 2022 shall be deemed valid  and
 enforceable after such date.