S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   7393
 
                        2019-2020 Regular Sessions
 
                           I N  A S S E M B L Y
 
                              April 29, 2019
                                ___________
 
 Introduced  by  M.  of  A.  DE LA ROSA  -- 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 2019"; 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 2019".
   §  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.
   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.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD06923-01-9

 A. 7393                             2
 
   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 "PRIMARY 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 PRIMARY 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
 PRIMARY 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-

 A. 7393                             3
 
 NESS  HEREUNDER.    AT  THE TIME OF MAKING THE APPLICATION FOR A PRIMARY
 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
 PRIMARY 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
 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)

 A. 7393                             4
 
 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
 LOCATION MAY UTILIZE A TRUE COPY OF THE  EXISTING  LICENSE  PENDING  THE
 ISSUANCE OF A NEW LICENSE BY THE SUPERINTENDENT.

 A. 7393                             5
 
   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
 same license; provided, however, that  more  than  one  license  may  be
 issued to the same licensee [upon compliance with the provisions of this

 A. 7393                             6

 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 PRIMARY 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:
   § 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

 A. 7393                             7
 
 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 PRIMARY LICENSE  TO  OPERATE  A  BUSINESS  ESTABLISHED
 UNDER  THIS  ARTICLE,  AND IN THE CASE OF A LIMITED STATION LICENSE, THE
 SUPERINTENDENT 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.
   §  8.  Section  371 of the banking law, as added by chapter 151 of the
 laws of 1945, is amended to read as follows:

 A. 7393                             8

   § 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.
   [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-

 A. 7393                             9
 
 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
 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]  TWENTY  thousand  dollars;  provided,  however,   that   this
 restriction  shall  not  apply to the cashing of checks, drafts or money

 A. 7393                            10
 
 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, attorney for
 the settlement of claims, 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 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  associ-
 ation  [or], credit union OR OTHER FINANCIAL INSTITUTION which is incor-
 porated, 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:
   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.

 A. 7393                            11
 
   §  13.    This  act shall take effect on the one hundred eightieth day
 after it shall have become a law; provided, however, that:
   (a)  the  amendments to section 373 of the banking law made by section
 eleven of this act shall expire and be deemed repealed  June  30,  2024;
 and
   (b)  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, 2024 shall be deemed valid and
 enforceable after such date.
   Effective immediately the addition, amendment  and/or  repeal  of  any
 rule  or  regulation necessary for the implementation of this act on its
 effective date are authorized to be made and completed on or before such
 effective date.