Bill Text: IL SB3412 | 2023-2024 | 103rd General Assembly | Engrossed

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Bill Title: Creates the Uniform Money Transmission Modernization Act. Provides that the provisions supersede the Transmitters of Money Act. Provides that a person may not engage in the business of money transmission or advertise, solicit, or hold oneself out as providing money transmission unless the person is licensed under the Act. Sets forth provisions concerning the purpose of the Act; definitions; money transmission licenses; license application; license renewal; acquisition of control and change of key individuals; reporting and records; authorized delegates of a licensee; timely transmission, refunds, and disclosures; confidentiality of records; required reports; prudential standards; and enforcement. Makes conforming changes in the Freedom of Information Act and the State Finance Act. Provides that the Transmitters of Money Act is repealed on January 1, 2026. Makes other changes. Effective immediately, except that the changes to the Transmitters of Money Act take effect January 1, 2026.

Spectrum: Partisan Bill (Democrat 3-0)

Status: (Engrossed) 2024-05-13 - Committee/Final Action Deadline Extended-9(b) May 24, 2024 [SB3412 Detail]

Download: Illinois-2023-SB3412-Engrossed.html

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SB3412 Engrossed LRB103 35570 RPS 65642 b
AN ACT concerning regulation.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
ARTICLE I. Title & Purpose
Section 1-1. Short title. This Act may be cited as the
Uniform Money Transmission Modernization Act.
Section 1-2. Purpose.
(a) This Act is designed to replace existing State money
transmission laws currently codified under the Transmitters of
Money Act. It is the intent of the General Assembly that the
provisions of this Act accomplish the following:
(1) ensure states can coordinate in all areas of
regulation, licensing, and supervision to eliminate
unnecessary regulatory burden and more effectively use
regulator resources;
(2) protect the public from financial crime;
(3) standardize the types of activities that are
subject to licensing or otherwise exempt from licensing;
and
(4) modernize safety and soundness requirements to
ensure customer funds are protected in an environment that
supports innovative and competitive business practices.

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(b) The provisions of this Act shall be liberally
construed to effectuate its purposes.
ARTICLE II. Definitions
Section 2-1. Definitions. As used in this Act:
"Acting in concert" means persons knowingly acting
together with a common goal of jointly acquiring control of a
licensee whether or not pursuant to an express agreement.
"Authorized delegate" means a person a licensee designates
to engage in money transmission on behalf of the licensee.
"Average daily money transmission liability" means the
amount of the licensee's outstanding money transmission
obligations in this State at the end of each day in a given
period of time, added together, and divided by the total
number of days in the given period of time. For purposes of
calculating average daily money transmission liability under
this Act for any licensee required to do so, the given period
of time shall be the quarters ending March 31, June 30,
September 30, and December 31.
"Bank Secrecy Act" means the Bank Secrecy Act, 31 U.S.C.
5311, et seq. and its implementing rules and regulations, as
amended and recodified from time to time.
"Bill payment service" means the business of transmitting
money on behalf of an Illinois person for the purposes of
paying the person's bills.

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"Closed loop stored value" means stored value that is
redeemable by the issuer only for goods or services provided
by the issuer or its affiliate or franchisees of the issuer or
its affiliate, except to the extent required by applicable law
to be redeemable in cash for its cash value.
"Control" means:
(1) the power to vote, directly or indirectly, at
least 25% of the outstanding voting shares or voting
interests of a licensee or person in control of a
licensee;
(2) the power to elect or appoint a majority of key
individuals or executive officers, managers, directors,
trustees, or other persons exercising managerial authority
of a person in control of a licensee; or
(3) the power to exercise, directly or indirectly, a
controlling influence over the management or policies of a
licensee or person in control of a licensee.
For purposes of determining the percentage of a person
controlled by any other person, the person's interest shall be
aggregated with the interest of any other immediate family
member, including the person's spouse, parents, children,
siblings, mothers-in-law and fathers-in-law, sons-in-law and
daughters-in-law, brothers-in-law and sisters-in-law, and any
other person who shares such person's home.
"Department" means the Department of Financial and
Professional Regulation.

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"Division" means the Division of Financial Institutions of
the Department of Financial and Professional Regulation.
"Eligible rating" means a credit rating of any of the 3
highest rating categories provided by an eligible rating
service, whereby each category may include rating category
modifiers such as "plus" or "minus" for S&P, or the equivalent
for any other eligible rating service. For purposes of this
definition, long-term credit ratings are deemed eligible if
the rating is equal to "A-" or higher by S&P, or the equivalent
from any other eligible rating service; short-term credit
ratings are deemed eligible if the rating is equal to or higher
than "A-2" or "SP-2" by S&P, or the equivalent from any other
eligible rating service; if ratings differ among eligible
rating services, the highest rating shall apply when
determining whether a security bears an eligible rating.
"Eligible rating service" means any nationally recognized
statistical rating organization as defined by the U.S.
Securities and Exchange Commission, and any other organization
designated by the Secretary by rule or order.
"Federally insured depository financial institution" means
a bank, credit union, savings and loan association, trust
company, savings association, savings bank, industrial bank,
or industrial loan company organized under the laws of the
United States or any state of the United States, if the bank,
credit union, savings and loan association, trust company,
savings association, savings bank, industrial bank, or

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industrial loan company has federally insured deposits.
"In this State" means at a physical location within this
State for a transaction requested in person. For a transaction
requested electronically or by phone, the provider of money
transmission may determine if the person requesting the
transaction is in this State by relying on other information
provided by the person regarding the location of the
individual's residential address or a business entity's
principal place of business or other physical address
location, and any records associated with the person that the
provider of money transmission may have that indicate such
location, including, but not limited to, an address associated
with an account.
"Individual" means a natural person.
"Key individual" means any individual ultimately
responsible for establishing or directing policies and
procedures of the licensee, such as an executive officer,
manager, director, or trustee.
"Licensee" means a person licensed under this Act.
"Material litigation" means litigation, that according to
United States generally accepted accounting principles, is
significant to a person's financial health and would be
required to be disclosed in the person's annual audited
financial statements, report to shareholders, or similar
records.
"Money" means a medium of exchange that is authorized or

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adopted by the United States or a foreign government as part of
its currency and that is customarily used and accepted as a
medium of exchange in the country of issuance. "Money"
includes a monetary unit of account established by an
intergovernmental organization or by agreement between 2 or
more governments.
"Monetary value" means a medium of exchange, whether or
not redeemable in money unless excluded by rule by the
Secretary.
"Money transmission" means any of the following:
(1) Selling or issuing payment instruments to a person
located in this State.
(2) Selling or issuing stored value to a person
located in this State.
(3) Receiving money for transmission from a person
located in this State or transmitting money in this State.
"Money transmission" includes bill payment services and
payroll processing services. "Money transmission" does not
include the provision solely of online or telecommunications
services or network access.
"MSB accredited state agency" means a state agency that is
accredited by the Conference of State Bank Supervisors and
Money Transmitter Regulators Association for money
transmission licensing and supervision.
"Multistate licensing process" means any agreement entered
into by and among state regulators relating to coordinated

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processing of applications for money transmission licenses,
applications for the acquisition of control of a licensee,
control determinations, or notice and information requirements
for a change of key individuals.
"NMLS" means the Nationwide Multistate Licensing System
and Registry developed by the Conference of State Bank
Supervisors and the American Association of Residential
Mortgage Regulators and owned and operated by the State
Regulatory Registry, LLC, or any successor or affiliated
entity, for the licensing and registration of persons in
financial services industries.
"Outstanding money transmission obligations" means any of
the following:
(1) Any payment instrument or stored value issued or
sold by the licensee to a person located in the United
States or reported as sold by an authorized delegate of
the licensee to a person that is located in the United
States that has not yet been paid or refunded by or for the
licensee or escheated in accordance with applicable
abandoned property laws; or
(2) Any money received for transmission by the
licensee or an authorized delegate in the United States
from a person located in the United States that has not
been received by the payee, refunded to the sender, or
escheated in accordance with applicable abandoned property
laws.

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For purposes of this definition, "in the United States"
includes, to the extent applicable, a person in any state,
territory, or possession of the United States; the District of
Columbia; the Commonwealth of Puerto Rico; or a U.S. military
installation that is located in a foreign country.
"Passive investor" means a person that:
(1) does not have the power to elect a majority of key
individuals or executive officers, managers, directors,
trustees, or other persons exercising managerial authority
of a person in control of a licensee;
(2) is not employed by and does not have any
managerial duties of the licensee or person in control of
a licensee;
(3) does not have the power to exercise, directly or
indirectly, a controlling influence over the management or
policies of a licensee or person in control of a licensee;
and
(4) either:
(A) attests to items (1), (2), and (3), in a form
and in a medium prescribed by the Secretary; or
(B)commits to the passivity characteristics of
items (1), (2), and (3), in a written document.
"Payment instrument" means a written or electronic check,
draft, money order, traveler's check, or other written or
electronic instrument for the transmission or payment of money
or monetary value, whether or not negotiable. "Payment

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instrument" does not include stored value or any instrument
that (1) is redeemable by the issuer only for goods or services
provided by the issuer or its affiliate or franchisees of the
issuer or its affiliate, except to the extent required by
applicable law to be redeemable in cash for its cash value; or
(2) not sold to the public but issued and distributed as part
of a loyalty, rewards, or promotional program.
"Payroll processing services" means receiving money for
transmission pursuant to a contract with a person to deliver
wages or salaries, make payment of payroll taxes to State and
federal agencies, make payments relating to employee benefit
plans, or make distributions of other authorized deductions
from wages or salaries. "Payroll processing services" does not
include an employer performing payroll processing services on
its own behalf or on behalf of its affiliate.
"Person" means any individual, general partnership,
limited partnership, limited liability company, corporation,
trust, association, joint stock corporation, or other
corporate entity identified by the Secretary.
"Receiving money for transmission" or "money received for
transmission" means receiving money or monetary value in the
United States for transmission within or outside the United
States by electronic or other means.
"Secretary" means the Secretary of Financial and
Professional Regulation, the acting Secretary, or a person
authorized by the Secretary.

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"Stored value" means monetary value representing a claim
against the issuer evidenced by an electronic or digital
record, and that is intended and accepted for use as a means of
redemption for money or monetary value, or payment for goods
or services. "Stored value" includes, but is not limited to,
"prepaid access" as defined by 31 CFR Section 1010.100, as
amended or recodified from time to time. Notwithstanding the
foregoing, "stored value" does not include a payment
instrument or closed loop stored value, or stored value not
sold to the public but issued and distributed as part of a
loyalty, rewards, or promotional program.
"Tangible net worth" means the aggregate assets of a
licensee excluding all intangible assets, less liabilities, as
determined in accordance with United States generally accepted
accounting principles.
ARTICLE III. Exemptions
Section 3-1. Exemptions. This Act does not apply to:
(1) An operator of a payment system to the extent that it
provides processing, clearing, or settlement services, between
or among persons exempted by this Section or licensees, in
connection with wire transfers, credit card transactions,
debit card transactions, stored value transactions, automated
clearinghouse transfers, or similar funds transfers.
(2) A person appointed as an agent of a payee to collect

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and process a payment from a payor to the payee for goods or
services, other than money transmission itself, provided to
the payor by the payee, if:
(A) there exists a written agreement between the payee
and the agent directing the agent to collect and process
payments from payors on the payee's behalf; and
(B) payment for the goods and services is treated as
received by the payee upon receipt by the agent so that the
payor's obligation is extinguished and there is no risk of
loss to the payor if the agent fails to remit the funds to
the payee.
(3) A person that acts as an intermediary by processing
payments between an entity that has directly incurred an
outstanding money transmission obligation to a sender, and the
sender's designated recipient, if the entity:
(A) is properly licensed or exempt from licensing
requirements under this Act;
(B) provides a receipt, electronic record, or other
written confirmation to the sender identifying the entity
as the provider of money transmission in the transaction;
and
(C) bears sole responsibility to satisfy the
outstanding money transmission obligation to the sender,
including the obligation to make the sender whole in
connection with any failure to transmit the funds to the
sender's designated recipient.

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(4) The United States or a department, agency, or
instrumentality thereof, or its agent.
(5) Money transmission by the United States Postal Service
or by an agent of the United States Postal Service.
(6) A State, county, city, or any other governmental
agency or governmental subdivision or instrumentality of a
State, or its agent.
(7) A federally insured depository financial institution,
bank holding company, office of an international banking
corporation, foreign bank that establishes a federal branch
pursuant to the International Bank Act, 12 U.S.C. 3102, as
amended or recodified from time to time, corporation organized
pursuant to the Bank Service Corporation Act, 12 U.S.C.
Sections 1861 through 1867, as amended or recodified from time
to time, or corporation organized under the Edge Act, 12
U.S.C. Sections 611 through 633, as amended or recodified from
time to time, under the laws of a state or the United States.
(8) Electronic funds transfer of governmental benefits for
a federal, State, county, or governmental agency by a
contractor on behalf of the United States or a department,
agency, or instrumentality thereof, or on behalf of a State or
governmental subdivision, agency, or instrumentality thereof.
(9) A board of trade designated as a contract market under
the federal Commodity Exchange Act, 7 U.S.C. Sections 1
through 25, as amended or recodified from time to time, or a
person that, in the ordinary course of business, provides

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clearance and settlement services for a board of trade to the
extent of its operation as or for such a board.
(10) A registered futures commission merchant under the
federal commodities laws to the extent of its operation as
such a merchant.
(11) A person registered as a securities broker-dealer
under federal or State securities laws to the extent of its
operation as such a broker-dealer.
(12) An individual employed by a licensee, authorized
delegate, or any person exempted from the licensing
requirements of the Act when acting within the scope of
employment and under the supervision of the licensee,
authorized delegate, or exempted person as an employee and not
as an independent contractor.
(13) A person expressly appointed as a third-party service
provider to or agent of an entity exempt under paragraph (7) or
(16), solely to the extent that:
(A) such service provider or agent is engaging in
money transmission on behalf of and pursuant to a written
agreement with the exempt entity that sets forth the
specific functions that the service provider or agent is
to perform; and
(B) the exempt entity assumes all risk of loss and all
legal responsibility for satisfying the outstanding money
transmission obligations owed to purchasers and holders of
the outstanding money transmission obligations upon

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receipt of the purchaser's or holder's money or monetary
value by the service provider or agent.
(14) Any other person, transaction, or class of persons or
transactions exempted by rule or any other person or
transaction exempted by the Secretary's order on a finding
that the licensing of the person is not necessary to achieve
the purposes of this Act.
(15) Currency exchanges licensed under the Currency
Exchange Act to the extent of its operation as such a currency
exchange.
(16) An insured depository credit union organized under
the laws of the United States or any state of the United States
with deposits insured by an insurer approved by the credit
union's primary regulator.
Section 3-2. Authority to require demonstration of
exemption. The Secretary may require that any person or entity
claiming to be exempt from licensing pursuant to Section 3-1
provide information and documentation to the Secretary
demonstrating that it qualifies for any claimed exemption. The
burden of proving the applicability of an exemption is upon
the person claiming the exclusion or exception.
ARTICLE IV. Implementation, Confidentiality, Supervision &
Relationship to Federal Law

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Section 4-1. Implementation.
(a) In order to carry out the purposes of this Act, the
Secretary may, subject to the provisions of subsections (a)
and (b) of Section 4-2:
(1) enter into agreements or relationships with other
government officials or federal and State regulatory
agencies and regulatory associations in order to improve
efficiencies and reduce regulatory burden by standardizing
methods or procedures, and sharing resources, records or
related information obtained under this Act;
(2) use, hire, contract, or employ analytical systems,
methods, or software to examine or investigate any person
subject to this Act.
(3) accept, from other state or federal government
agencies or officials, licensing, examination, or
investigation reports made by such other state or federal
government agencies or officials; and
(4) accept audit reports made by an independent
certified public accountant or other qualified third-party
auditor for an applicant or licensee and incorporate the
audit report in any report of examination or
investigation.
(b) The Department shall have the broad administrative
authority to administer, interpret and enforce this Act, and
adopt rules or regulations implementing this Act and to
recover the cost of administering and enforcing this Act by

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imposing and collecting proportionate and equitable fees and
costs associated with applications, examinations,
investigations, and other actions required to achieve the
purpose of this Act. The Department's rulemaking authority
shall include, but not be limited to:
(1) such rules and regulations in connection with the
activities of licensees as may be necessary and
appropriate for the protection of consumers in this State;
(2) such rules and regulations as may be necessary and
appropriate to define improper or fraudulent business
practices in connection with the activities of licensees;
(3) such rules and regulations as may define the terms
used in this Act and as may be necessary and appropriate to
interpret and implement the provisions of this Act;
(4) such rules and regulations as may be necessary for
the implementation or enforcement of this Act; and
(5) such rules and regulations establishing fees the
Secretary deems necessary to cover the cost of
administration of this Act.
Section 4-2. Confidentiality.
(a) Except as otherwise provided in this Section, all
information or reports obtained by the Secretary from an
applicant, licensee, or authorized delegate, and all
information contained in or related to an examination,
investigation, operating report, or condition report prepared

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by, on behalf of, or for the use of the Secretary, or financial
statements, balance sheets, or authorized delegate
information, are confidential and are not subject to
disclosure under the Freedom of Information Act.
(b) The Secretary may disclose information not otherwise
subject to disclosure under subsection (a) to representatives
of State or federal agencies who promise in a record that they
will maintain the confidentiality of the information or where
the Secretary finds that the release is reasonably necessary
for the protection and interest of the public.
(c) This Section does not prohibit the Secretary from
disclosing to the public a list of all licensees or the
aggregated financial or transactional data concerning those
licensees.
(d) Information contained in the records of the Department
that is not confidential and may be made available to the
public either on the Department's website, upon receipt by the
Department of a written request, or in NMLS shall include:
(1) the name, business address, telephone number, and
unique identifier of a licensee;
(2) the business address of a licensee's registered
agent for service;
(3) the name, business address, and telephone number
of all authorized delegates;
(4) the terms of or a copy of any bond filed by a
licensee, if confidential information, including, but not

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limited to, prices and fees, for such bond is redacted;
(5) copies of any final orders of the Department
relating to any violation of this Act or regulations
implementing this Act; and
(e) Imposition of an administrative action under this Act
is not confidential.
(f) The Secretary, in his or her sole discretion, may
disclose otherwise confidential information when he or she
determines disclosure is in the public interest.
Section 4-3. Supervision.
(a) The Secretary may conduct an examination or
investigation of a licensee or authorized delegate or
otherwise take independent action authorized by this Act or by
a rule adopted or order issued under this Act as reasonably
necessary or appropriate to administer and enforce this Act,
rules and regulations implementing this Act, and other
applicable law, including the Bank Secrecy Act and the USA
PATRIOT ACT. The Secretary may:
(1) conduct an examination either on-site or off-site
as the Secretary may reasonably require;
(2) conduct an examination in conjunction with an
examination conducted by representatives of other state
agencies or agencies of another state or of the federal
government;
(3) accept the examination report of another state

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agency or an agency of another state or of the federal
government, or a report prepared by an independent
accounting firm, which on being accepted is considered for
all purposes as an official report of the Secretary; and
(4) summon and examine under oath a key individual or
employee of a licensee or authorized delegate and require
the person to produce records regarding any matter related
to the condition and business of the licensee or
authorized delegate.
(b) A licensee or authorized delegate shall provide, and
the Secretary shall have full and complete access to, all
records the Secretary may reasonably require to conduct a
complete examination. The records must be provided at the
location and in the format specified by the Secretary,
however, the Secretary may use multistate record production
standards and examination procedures when such standards will
reasonably achieve the requirements of this subsection.
(c) Unless otherwise directed by the Secretary, a licensee
shall pay all costs reasonably incurred in connection with an
examination of the licensee or the licensee's authorized
delegates.
Section 4-4. Networked supervision.
(a) To efficiently and effectively administer and enforce
this Act and to minimize regulatory burden, the Secretary is
authorized and encouraged to participate in multistate

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supervisory processes established between states and
coordinated through the Conference of State Bank Supervisors,
Money Transmitter Regulators Association, and affiliates and
successors thereof for all licensees that hold licenses in
this State and other states. As a participant in multistate
supervision, the Secretary may:
(1) cooperate, coordinate, and share information with
other state and federal regulators in accordance with
Section 4-2;
(2) enter into written cooperation, coordination, or
information-sharing contracts or agreements with
organizations the membership of which is made up of state
or federal governmental agencies; and
(3) cooperate, coordinate, and share information with
organizations the membership of which is made up of state
or federal governmental agencies, if the organizations
agree in writing to maintain the confidentiality and
security of the shared information in accordance with
Section 4-2.
(b) The Secretary may not waive, and nothing in this
Section constitutes a waiver of, the Secretary's authority to
conduct an examination or investigation or otherwise take
independent action authorized by this Act or a rule adopted or
order issued under this Act to enforce compliance with
applicable state or federal law.
(c) A joint examination or investigation, or acceptance of

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an examination or investigation report, does not waive an
examination assessment provided for in this Act.
Section 4-5. Relationship to federal law.
(a) If state money transmission jurisdiction is
conditioned on a federal law, any inconsistencies between a
provision of this Act and the federal law governing money
transmission shall be governed by the applicable federal law
to the extent of the inconsistency.
(b) In the event of any inconsistencies between this Act
and a federal law that governs pursuant to subsection (a), the
Secretary may provide interpretive rule or guidance that:
(1) identifies the inconsistency; and
(2) identifies the appropriate means of compliance
with federal law.
ARTICLE V. Money Transmission Licenses
Section 5-1. License required.
(a) A person may not engage in the business of money
transmission or advertise, solicit, or hold oneself out as
providing money transmission unless the person is licensed
under this Act.
(b) Subsection (a) does not apply to:
(1) A person who is an authorized delegate of a person
licensed under this Act acting within the scope of

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authority conferred by a written contract with the
licensee; or
(2) A person who is exempt pursuant to Section 3-1 and
does not engage in money transmission outside the scope of
such exemption.
(c) A license issued under Section 5-5 is not transferable
or assignable.
Section 5-2. Consistent State licensing.
(a) To establish consistent licensing between this State
and other states, the Secretary is authorized and encouraged
to:
(1) implement all licensing provisions of this Act in
a manner that is consistent with other states that have
adopted this Act or multistate licensing processes; and
(2) participate in nationwide protocols for licensing
cooperation and coordination among state regulators
provided that such protocols are consistent with this Act.
(b) In order to fulfill the purposes of this Act, the
Secretary is authorized and encouraged to establish
relationships or contracts with NMLS or other entities
designated by NMLS to enable the Secretary to:
(1) collect and maintain records;
(2) coordinate multistate licensing processes and
supervision processes;
(3) process fees; and

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(4) facilitate communication between this State and
licensees or other persons subject to this Act.
(c) The Secretary is authorized and encouraged to use NMLS
for all aspects of licensing in accordance with this Act,
including, but not limited to, license applications,
applications for acquisitions of control, surety bonds,
reporting, criminal history background checks, credit checks,
fee processing, and examinations.
(d) The Secretary is authorized and encouraged to use NMLS
forms, processes, and functionalities in accordance with this
Act. If NMLS does not provide functionality, forms, or
processes for a provision of this Act, the Secretary is
authorized and encouraged to strive to implement the
requirements in a manner that facilitates uniformity with
respect to licensing, supervision, reporting, and regulation
of licensees which are licensed in multiple jurisdictions.
(e) For the purpose of participating in NMLS, the
Secretary is authorized to waive or modify, in whole or in
part, by rule, regulation or order, any or all of the
requirements and to establish new requirements as reasonably
necessary to participate in NMLS.
Section 5-3. Application for license.
(a) Applicants for a license shall apply in a form and in a
medium as prescribed by the Secretary. Each such form shall
contain content as set forth by rule, regulation, instruction

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or procedure of the Secretary and may be changed or updated by
the Secretary in accordance with applicable law in order to
carry out the purposes of this Act and maintain consistency
with NMLS licensing standards and practices. The application
must state or contain, as applicable:
(1) the legal name and residential and business
addresses of the applicant and any fictitious or trade
name used by the applicant in conducting its business;
(2) a list of any criminal convictions of the
applicant and any material litigation in which the
applicant has been involved in the 10-year period
preceding the submission of the application;
(3) a description of any money transmission previously
provided by the applicant and the money transmission that
the applicant seeks to provide in this State;
(4) a list of the applicant's proposed authorized
delegates and the locations in this State where the
applicant and its authorized delegates propose to engage
in money transmission;
(5) a list of other states in which the applicant is
licensed to engage in money transmission and any license
revocations, suspensions, or other disciplinary action
taken against the applicant in another state;
(6) information concerning any bankruptcy or
receivership proceedings affecting the licensee or a
person in control of a licensee;

SB3412 Engrossed - 25 - LRB103 35570 RPS 65642 b
(7) a sample form of contract for authorized
delegates, if applicable;
(8) a sample form of payment instrument or stored
value, as applicable;
(9) the name and address of any federally insured
depository financial institution through which the
applicant plans to conduct money transmission; and
(10) any other information the Secretary or NMLS
reasonably requires with respect to the applicant.
(b) If an applicant is a corporation, limited liability
company, partnership, or other legal entity, the applicant
shall also provide:
(1) the date of the applicant's incorporation or
formation and State or country of incorporation or
formation;
(2) if applicable, a certificate of good standing from
the State or country in which the applicant is
incorporated or formed;
(3) a brief description of the structure or
organization of the applicant, including any parents or
subsidiaries of the applicant, and whether any parents or
subsidiaries are publicly traded;
(4) the legal name, any fictitious or trade name, all
business and residential addresses, and the employment, as
applicable, in the 10-year period preceding the submission
of the application of each key individual and person in

SB3412 Engrossed - 26 - LRB103 35570 RPS 65642 b
control of the applicant;
(5) a list of any criminal convictions and material
litigation in which a person in control of the applicant
that is not an individual has been involved in the 10-year
period preceding the submission of the application;
(6) a copy of audited financial statements of the
applicant for the most recent fiscal year and for the
2-year period preceding the submission of the application
or, if determined to be acceptable to the Secretary;
(7) a certified copy of unaudited financial statements
of the applicant for the most recent fiscal quarter;
(8) if the applicant is a publicly traded corporation,
a copy of the most recent report filed with the United
States Securities and Exchange Commission under Section 13
of the federal Securities Exchange Act of 1934, 15 U.S.C.
78m, as amended or recodified from time to time;
(9) if the applicant is a wholly owned subsidiary of:
(A) a corporation publicly traded in the United
States, a copy of audited financial statements for the
parent corporation for the most recent fiscal year or
a copy of the parent corporation's most recent report
filed under Section 13 of the federal Securities
Exchange Act of 1934, 15 U.S.C. 78m, as amended or
recodified from time to time; or
(B) a corporation publicly traded outside the
United States, a copy of similar documentation filed

SB3412 Engrossed - 27 - LRB103 35570 RPS 65642 b
with the regulator of the parent corporation's
domicile outside the United States;
(10) the name and address of the applicant's
registered agent in this State; and
(11) any other information the Secretary reasonably
requires with respect to the applicant.
A nonrefundable application fee must accompany an
application for a license under this Section in accordance
with 38 Ill. Adm. Code 205.35, as amended or recodified from
time to time.
(c) The Secretary may waive one or more requirements of
subsections (a) and (b) or permit an applicant to submit other
information instead of the required information.
Section 5-4. Information requirements for certain
individuals.
(a) Any individual in control of a licensee or applicant,
any individual that seeks to acquire control of a licensee,
and each key individual shall furnish to the Secretary through
NMLS the following items:
(1) The individual's fingerprints for submission to
the Federal Bureau of Investigation and the Secretary for
purposes of a national criminal history background check
unless the person currently resides outside of the United
States and has resided outside of the United States for
the last 10 years.

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(2) Personal history and experience in a form and in a
medium prescribed by the Secretary, to obtain the
following:
(A) an independent credit report from a consumer
reporting agency unless the individual does not have a
social security number, in which case, this
requirement shall be waived;
(B) information related to any criminal
convictions or pending charges; and
(C) information related to any regulatory or
administrative action and any civil litigation
involving claims of fraud, misrepresentation,
conversion, mismanagement of funds, breach of
fiduciary duty, or breach of contract.
(b) If the individual has resided outside of the United
States at any time in the last 10 years, the individual shall
also provide an investigative background report prepared by an
independent search firm that meets the following requirements:
(1) At a minimum, the search firm shall:
(A) demonstrate that it has sufficient knowledge,
resources, and employs accepted and reasonable
methodologies to conduct the research of the
background report; and
(B) not be affiliated with or have an interest
with the individual it is researching.
(2) At a minimum, the investigative background report

SB3412 Engrossed - 29 - LRB103 35570 RPS 65642 b
shall be written in the English language and shall contain
the following:
(A) if available in the individual's current
jurisdiction of residency, a comprehensive credit
report, or any equivalent information obtained or
generated by the independent search firm to accomplish
such report, including a search of the court data in
the countries, provinces, states, cities, towns, and
contiguous areas where the individual resided and
worked;
(B) criminal records information for the past 10
years, including, but not limited to, felonies,
misdemeanors, or similar convictions for violations of
law in the countries, provinces, states, cities,
towns, and contiguous areas where the individual
resided and worked;
(C) employment history;
(D) media history, including an electronic search
of national and local publications, wire services, and
business applications; and
(E) financial services-related regulatory history,
including, but not limited to, money transmission,
securities, banking, insurance, and mortgage related
industries.
Section 5-5. Issuance of license.

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(a) When an application for an original license under this
Act appears to include all the items and addresses of all of
the matters that are required, the application is complete and
the Secretary shall promptly notify the applicant in a record
of the date on which the application is determined to be
complete, and:
(1) unless extended by the Secretary pursuant to the
Secretary's discretion, the Secretary shall approve or
deny the application within 120 days after the completion
date; or
(2) if the application is not approved or denied
within 120 days after the completion date or any extension
thereof:
(A) the application is approved; and
(B) the license takes effect as of the first
business day after expiration of the 120-day period.
(b) A determination by the Secretary that an application
is complete and is accepted for processing means only that the
application, on its face, appears to include all of the items,
including the Criminal Background Check response from the FBI,
and address all of the matters that are required, and is not an
assessment of the substance of the application or of the
sufficiency of the information provided.
(c) When an application is filed and considered complete
under this Section, the Secretary shall investigate the
applicant's financial condition and responsibility, financial

SB3412 Engrossed - 31 - LRB103 35570 RPS 65642 b
and business experience, character, and general fitness. The
Secretary may conduct an on-site investigation of the
applicant, the reasonable cost of which the applicant must
pay. The Secretary shall issue a license to an applicant under
this Section if the Secretary finds that all of the following
conditions have been fulfilled:
(1) the applicant has complied with Sections 5-3 and
5-4; and
(2) the financial condition and responsibility,
financial and business experience, competence, character,
and general fitness of the applicant and the competence,
experience, character, and general fitness of the key
individuals and persons in control of the applicant
indicate that it is in the interest of the public to permit
the applicant to engage in money transmission.
(d) If an applicant avails itself or is otherwise subject
to a multistate licensing process:
(1) the Secretary is authorized and encouraged to
accept the investigation results of a lead investigative
state for the purpose of subsection (c) if the lead
investigative state has sufficient staffing, expertise,
and minimum standards; or
(2) if Illinois is a lead investigative state, the
Secretary is authorized and encouraged to investigate the
applicant pursuant to subsection (c) and the timeframes
established by agreement through the multistate licensing

SB3412 Engrossed - 32 - LRB103 35570 RPS 65642 b
process, however, in no case shall such timeframe be
noncompliant with the application period in paragraph (1)
of subsection (a).
(e) The Secretary shall issue a formal written notice of
the denial of a license application within 30 days after the
decision to deny the application. The Secretary shall set
forth the specific reasons for the denial of the application
in the notice of denial and serve the applicant, either
personally or by certified mail. Service by certified mail
shall be deemed completed when the notice is deposited into
the U.S. Mail. An applicant whose application is denied by the
Secretary under this Section may submit a written request for
a hearing that shall include the particular reasons why the
applicant believes that the decision to deny the application
was incorrect, within 10 days after service of the notice of
the denial. If an applicant submits a timely request for a
hearing, the Secretary shall schedule a hearing after the
request for a hearing unless otherwise agreed to by the
parties. The Secretary shall conduct hearings pursuant to this
Section and in accordance with 38 Ill. Adm. Code 100, as
amended or recodified from time to time.
(f) The initial license term shall begin on the day that
the application is approved. The license shall expire on
December 31 of the year in which the license term began, unless
the initial license date is between November 1 and December
31, in which instance the initial license term shall run

SB3412 Engrossed - 33 - LRB103 35570 RPS 65642 b
through December 31 of the following year.
Section 5-6. Renewal of license.
(a) A license under this Act shall be renewed annually.
(b) An annual renewal fee in accordance with 38 Ill. Adm.
Code 205.35 as amended or recodified from time to time shall be
paid to the Department. The renewal term shall be for a period
of one year and shall begin on January 1 of each year after the
initial license term and shall expire on December 31 of the
year the renewal term begins.
(c) A licensee shall submit a renewal report, in a form and
in a medium prescribed by the Secretary by December 1 of each
year. The form requires any information deemed necessary by
the Secretary to review a renewal application. At a minimum,
the renewal report must state or contain a description of each
material change in information submitted by the licensee in
its original license application which has not been reported
to the Secretary and a statement of the dollar amount and
number of money transmissions and payment instruments sold,
issued, exchanged, or transmitted in this State by the
licensee and its authorized delegate for the past 4 completed
calendar quarters.
(d) The Secretary, in his or her discretion, may grant an
extension of the renewal date.
(e) The Secretary is authorized and encouraged to use NMLS
to process license renewals if such functionality is

SB3412 Engrossed - 34 - LRB103 35570 RPS 65642 b
consistent with this Section.
(f) The Secretary shall issue a formal written notice of
the denial of renewal within 30 days after the decision to deny
the renewal. The Secretary shall set forth the specific
reasons for denying the renewal in the notice of denial and
serve the licensee, either personally or by certified mail.
Service by certified mail shall be deemed completed when the
notice is deposited into the U.S. Mail. A licensee whose
renewal is denied by the Secretary under this Section may
submit a written request for a hearing that shall include the
particular reasons why the licensee believes that the decision
to deny the renewal was incorrect within 10 days after service
of the notice of the denial. If a licensee submits a timely
request for a hearing, the Secretary shall schedule a hearing
unless otherwise agreed to by the parties. The Secretary shall
conduct hearings pursuant to this Section and in accordance
with 38 Ill. Adm. Code 100, as amended or recodified from time
to time. The expiring license shall be deemed to continue in
force until 10 days after the service of the notice of denial
or, if a timely hearing is requested during that period, until
a final order is entered pursuant to a hearing.
Section 5-7. Maintenance of license.
(a) If a licensee does not continue to meet the
qualifications or satisfy the requirements that apply to an
applicant for a new money transmission license, the Secretary

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may suspend or revoke the licensee's license in accordance
with the procedures established by this Act or other
applicable State law for such suspension or revocation.
(b) An applicant for a money transmission license must
demonstrate that it meets or will meet, and a money
transmission licensee must at all times meet, the requirements
in Article X of this Act.
Section 5-8. Fees.
(a) The expenses of administering this Act, including
investigations and examinations provided for in this Act,
shall be borne by and assessed against entities regulated by
this Act. The Department may establish fees by rule, including
in the following categories:
(1) investigation of licensees and license applicant
fees;
(2) examination fees;
(3) contingent fees; and
(4) such other categories as may be required to
administer this Act.
(b) The Secretary shall charge and collect fees, which
shall be nonrefundable unless otherwise indicated, in
accordance with 38 Ill. Adm. Code 205.35.
(c) All fees currently assessed in accordance with 38 Ill.
Adm. Code 205.35, as amended or recodified from time to time,
shall remain in effect. Except for money required to be

SB3412 Engrossed - 36 - LRB103 35570 RPS 65642 b
deposited into the TOMA Consumer Protection Fund pursuant to
this Act, all moneys received by the Department shall be
deposited into the Financial Institution Fund. Failure to pay
any required fee by the due date shall subject the licensee to
a penalty fee of $25 per day and disciplinary action.
Section 5-9. Liability of licensees. A licensee is liable
for the payment of all moneys covered by payment instruments
that it sells or issues in any form in this State through its
authorized delegate and all moneys it receives itself or
through its authorized delegate for transmission by any means
whether or not any instrument is a negotiable instrument under
the laws of this State.
ARTICLE VI. Acquisition of Control and Change of Key
Individual
Section 6-1. Acquisition of control.
(a) Any person, or group of persons acting in concert,
seeking to acquire control of a licensee shall obtain the
written approval of the Secretary before acquiring control. An
individual is not deemed to acquire control of a licensee and
is not subject to this Section when that individual becomes a
key individual in the ordinary course of business.
(b) A person, or group of persons acting in concert,
seeking to acquire control of a licensee shall, in cooperation

SB3412 Engrossed - 37 - LRB103 35570 RPS 65642 b
with the licensee:
(1) submit an application in a form and in a medium
prescribed by the Secretary; and
(2) submit a nonrefundable fee of $1,000 with the
request for approval.
(c) Upon request, the Secretary may permit a licensee or
the person, or group of persons acting in concert, to submit
some or all information required by the Secretary pursuant to
subsection (b) without using NMLS.
(d) The application required by subsection (b) shall
include information required by Section 5-4 for any new key
individuals that have not previously completed the
requirements of Section 5-4 for a licensee.
(e) When an application for acquisition of control under
this Section appears to include all the items and address all
of the matters that are required, the application shall be
considered complete and:
(1) unless extended by the Secretary pursuant to the
Secretary's discretion, the Secretary shall approve or
deny the application within 60 days after the completion
date; or
(2) if the application is not approved or denied
within 60 days after the completion date or any extension
thereof:
(A) the application is approved; and
(B) the person, or group of persons acting in

SB3412 Engrossed - 38 - LRB103 35570 RPS 65642 b
concert, are not prohibited from acquiring control.
(f) A determination by the Secretary that an application
is complete and is accepted for processing means only that the
application, on its face, appears to include all of the items
and address all of the matters that are required, and is not an
assessment of the substance of the application or of the
sufficiency of the information provided.
(g) When an application is filed and considered complete
under subsection (e), the Secretary shall investigate the
financial condition and responsibility, financial and business
experience, character, and general fitness of the person, or
group of persons acting in concert, seeking to acquire
control. The Secretary shall approve an acquisition of control
pursuant to this Section if the Secretary finds that all of the
following conditions have been fulfilled:
(1) The requirements of subsections (b) and (d) have
been met, as applicable; and
(2) the financial condition and responsibility,
financial and business experience, competence, character,
and general fitness of the person, or group of persons
acting in concert, seeking to acquire control; and the
competence, experience, character, and general fitness of
the key individuals and persons that would be in control
of the licensee after the acquisition of control indicate
that it is in the interest of the public to permit the
person, or group of persons acting in concert, to control

SB3412 Engrossed - 39 - LRB103 35570 RPS 65642 b
the licensee.
(h) If an applicant avails itself or is otherwise subject
to a multistate licensing process:
(1) the Secretary is authorized and encouraged to
accept the investigation results of a lead investigative
state for the purpose of subsection (g) if the lead
investigative state has sufficient staffing, expertise,
and minimum standards; or
(2) if the Department is a lead investigative state,
the Secretary is authorized and encouraged to investigate
the applicant pursuant to subsection (g) and the
timeframes established by agreement through the multistate
licensing process.
(i) The Secretary shall issue a formal written notice of
the denial of an application to acquire control within 30 days
after the decision to deny the application. The Secretary
shall set forth the specific reasons for the denial of the
application in the notice of denial and serve the applicant,
either personally or by certified mail. Service by certified
mail shall be deemed completed when the notice is deposited
into the U.S. mail. An applicant whose application is denied
by the Secretary under this subsection (i) may submit a
written request for hearing which shall include the particular
reasons why the applicant believes that the decision to deny
the application was incorrect, within 10 days after service of
the notice of denial. If an applicant submits a timely request

SB3412 Engrossed - 40 - LRB103 35570 RPS 65642 b
for a hearing, the Secretary shall schedule a hearing unless
otherwise agreed to by the parties. The Secretary shall
conduct hearings pursuant to this Section and in accordance
with 38 Ill. Adm. Code 100, as amended or recodified from time
to time.
(j) The requirements of subsections (a) and (b) do not
apply to any of the following:
(1) a person that acts as a proxy for the sole purpose
of voting at a designated meeting of the shareholders or
holders of voting shares or voting interests of a licensee
or a person in control of a licensee;
(2) a person that acquires control of a licensee by
devise or descent;
(3) a person that acquires control of a licensee as a
personal representative, custodian, guardian,
conservator, or trustee, or as an officer appointed by a
court of competent jurisdiction or by operation of law;
(4) a person that is exempt under subsection (g) of
Section 3-1;
(5) A person that the Secretary determines is not
subject to subsection (a) based on the public interest;
(6) A public offering of securities of a licensee or a
person in control of a licensee; or
(7) An internal reorganization of a person in control
of the licensee where the ultimate person in control of
the licensee remains the same.

SB3412 Engrossed - 41 - LRB103 35570 RPS 65642 b
(k) Persons in paragraphs (2), (3), (4), (6), and (7) of
subsection (j) in cooperation with the licensee shall notify
the Secretary within 15 days after the acquisition of control.
(l) Streamlined acquisition of control.
(1) The requirements of subsections (a) and (b) do not
apply to a person that has complied with and received
approval to engage in money transmission under this Act or
was identified as a person in control in a prior
application filed with and approved by the Secretary or by
an MSB accredited state agency pursuant to a multistate
licensing process, if:
(A) the person has not had a license revoked or
suspended or controlled a licensee that has had a
license revoked or suspended while the person was in
control of the licensee in the previous 5 years;
(B) if the person is a licensee, the person is well
managed and has received at least a satisfactory
rating for compliance at its most recent examination
by an MSB accredited state agency if such rating was
given;
(C) the licensee to be acquired is projected to
meet the requirements of Article X of this Act after
the acquisition of control is completed, and if the
person acquiring control is a licensee, that licensee
is also projected to meet the requirements of Article
X of this Act after the acquisition of control is

SB3412 Engrossed - 42 - LRB103 35570 RPS 65642 b
completed;
(D) the licensee to be acquired will not implement
any material changes to its business plan as a result
of the acquisition of control, and if the person
acquiring control is a licensee, that licensee also
will not implement any material changes to its
business plan as a result of the acquisition of
control; and
(E) the person provides notice of the acquisition
in cooperation with the licensee and attests to this
subsection in a form and in a medium prescribed by the
Secretary.
(2) If the notice is not denied within 30 days after
the date on which the notice was determined to be
complete, the notice is deemed approved.
(m) Before filing an application for approval to acquire
control of a licensee a person may request in writing a
determination from the Secretary as to whether the person
would be considered a person in control of a licensee upon
consummation of a proposed transaction. If the Secretary
determines that the person would not be a person in control of
a licensee, the proposed person and transaction is not subject
to the requirements of subsections (a) and (b).
(n) If a multistate licensing process includes a
determination pursuant to subsection (m) and an applicant
avails itself or is otherwise subject to the multistate

SB3412 Engrossed - 43 - LRB103 35570 RPS 65642 b
licensing process:
(1) The Secretary is authorized and encouraged to
accept the control determination of a lead investigative
state with sufficient staffing, expertise, and minimum
standards for the purpose of subsection (m); or
(2) If the Department is a lead investigative state,
the Secretary is authorized and encouraged to investigate
the applicant pursuant to subsection (m) and the
timeframes established by agreement through the multistate
licensing process.
Section 6-2. Notice and information requirements for a
change of key individuals.
(a) A licensee adding or replacing any key individual
shall:
(1) provide notice in a manner prescribed by the
Secretary within 15 days after the effective date of the
key individual's appointment; and
(2) provide information as required by Section 5-4
within 45 days after the effective date.
(b) The Secretary may issue a formal written notice of
denial of key individual within 90 days after the date on which
the notice provided pursuant to subsection (a) was determined
to be complete if the competence, experience, character, or
integrity of the individual would not be in the best interests
of the public or the customers of the licensee to permit the

SB3412 Engrossed - 44 - LRB103 35570 RPS 65642 b
individual to be a key individual of such licensee.
(c) The Secretary shall set forth the specific reasons for
the denial in the notice of denial and serve the licensee and
the denied individual, either personally, or by certified
mail. Service by certified mail shall be deemed completed when
the notice is deposited into the U.S. Mail. A licensee who has
been denied by the Secretary under this subsection (c) may
submit a written request for hearing which shall include the
particular reasons why the licensee believes that the decision
to deny was incorrect, within 10 days after service of the
notice of the denial. If a licensee submits a timely request
for a hearing, the Secretary shall schedule a hearing after
the request for a hearing unless otherwise agreed to by the
parties. The Secretary shall conduct hearings pursuant to this
Section and in accordance with 38 Ill. Adm. Code 100.
(d) If the notice provided pursuant to subsection (a) is
not denied within 90 days after the date on which the notice
was determined to be complete, or any extension thereof, the
key individual is deemed approved.
(e) If a multistate licensing process includes a key
individual notice review and denial process pursuant to this
Section and the licensee avails itself or is otherwise subject
to the multistate licensing process:
(1) the Secretary is authorized and encouraged to
accept the determination of another state;
(2) if the investigating state has sufficient

SB3412 Engrossed - 45 - LRB103 35570 RPS 65642 b
staffing, expertise, and minimum standards for the purpose
of this Section; or
(3) if the Department is a lead investigative state,
the Secretary is authorized and encouraged to investigate
the applicant pursuant to subsection (b) and the
timeframes established by agreement through the multistate
licensing process.
ARTICLE VII. Reporting and Records
Section 7-1. Report of condition.
(a) Each licensee, under penalty of perjury, shall submit
a report of condition within 45 days of the end of the calendar
quarter, or within any extended time as the Secretary may
prescribe.
(b) The report of condition shall include:
(1) financial information at the licensee level;
(2) nationwide and state-specific money transmission
transaction information in every jurisdiction in the
United States where the licensee is licensed to engage in
money transmission;
(3) permissible investments report;
(4) transaction destination country reporting for
money received for transmission, if applicable; and
(5) any other information the Secretary reasonably
requires with respect to the licensee. The Secretary is

SB3412 Engrossed - 46 - LRB103 35570 RPS 65642 b
authorized and encouraged to use NMLS for the submission
of the report required by subsection (a) and is authorized
to change or update as necessary the requirements of this
Section to carry out the purposes of this Act and maintain
consistency with NMLS reporting.
(c) The information required by paragraph (4) of
subsection (b) shall only be included in a report of condition
submitted within 45 days of the end of the fourth calendar
quarter.
Section 7-2. Audited financials.
(a) Each licensee shall, within 90 days after the end of
each fiscal year, or within any extended time as the Secretary
may prescribe, file with the Secretary:
(1) an audited financial statement of the licensee for
the fiscal year prepared in accordance with United States
generally accepted accounting principles; and
(2) any other information as the Secretary may
reasonably require.
(b) The audited financial statements shall be prepared by
an independent certified public accountant or independent
public accountant who is satisfactory to the Secretary;
(c) The audited financial statements shall include or be
accompanied by a certificate of opinion of the independent
certified public accountant or independent public accountant
that is satisfactory in form and content to the Secretary. If

SB3412 Engrossed - 47 - LRB103 35570 RPS 65642 b
the opinion or certificate is qualified, the licensee must
make a separate report to the Secretary notifying them of the
qualified opinion or certification. If the certificate or
opinion is qualified, the Secretary may order the licensee to
take any action as the Secretary may find necessary to enable
the certified public accountant or independent public
accountant to remove the qualification.
Section 7-3. Authorized delegate reporting.
(a) Each licensee shall submit a report of authorized
delegates within 45 days of the end of the calendar quarter.
The Secretary is authorized and encouraged to use NMLS for the
submission of the report required by this Section provided
that such functionality is consistent with the requirements of
this Section.
(b) The authorized delegate report shall include, at a
minimum, each authorized delegate's:
(1) company legal name;
(2) taxpayer employer identification number;
(3) principal provider identifier;
(4) physical address;
(5) mailing address;
(6) any business conducted in other states;
(7) any fictitious or trade name;
(8) contact person name, phone number, and email;
(9) start date as licensee's authorized delegate;

SB3412 Engrossed - 48 - LRB103 35570 RPS 65642 b
(10) end date acting as licensee's authorized
delegate, if applicable;
(11) court orders pursuant to Section 8-3; and
(12) Any other information the Secretary reasonably
requires with respect to the authorized delegate.
Section 7-4. Reports of certain events.
(a) A licensee shall file a report with the Secretary
within one business day after the licensee has reason to know
of the occurrence of any of the following events:
(1) the filing of a petition by or against the
licensee under the United States Bankruptcy Code, 11
U.S.C. Sections 101 through 110, as amended or recodified
from time to time, for bankruptcy or reorganization;
(2) the filing of a petition by or against the
licensee for receivership, the commencement of any other
judicial or administrative proceeding for its dissolution
or reorganization, or the making of a general assignment
for the benefit of its creditors; or
(3) the commencement of a proceeding to revoke or
suspend its license in a state or country in which the
licensee engages in business or is licensed.
(b) A licensee shall file a report with the Secretary
within 3 business days after the licensee has reason to know of
the occurrence of any of the following events:
(1) a charge or conviction of the licensee or of a key

SB3412 Engrossed - 49 - LRB103 35570 RPS 65642 b
individual or person in control of the licensee for a
felony; or
(2) a charge or conviction of an authorized delegate
for a felony.
Section 7-5. Bank Secrecy Act reports. A licensee and an
authorized delegate shall file all reports required by federal
currency reporting, record keeping, and suspicious activity
reporting requirements as set forth in the Bank Secrecy Act
and other federal and State laws pertaining to money
laundering. The timely filing of a complete and accurate
report required under this Section with the appropriate
federal agency is deemed compliant with the requirements of
this Section.
Section 7-6. Records.
(a) Licensee shall maintain the following records, for
determining its compliance with this Act, for at least 3
years:
(1) a record of each outstanding money transmission
obligation sold;
(2) a general ledger posted at least monthly
containing all asset, liability, capital, income, and
expense accounts;
(3) bank statements and bank reconciliation records;
(4) records of outstanding money transmission

SB3412 Engrossed - 50 - LRB103 35570 RPS 65642 b
obligations;
(5) records of each outstanding money transmission
obligation paid within the 3-year period;
(6) a list of the last known names and addresses of all
of the licensee's authorized delegates; and
(7) any other records the Secretary reasonably
requires by rule.
(b) The records specified in subsection (a) may be
maintained in electronic or other retrievable form of record.
(c) The records specified in subsection (a) shall be
maintained at the licensee's principal place of business or,
with notice to the Secretary, at another location designated
by the licensee. If the records are maintained outside this
State, the licensee shall make them accessible to the
Secretary on 7 business-days' notice.
(d) All records maintained by the licensee as required in
subsections (a) through (c) are open to inspection by the
Secretary pursuant to subsection (a) of Section 4-3.
(e) A licensee shall require and its authorized sellers
must preserve for at least 3 years all documents relating to
money transmission activities, unless the data embodied in
those documents has been transmitted for recordation by the
licensee.
ARTICLE VIII. Authorized Delegates

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Section 8-1. Relationship Between licensee and authorized
delegate.
(a) As used in this Section, "remit" means to make direct
payments of money to a licensee or its representative
authorized to receive money or to deposit money in a bank in an
account specified by the licensee.
(b) Before a licensee is authorized to conduct business
through an authorized delegate or allows a person to act as the
licensee's authorized delegate, the licensee must:
(1) adopt, and update as necessary, written policies
and procedures reasonably designed to ensure that the
licensee's authorized delegates comply with applicable
State and federal law;
(2) enter into a written contract that complies with
subsection (d); and
(3) conduct a reasonable risk-based background
investigation sufficient for the licensee to determine
whether the authorized delegate has complied and will
likely comply with applicable state and federal law.
(c) An authorized delegate must operate in full compliance
with this Act.
(d) The written contract required by subsection (b) must
be signed by the licensee and the authorized delegate and, at a
minimum, must:
(1) expressly appoint the person signing the contract
as the licensee's authorized delegate with the authority

SB3412 Engrossed - 52 - LRB103 35570 RPS 65642 b
to conduct money transmission on behalf of the licensee;
(2) set forth the nature and scope of the relationship
between the licensee and the authorized delegate and the
respective rights and responsibilities of the parties;
(3) require the authorized delegate to agree to fully
comply with all applicable State and federal laws, rules,
and regulations pertaining to money transmission,
including this Act and regulations implementing this Act,
relevant provisions of the Bank Secrecy Act, and the USA
PATRIOT ACT;
(4) require the authorized delegate to remit and
handle money and monetary value in accordance with the
terms of the contract between the licensee and the
authorized delegate;
(5) impose a trust on money and monetary value net of
fees received for money transmission for the benefit of
the licensee;
(6) require the authorized delegate to prepare and
maintain records as required by this Act or regulations
implementing this Act, or as reasonably requested by the
Secretary;
(7) acknowledge that the authorized delegate consents
to examination or investigation by the Secretary;
(8) state that the licensee is subject to regulation
by the Secretary and that, as part of that regulation, the
Secretary may suspend or revoke an authorized delegate

SB3412 Engrossed - 53 - LRB103 35570 RPS 65642 b
designation or require the licensee to terminate an
authorized delegate designation; and
(9) acknowledge receipt of the written policies and
procedures required under paragraph (1) of subsection (b).
(e) If the licensee's license is suspended, revoked,
surrendered, or expired, the licensee must, within 5 business
days, provide documentation to the Secretary that the licensee
has notified all applicable authorized delegates of the
licensee whose names are in a record filed with the Secretary
of the suspension, revocation, surrender, or expiration of a
license. Upon suspension, revocation, surrender, or expiration
of a license, applicable authorized delegates shall
immediately cease to provide money transmission as an
authorized delegate of the licensee.
(f) An authorized delegate of a licensee holds in trust
for the benefit of the licensee all money net of fees received
from money transmission. If any authorized delegate commingles
any funds received from money transmission with any other
funds or property owned or controlled by the authorized
delegate, all commingled funds and other property shall be
considered held in trust in favor of the licensee in an amount
equal to the amount of money net of fees received from money
transmission.
(g) An authorized delegate may not use a subdelegate to
conduct money transmission on behalf of a licensee.

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Section 8-2. Unauthorized activities. A person shall not
engage in the business of money transmission on behalf of a
person not licensed under this Act or not exempt pursuant to
Article III of this Act. A person that engages in such activity
provides money transmission to the same extent as if the
person were a licensee, and shall be jointly and severally
liable with the unlicensed or nonexempt person.
Section 8-3. Prohibited authorized delegates.
(a) The circuit court in an action brought by a licensee
shall have jurisdiction to grant appropriate equitable or
legal relief, including, without limitation, prohibiting the
authorized delegate from directly or indirectly acting as an
authorized delegate for any licensee in this State and the
payment of restitution, damages or other monetary relief, if
the circuit court finds that an authorized delegate failed to
remit money in accordance with the written contract required
by subsection (b) of Section 8-1 or as otherwise directed by
the licensee or required by law.
(b) If the circuit court issues an order prohibiting a
person from acting as an authorized delegate for any licensee
pursuant to subsection (a), the licensee that brought the
action shall report the order to the Secretary within 30 days
and shall report the order through NMLS within 90 days.
(c) An authorized delegate who holds money in trust for
the benefit of a licensee and knowingly fails to remit more

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than $1,000 of such money is guilty of a Class 3 felony.
(d) An authorized delegate who holds money in trust for
the benefit of a licensee and knowingly fails to remit no more
than $999 of such money is guilty of a Class A misdemeanor.
ARTICLE IX. Timely Transmission, Refunds, and Disclosures
Section 9-1. Timely transmission.
(a) Every licensee shall forward all money received for
transmission in accordance with the terms of the agreement
between the licensee and the sender, which shall be no more
than 3 business days after the receipt of the money to be
transmitted, unless the licensee has a reasonable belief or a
reasonable basis to believe that the sender may be a victim of
fraud or that a crime or violation of law, rule, or regulation
has occurred, is occurring, or may occur.
(b) If a licensee fails to forward money received for
transmission in accordance with this Section, the licensee
must respond to inquiries by the sender with the reason for the
failure unless providing a response would violate a State or
federal law, rule, or regulation.
Section 9-2. Refunds.
(a) This Section does not apply to:
(1) money received for transmission subject to the
federal Remittance Rule, 12 CFR Part 1005, Subpart B, as

SB3412 Engrossed - 56 - LRB103 35570 RPS 65642 b
amended or recodified from time to time; or
(2) money received for transmission pursuant to a
written agreement between the licensee and payee to
process payments for goods or services provided by the
payee.
(b) Every licensee shall refund to the sender within 10
days after receipt of the sender's written request for a
refund of any and all money received for transmission unless
any of the following occurs:
(1) the money has been forwarded within 10 days after
the date on which the money was received for transmission;
(2) instructions have been given committing an
equivalent amount of money to the person designated by the
sender within 10 days of the date on which the money was
received for transmission;
(3) the agreement between the licensee and the sender
instructs the licensee to forward the money at a time that
is beyond 10 days after the date on which the money was
received for transmission; if funds have not yet been
forwarded in accordance with the terms of the agreement
between the licensee and the sender, the licensee shall
issue a refund in accordance with the other provisions of
this Section; or
(4) the refund is requested for a transaction that the
licensee has not completed based on a reasonable belief or
a reasonable basis to believe that a crime or violation of

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law, rule, or regulation has occurred, is occurring, or
may occur.
(5) the refund request does not enable the licensee
to:
(A) identify the sender's name and address or
telephone number; or
(B) identify the particular transaction to be
refunded if the sender has multiple transactions
outstanding.
Section 9-3. Receipts.
(a) As used in this Section, "receipt" means a paper
receipt, electronic record, or other written confirmation. For
a transaction conducted in person, the receipt may be provided
electronically if the sender requests or agrees to receive an
electronic receipt. For a transaction conducted electronically
or by phone, a receipt may be provided electronically. All
electronic receipts shall be provided in a retainable form.
(b) This Section does not apply to:
(1) Money received for transmission subject to the
federal Remittance Rule, 12 CFR Part 1005, Subpart B, as
amended or recodified from time to time;
(2) money received for transmission pursuant to a
written agreement between the licensee and payee to
process payments for goods or services provided by the
payee;

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(3) payroll processing services; or
(4) as authorized in the Secretary's sole discretion.
(c) Every licensee or its authorized delegate shall
provide the sender a receipt for money received for
transmission.
(1) The receipt shall contain the following
information, as applicable:
(A) the name of the sender;
(B) the name of the designated recipient;
(C) the date of the transaction;
(D) the unique transaction or identification
number;
(E) the name of the licensee, NMLS Unique ID, the
licensee's business address, and the licensee's
customer service telephone number;
(F) the amount of the transaction in United States
dollars;
(G) any fee charged by the licensee to the sender
for the transaction; and
(H) any taxes collected by the licensee from the
sender for the transaction.
(2) The receipt required by this Section shall be in
English and in the language principally used by the
licensee or authorized delegate to advertise, solicit, or
negotiate, either orally or in writing, for a transaction
conducted in person, electronically or by phone, if other

SB3412 Engrossed - 59 - LRB103 35570 RPS 65642 b
than English.
Section 9-4. Notice. Every licensee or authorized delegate
shall include on a receipt or disclose on the licensee's
website or mobile application the name and phone number of the
Department and a statement that the licensee's customers can
contact the Department with questions or complaints about the
licensee's money transmission services.
Section 9-5. Disclosures for payroll processing services.
(a) A licensee that provides payroll processing services
shall:
(1) issue reports to clients detailing client payroll
obligations in advance of the payroll funds being deducted
from an account; and
(2) make worker paystubs or an equivalent statement
available to workers.
(b) Subsection (a) does not apply to a licensee providing
payroll processing services where the licensee's client
designates the intended recipients to the licensee and is
responsible for providing the disclosures required by
paragraph (2) of subsection (a).
ARTICLE X. Prudential Standards
Section 10-1. Net worth.

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(a) A licensee under this Act shall maintain at all times a
tangible net worth of the greater of $100,000 or 3% of total
assets for the first $100,000,000, 2% of additional assets for
$100,000,000 to $1,000,000,000, and 0.5% of additional assets
for over $1,000,000,000.
(b) Tangible net worth must be demonstrated at initial
application by the applicant's most recent audited or
unaudited financial statements pursuant to paragraph (6) of
subsection (b) of Section 5-3.
(c) Notwithstanding the provisions of this Section, the
Secretary shall have discretionary authority to exempt, in
part or in whole, from the requirements of this Section any
applicant or licensee.
Section 10-2. Surety bond.
(a) An applicant for a money transmission license must
provide, and a licensee at all times must maintain, security
consisting of a surety bond in a form satisfactory to the
Secretary. The bond shall run to the State of Illinois for the
benefit of any claimant against the applicant or licensee with
respect to the receipt, handling, transmission, and payment of
money by the licensee or authorized delegate in connection
with the licensed operations. A claimant damaged by a breach
of the conditions of a bond shall have a right to action upon
the bond for damages suffered thereby and may bring suit
directly on the bond, or the Secretary may bring suit on behalf

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of the claimant.
(b) The amount of the required security shall be the
greater of $100,000 or an amount equal to 100% of the
licensee's average daily money transmission liability in this
State calculated for the most recently completed quarter, up
to a maximum of $2,000,000;
(c) A licensee that maintains a bond in the maximum amount
provided for in subsection (b) is not required to calculate
its average daily money transmission liability in this State
for purposes of this Section.
(d) A licensee may exceed the maximum required bond amount
pursuant to paragraph (5) of subsection (a) of Section 10-4.
(e) After receiving a license, the licensee must maintain
the required bond plus net worth until 3 years after it ceases
to do business in this State unless all outstanding payment
instruments are eliminated or the provisions under the Revised
Uniform Unclaimed Property Act have become operative and are
adhered to by the licensee. Notwithstanding this provision,
however, the amount required to be maintained may be reduced
to the extent that the amount of the licensee's payment
instruments outstanding in this State are reduced.
(f) Instead of a paper surety bond, each licensee and
applicant shall file and maintain an electronic surety bond in
NMLS or in a manner otherwise authorized by the Secretary.
Section 10-3. Maintenance of permissible investments.

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(a) A licensee shall maintain at all times permissible
investments that have a market value computed in accordance
with United States generally accepted accounting principles of
not less than the aggregate amount of all of its outstanding
money transmission obligations.
(b) Except for permissible investments enumerated in
subsection (a) of Section 10-4, the Secretary, with respect to
any licensee, may by rule or order limit the extent to which a
specific investment maintained by a licensee within a class of
permissible investments may be considered a permissible
investment, if the specific investment represents undue risk
to customers, not reflected in the market value of
investments.
(c) Permissible investments, even if commingled with other
assets of the licensee, are held in trust for the benefit of
the purchasers and holders of the licensee's outstanding money
transmission obligations in the event of insolvency, the
filing of a petition by or against the licensee under the
United States Bankruptcy Code, 11 U.S.C. Sections 101 through
110, as amended or recodified from time to time, for
bankruptcy or reorganization, the filing of a petition by or
against the licensee for receivership, the commencement of any
other judicial or administrative proceeding for its
dissolution or reorganization, or in the event of an action by
a creditor against the licensee who is not a beneficiary of
this statutory trust. No permissible investments impressed

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with a trust pursuant to this subsection shall be subject to
attachment, levy of execution, or sequestration by order of
any court, except for a beneficiary of this statutory trust.
(d) Upon the establishment of a statutory trust in
accordance with subsection (c) or when any funds are drawn on a
letter of credit pursuant to paragraph (4) of subsection (a)
of Section 10-4, the Secretary shall notify the applicable
regulator of each state in which the licensee is licensed to
engage in money transmission, if any, of the establishment of
the trust or the funds drawn on the letter of credit, as
applicable. Notice shall be deemed satisfied if performed
pursuant to a multistate agreement or through NMLS. Funds
drawn on a letter of credit, and any other permissible
investments held in trust for the benefit of the purchasers
and holders of the licensee's outstanding money transmission
obligations, are deemed held in trust for the benefit of such
purchasers and holders on a pro rata and equitable basis in
accordance with statutes pursuant to which permissible
investments are required to be held in this State, and other
states, as applicable. Any statutory trust established
hereunder shall be terminated upon extinguishment of all of
the licensee's outstanding money transmission obligations.
(e) The Secretary by rule or by order may allow other types
of investments that the Secretary determines are of sufficient
liquidity and quality to be a permissible investment. The
Secretary is authorized to participate in efforts with other

SB3412 Engrossed - 64 - LRB103 35570 RPS 65642 b
state regulators to determine that other types of investments
are of sufficient liquidity and quality to be a permissible
investment.
Section 10-4. Types of permissible investments.
(a) The following investments are permissible under
Section 10-3:
(1) Cash, including demand deposits, savings deposits,
and funds in such accounts held for the benefit of the
licensee's customers in an insured depository financial
institution, and cash equivalents including ACH items in
transit to the licensee and ACH items or international
wires in transit to a payee, cash in transit via armored
car, cash in smart safes, cash in licensee-owned
locations, debit card or credit card-funded transmission
receivables owed by any bank, or money market mutual funds
rated "AAA" by S&P, or the equivalent from any eligible
rating service;
(2) certificates of deposit or senior debt obligations
of an insured depository institution, as defined in
Section 3 of the Federal Deposit Insurance Act, 12 U.S.C.
1813, as amended or recodified from time to time, or as
defined under the federal Credit Union Act, 12 U.S.C.
1781, as amended or recodified from time to time;
(3) an obligation of the United States or a
commission, agency, or instrumentality thereof; an

SB3412 Engrossed - 65 - LRB103 35570 RPS 65642 b
obligation that is guaranteed fully as to principal and
interest by the United States; or an obligation of a State
or a governmental subdivision, agency, or instrumentality
thereof;
(4) the full drawable amount of an irrevocable standby
letter of credit for which the stated beneficiary is the
Secretary that stipulates that the beneficiary need only
draw a sight draft under the letter of credit and present
it to obtain funds up to the letter of credit amount within
7 days of presentation of the items required by
subparagraph (C) of this paragraph.
(A) The letter of credit must:
(i) be issued by an insured depository
financial institution, a foreign bank that is
authorized under federal law to maintain a federal
agency or federal branch office in a State or
states, or a foreign bank that is authorized under
State law to maintain a branch in a State that (I)
bears an eligible rating or whose parent company
bears an eligible rating; and (II) is regulated,
supervised, and examined by United States federal
or State authorities having regulatory authority
over banks, credit unions, and trust companies;
(ii) be irrevocable, unconditional, and
indicate that it is not subject to any condition
or qualifications outside of the letter of credit;

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(iii) not contain reference to any other
agreements, documents, or entities, or otherwise
provide for any security interest in the licensee;
and
(iv) contain an issue date and expiration date
and expressly provide for automatic extension,
without a written amendment, for an additional
period of one year from the present or each future
expiration date, unless the issuer of the letter
of credit notifies the Secretary in writing by
certified or registered mail or courier mail or
other receipted means, at least 60 days before any
expiration date, that the irrevocable letter of
credit will not be extended.
(B) In the event of any notice of expiration or
nonextension of a letter of credit issued under
subdivision (iv) of subparagraph (A), the licensee
shall be required to demonstrate to the satisfaction
of the Secretary, 15 days before expiration, that the
licensee maintains and will maintain permissible
investments in accordance with subsection (a) of
Section 10-3 upon the expiration of the letter of
credit. If the licensee is not able to do so, the
Secretary may draw on the letter of credit in an amount
up to the amount necessary to meet the licensee's
requirements to maintain permissible investments in

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accordance with subsection (a) of Section 10-3. Any
such draw shall be offset against the licensee's
outstanding money transmission obligations. The drawn
funds shall be held in trust by the Secretary or the
Secretary's designated agent, to the extent authorized
by law, as agent for the benefit of the purchasers and
holders of the licensee's outstanding money
transmission obligations.
(C) The letter of credit shall provide that the
issuer of the letter of credit will honor, at sight, a
presentation made by the beneficiary to the issuer of
the following documents on or before the expiration
date of the letter of credit:
(i) the original letter of credit (including
any amendments); and
(ii) a written statement from the beneficiary
stating that any of the following events have
occurred:
(I) the filing of a petition by or against
the licensee under the United States
Bankruptcy Code, 11 U.S.C. 101 through 110, as
amended or recodified from time to time, for
bankruptcy or reorganization;
(II) the filing of a petition by or
against the licensee for receivership, or the
commencement of any other judicial or

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administrative proceeding for its dissolution
or reorganization;
(III) the seizure of assets of a licensee
by a Secretary pursuant to an emergency
order issued in accordance with applicable
law, on the basis of an action, violation,
or condition that has caused or is likely
to cause the insolvency of the licensee;
or
(IV) the beneficiary has received notice
of expiration or nonextension of a letter
of credit and the licensee failed to
demonstrate to the satisfaction of the
beneficiary that the licensee will
maintain permissible investments in
accordance with subsection (a) of Section
10-3 upon the expiration or nonextension
of the letter of credit.
(D) The Secretary may designate an agent to serve
on the Secretary's behalf as beneficiary to a letter
of credit so long as the agent and letter of credit
meet requirements established by the Secretary. The
Secretary's agent may serve as agent for multiple
licensing authorities for a single irrevocable letter
of credit if the proceeds of the drawable amount for
the purposes of this Section are assigned to the

SB3412 Engrossed - 69 - LRB103 35570 RPS 65642 b
Secretary.
(E) The Secretary is authorized and encouraged to
participate in multistate processes designed to
facilitate the issuance and administration of letters
of credit, including, but not limited to, services
provided by the NMLS and State Regulatory Registry,
LLC.
(5) 100% of the surety bond or deposit provided for
under Section 10-2 that exceeds the average daily money
transmission liability in this State.
(b) Unless permitted by the Secretary by rule or by order
to exceed the limit as set forth herein, the following
investments are permissible under Section 10-3 to the extent
specified:
(1) receivables that are payable to a licensee from
its authorized delegates in the ordinary course of
business that are less than 7 days old, up to 50% of the
aggregate value of the licensee's total permissible
investments;
(2) of the receivables permissible under paragraph (1)
of this subsection (b), receivables that are payable to a
licensee from a single authorized delegate in the ordinary
course of business may not exceed 10% of the aggregate
value of the licensee's total permissible investments.
(3) the following investments are permissible up to
20% per category and combined up to 50% of the aggregate

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value of the licensee's total permissible investments:
(A) a short-term, of up to 6 months, investment
bearing an eligible rating;
(B) commercial paper bearing an eligible rating;
(C) a bill, note, bond, or debenture bearing an
eligible rating;
(D) U.S. tri-party repurchase agreements
collateralized at 100% or more with U.S. government or
agency securities, municipal bonds, or other
securities bearing an eligible rating;
(E) money market mutual funds rated less than
"AAA" and equal to or higher than "A-" by S&P, or the
equivalent from any other eligible rating service; and
(F) a mutual fund or other investment fund
composed solely and exclusively of one or more
permissible investments listed in paragraphs (1)
through (3) of subsection (a).
(4) cash, including demand deposits, savings deposits,
and funds in such accounts held for the benefit of the
licensee's customers, at foreign depository institutions
are permissible up to 10% of the aggregate value of the
licensee's total permissible investments if the licensee
has received a satisfactory rating in its most recent
examination and the foreign depository institution:
(A) has an eligible rating;
(B) is registered under the Foreign Account Tax

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Compliance Act;
(C) is not located in any country subject to
sanctions from the Office of Foreign Asset Control;
and
(D) is not located in a high-risk or
non-cooperative jurisdiction as designated by the
Financial Action Task Force.
ARTICLE XI. Enforcement
Section 11-1. Prohibited acts and practices for licensees.
It is a violation of this Act for a licensee, or other person
subject to this Act to:
(1) directly or indirectly employ any scheme, device,
or artifice to defraud or mislead any person, including,
but not limited to, engaging in bait and switch
advertising or sales practices;
(2) directly or indirectly engage in any unfair or
deceptive act or practice toward any person, including,
but not limited to, any false or deceptive statement about
fees or other terms of a money transmission or currency
exchange;
(3) directly or indirectly obtain property by fraud or
misrepresentation;
(4) knowingly make, publish, or disseminate any false,
deceptive, or misleading information in the provision of

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money services;
(5) knowingly receive or take possession for personal
use of any property of any money services business, other
than in payment for services rendered, and with intent to
defraud, omit to make, or cause or direct to omit to make,
a full and true entry thereof in the books and accounts of
the business;
(6) make or concur in making any false entry, or omit
or concur in omitting any material entry, in the books or
accounts of the business;
(7) knowingly make or publish to the Director or the
Director's designee, or concur in making or publishing to
the Director or the Director's designee any written
report, exhibit, or statement of its affairs or pecuniary
condition containing any material statement which is
false, or omit or concur in omitting any statement
required by law to be contained therein;
(8) fail to make any report or statement lawfully
required by the Director or other public official.
(9) demonstrate by course of conduct, negligence or
incompetence in performing any act directly or indirectly
relating to licensed activity;
(10) engage in unsafe and unsound practices directly
or indirectly relating to licensed activity; or
(11) fail to comply with the provisions of this Act or
with any lawful order or agreement, rule, or regulations

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made or issued under the provisions of this Act.
Section 11-2. Suspension and revocation of licenses.
(a) The Secretary may issue an order to suspend or revoke a
license of a licensee or order a licensee to revoke the
designation of an authorized delegate if:
(1) the licensee has failed to comply with any
provision of this Act, or any order, decision, finding,
rule, regulation or direction of the Secretary lawfully
made pursuant to the authority of this Act;
(2) the licensee does not cooperate with an
examination or investigation by the Secretary;
(3) the licensee engages in fraud, intentional
misrepresentation, or gross negligence;
(4) an authorized delegate is convicted of a violation
of a State or federal anti-money laundering statute, or
violates a rule adopted or an order issued under this Act,
as a result of the licensee's willful misconduct or
grossly negligent inattention to its legal obligations;
(5) the competence, experience, character, or general
fitness of the licensee, authorized delegate, person in
control of a licensee, key individual, or responsible
person of the authorized delegate indicates that it is not
in the public interest to permit the person to provide
money transmission;
(6) the licensee engages in an unsafe or unsound

SB3412 Engrossed - 74 - LRB103 35570 RPS 65642 b
practice;
(7) the licensee is insolvent, suspends payment of its
obligations, or makes a general assignment for the benefit
of its creditors;
(8) the licensee does not remove an authorized
delegate after the Secretary issues and serves upon the
licensee a final order including a finding that the
authorized delegate has violated this Act;
(9) a fact or condition exists that, if it had existed
or had been known at the time the licensee applied for its
license, would have been ground for denying the
application;
(10) the licensee knowingly fails to make a report
required by this Act;
(11) the licensee fails to pay a judgment entered in
favor of a claimant, plaintiff, or credit in an action
arising out of the licensee's business regulated under
this Act within 30 days after the judgment becomes final
or within 30 days after the expiration or termination of a
stay of execution;
(12) the licensee has been convicted under the laws of
this State, another state, or the United States of a
felony or of a crime involving breach of trust or
dishonesty; or
(13) the licensee violates the Illinois Uniform
Revised Unclaimed Property Act.

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(b) In determining whether a licensee is engaging in an
unsafe or unsound practice, the Secretary may consider the
size and condition of the licensee's money transmission, the
magnitude of the loss, the gravity of the violation of this
Act, and the previous conduct of the person involved.
(c) In every case in which a license is suspended or
revoked, the Secretary shall issue a formal written notice of
the suspension or revocation, setting forth the specific
reasons for the suspension or revocation of the license and
serve the licensee, either personally or by certified mail.
Service by certified mail shall be deemed completed when the
notice is deposited into U.S. Mail and the order of suspension
or revocation of a license shall take effect upon service of
the order.
(d) A licensee whose license has been suspended or revoked
by the Secretary under this Section may request a hearing, in
writing, within 10 days after the date of service. If a
licensee submits a timely request for a hearing, the order
shall be stayed until a final administrative order is entered
and the Secretary shall schedule a hearing unless otherwise
agreed to by the parties.
(e) The Secretary shall conduct hearings pursuant to this
Section and in accordance with 38 Ill. Adm. Code 100, as
amended or recodified from time to time.
Section 11-3. Suspension and revocation of authorized

SB3412 Engrossed - 76 - LRB103 35570 RPS 65642 b
delegates.
(a) The Secretary may issue an order to suspend or revoke
the designation of an authorized delegate, if the Secretary
finds that:
(1) the authorized delegate has failed to comply with
any provision of this Act or any order, decision, finding,
rule, regulation, or direction of the Secretary lawfully
made pursuant to the authority of this Act;
(2) the authorized delegate does not cooperate with an
examination or investigation by the Secretary;
(3) the authorized delegate engages in fraud,
intentional misrepresentation, or gross negligence;
(4) the authorized delegate is convicted of a
violation of a State or federal anti-money laundering
statute;
(5) the competence, experience, character, or general
fitness of the authorized delegate or a person in control
of the authorized delegate indicates that it is not in the
public interest to permit the authorized delegate to
provide money transmission; or
(6) the authorized delegate engages in an unsafe or
unsound practice.
(b) In determining whether an authorized delegate is
engaging in an unsafe or unsound practice, the Secretary may
consider the size and condition of the authorized delegate's
provision of money transmission, the magnitude of the loss,

SB3412 Engrossed - 77 - LRB103 35570 RPS 65642 b
the gravity of the violation of this Act or a rule adopted or
order issued under this Act, and the previous conduct of the
authorized delegate.
(c) In every case in which the designation of an
authorized delegate is suspended or revoked, the Secretary
shall issue a formal written notice of the suspension or
revocation, setting forth the specific reasons for the
suspension or revocation of the designation and serve the
authorized delegate, either personally or by certified mail.
Service by certified mail shall be deemed completed when the
notice is deposited into U.S. Mail and the order of suspension
or revocation of a license shall take effect upon service of
the order.
(d) An authorized delegate whose designation has been
suspended or revoked by the Secretary under this Section may
request a hearing, in writing, within 10 days after the date of
service. If an authorized delegate submits a timely request
for a hearing, the order shall be stayed until a final
administrative order is entered and the Secretary shall
schedule a hearing unless otherwise agreed to by the parties.
(e) The Secretary shall conduct hearings pursuant to this
Section and in accordance with 38 Ill. Adm. Code 100, as
amended or recodified from time to time.
Section 11-4. Orders to cease and desist and civil
penalties.

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(a) If the Secretary determines that a licensee, an
authorized delegate, or any other person has engaged or is
engaged in practices contrary to this Act, the rules adopted
under this Act, or an order issued under this Act, the
Secretary may issue an order requiring the licensee or
authorized delegate to cease and desist from the violation.
The order becomes effective upon service of it upon the
licensee or authorized delegate.
(b) The Secretary may issue an order against a licensee to
cease and desist from providing money transmission through an
authorized delegate that is the subject of a separate order by
the Secretary.
(c) The Secretary may, in addition to or without the
issuance of a cease and desist order, assess a penalty up to
$1,000 against a licensee or other person for each violation
of this Act, the rules adopted under this Act, or an order
issued under this Act as set forth in Section 11-6. The
issuance of an order under this Section shall not be a
prerequisite to the taking of any action by the Secretary
under this or any other Section of this Act.
(d) The Secretary shall issue a formal written notice of
the cease and desist order, setting forth the specific reasons
for the order and serve the licensee or the authorized
delegate, either personally or by certified mail. Service by
certified mail shall be deemed completed when the notice is
deposited in the U.S. Mail.

SB3412 Engrossed - 79 - LRB103 35570 RPS 65642 b
Section 11-5. Consent orders; settlements.
(a) The Secretary may enter into a consent order or
settlement agreement at any time with a person to resolve a
matter arising under this Act, the rules adopted under this
Act, or order issued under this Act. A consent order or
settlement agreement must be signed by the person to whom it is
issued or by the person's authorized representative, and must
indicate agreement with the terms contained in the order. A
consent order or settlement agreement may provide that it does
not constitute an admission by a person that this Act or a rule
adopted or an order issued under this Act has been violated.
(b) Notwithstanding the issuance of a consent order or
settlement agreement, the Secretary may seek civil or criminal
penalties or compromise civil penalties concerning matter
encompassed by the consent order unless the consent order by
its terms expressly precludes the Secretary from doing so.
(c) The Secretary is authorized to compromise, settle, and
collect civil penalties and administrative penalties, as set
by rule, with any person for violations of this Act or of any
rule or order issued or adopted under this Act.
Section 11-6. Criminal penalties. A person who engages in
conduct requiring a license under this Act and fails to obtain
a license from the Secretary or knowingly makes a false
statement, misrepresentation, or false certification in an

SB3412 Engrossed - 80 - LRB103 35570 RPS 65642 b
application, financial statement, account record, report, or
other document filed or required to be maintained or filed
under this Act or who knowingly makes a false entry or omits a
material entry in a document is guilty of a Class 3 felony.
Section 11-7. Civil penalties. The Secretary may assess a
civil penalty against a person that violates this Act, a rule
adopted or an order issued under this Act in an amount not to
exceed $1,000 per day for each day the violation is
outstanding, plus this State's costs and expenses for the
investigation and prosecution of the matter, including
reasonable attorney's fees. Each transaction in violation of
this Act or the rules adopted under this Act or issued under
this Act, for each day that a violation continues shall be a
separate offense.
Section 11-8. Unlicensed persons. Any person who, without
the required license, engages in conduct requiring a license
under this Act shall be liable to the Department in an amount
equal to the greater of (1) $5,000 or (2) an amount of money
accepted for transmission plus an amount equal to 3 times the
amount accepted for transmission. The Department shall cause
any funds so recovered to be deposited into the TOMA Consumer
Protection Fund.
Section 11-9. Judicial review. All final administrative

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decisions of the Department under this Act are subject to
judicial review under the Administrative Review Law and any
rules adopted under the Administrative Review Law.
ARTICLE XII. Miscellaneous Provisions
Section 12-1. Uniformity of application and construction.
In applying and construing this Act, consideration must be
given to the need to promote uniformity of the law with respect
to its subject matter among states that enact it.
Section 12-2. Severability. The provisions of this Act are
severable under Section 1.31 of the Statute on Statutes.
Section 12-3. Transition period.
(a) Licensees pursuant to the Transmitters of Money Act in
good standing on the effective date of this Act shall be
licensed under this Act upon the filing of and approval by the
Department of a renewal application in accordance with Section
5-6 and may continue to operate lawfully as a licensee in this
State unless and until their next renewal application after
the effective date is denied by the Department. An authorized
seller of licensee pursuant to the Transmitters of Money Act
in good standing as of the effective date shall become an
authorized delegate of a licensee upon the filing of and
approval by the Department of a renewal application by the

SB3412 Engrossed - 82 - LRB103 35570 RPS 65642 b
licensee in accordance with Section 5-6 and may continue to
operate lawfully in this State as an authorized delegate of a
licensee unless and until the licensee's next renewal
application after the effective date is denied by the
Department.
(b) A person licensed in this State to engage in the
business of money transmission and their authorized sellers
shall not be subject to the provisions of this Act, to the
extent that they conflict with the Transmitters of Money Act
or establish new requirements not imposed under the
Transmitters of Money Act, until the licensee renews its
current license or for 6 months after the effective date of
this Act, whichever is later, so long as they comply with the
Transmitters of Money Act and its implementing rules.
(c) Notwithstanding subsection (a), a licensee shall only
be required to amend its authorized delegate contracts for
contracts entered into or amended after the effective date of
this Act or the completion of any transition period
contemplated under subsection (b). Nothing herein shall be
construed as limiting an authorized delegate's obligations to
operate in full compliance with this Act as required by
subsection (c) of Section 8-1 after the time period set forth
in subsection (b).
(d) A person not required to be licensed pursuant to the
Transmitters of Money Act shall not be required to be licensed
and comply with this Act until January 1, 2026, unless the

SB3412 Engrossed - 83 - LRB103 35570 RPS 65642 b
Secretary extends the time by rule.
(e) A provider of payroll processing services that was not
licensed pursuant to the Transmitters of Money Act on the
effective date of this Act and transmitted no more than
$10,000,000 in calendar year 2023 shall not be required to be
licensed and comply with this Act until October 1, 2024. A
provider of payroll processing services that was not licensed
pursuant to the Transmitters of Money Act on the effective
date of this Act and transmitted no more than $10,000,000 in
calendar year 2023 shall not be penalized for providing such
services before the effective date of this Act if the provider
submits a completed application for licensure prior to October
1, 2024.
(f) Except as otherwise stated, this Act supersedes the
Transmitters of Money Act.
Section 12-4. TOMA Consumer Protection Fund.
(a) The special income-earning fund in the State treasury
is known as the TOMA Consumer Protection Fund.
(b) All moneys paid into the fund together with all
accumulated undistributed income thereon shall be held as a
special fund in the State treasury. The fund shall be used
solely for the purpose of providing restitution to consumers
who have suffered monetary loss arising out of a transaction
regulated by this Act.
(c) The fund shall be applied only to restitution when

SB3412 Engrossed - 84 - LRB103 35570 RPS 65642 b
restitution has been ordered by the Secretary. Restitution
shall not exceed the amount actually lost by the consumer. The
fund shall not be used for the payment of any attorney or other
fees.
(d) The fund shall be subrogated to the amount of the
restitution, and the Secretary shall request the Attorney
General to engage in all reasonable collection steps to
collect restitution from the party responsible for the loss
and reimburse the fund.
(e) Notwithstanding any other provisions of this Section,
the payment of restitution from the fund shall be a matter of
grace and not of right, and no consumer shall have any vested
rights in the fund as a beneficiary or otherwise. Before
seeking restitution from the fund, the consumer or beneficiary
seeking payment of restitution shall apply for restitution on
a form provided by the Secretary. The form shall include any
information the Secretary may reasonably require in order to
determine that restitution is appropriate.
(f) Notwithstanding any other provision of this Section,
moneys in the TOMA Consumer Protection Fund may be transferred
to the Professions Indirect Cost Fund, as authorized under
Section 2105-300 of the Department of Professional Regulation
Law of the Civil Administrative Code of Illinois.
Article 900. Amendatory provisions

SB3412 Engrossed - 85 - LRB103 35570 RPS 65642 b
Section 900-5. The Freedom of Information Act is amended
by changing Section 7.5 as follows:
(5 ILCS 140/7.5)
(Text of Section before amendment by P.A. 103-472)
Sec. 7.5. Statutory exemptions. To the extent provided for
by the statutes referenced below, the following shall be
exempt from inspection and copying:
(a) All information determined to be confidential
under Section 4002 of the Technology Advancement and
Development Act.
(b) Library circulation and order records identifying
library users with specific materials under the Library
Records Confidentiality Act.
(c) Applications, related documents, and medical
records received by the Experimental Organ Transplantation
Procedures Board and any and all documents or other
records prepared by the Experimental Organ Transplantation
Procedures Board or its staff relating to applications it
has received.
(d) Information and records held by the Department of
Public Health and its authorized representatives relating
to known or suspected cases of sexually transmissible
disease or any information the disclosure of which is
restricted under the Illinois Sexually Transmissible
Disease Control Act.

SB3412 Engrossed - 86 - LRB103 35570 RPS 65642 b
(e) Information the disclosure of which is exempted
under Section 30 of the Radon Industry Licensing Act.
(f) Firm performance evaluations under Section 55 of
the Architectural, Engineering, and Land Surveying
Qualifications Based Selection Act.
(g) Information the disclosure of which is restricted
and exempted under Section 50 of the Illinois Prepaid
Tuition Act.
(h) Information the disclosure of which is exempted
under the State Officials and Employees Ethics Act, and
records of any lawfully created State or local inspector
general's office that would be exempt if created or
obtained by an Executive Inspector General's office under
that Act.
(i) Information contained in a local emergency energy
plan submitted to a municipality in accordance with a
local emergency energy plan ordinance that is adopted
under Section 11-21.5-5 of the Illinois Municipal Code.
(j) Information and data concerning the distribution
of surcharge moneys collected and remitted by carriers
under the Emergency Telephone System Act.
(k) Law enforcement officer identification information
or driver identification information compiled by a law
enforcement agency or the Department of Transportation
under Section 11-212 of the Illinois Vehicle Code.
(l) Records and information provided to a residential

SB3412 Engrossed - 87 - LRB103 35570 RPS 65642 b
health care facility resident sexual assault and death
review team or the Executive Council under the Abuse
Prevention Review Team Act.
(m) Information provided to the predatory lending
database created pursuant to Article 3 of the Residential
Real Property Disclosure Act, except to the extent
authorized under that Article.
(n) Defense budgets and petitions for certification of
compensation and expenses for court appointed trial
counsel as provided under Sections 10 and 15 of the
Capital Crimes Litigation Act (repealed). This subsection
(n) shall apply until the conclusion of the trial of the
case, even if the prosecution chooses not to pursue the
death penalty prior to trial or sentencing.
(o) Information that is prohibited from being
disclosed under Section 4 of the Illinois Health and
Hazardous Substances Registry Act.
(p) Security portions of system safety program plans,
investigation reports, surveys, schedules, lists, data, or
information compiled, collected, or prepared by or for the
Department of Transportation under Sections 2705-300 and
2705-616 of the Department of Transportation Law of the
Civil Administrative Code of Illinois, the Regional
Transportation Authority under Section 2.11 of the
Regional Transportation Authority Act, or the St. Clair
County Transit District under the Bi-State Transit Safety

SB3412 Engrossed - 88 - LRB103 35570 RPS 65642 b
Act (repealed).
(q) Information prohibited from being disclosed by the
Personnel Record Review Act.
(r) Information prohibited from being disclosed by the
Illinois School Student Records Act.
(s) Information the disclosure of which is restricted
under Section 5-108 of the Public Utilities Act.
(t) (Blank).
(u) Records and information provided to an independent
team of experts under the Developmental Disability and
Mental Health Safety Act (also known as Brian's Law).
(v) Names and information of people who have applied
for or received Firearm Owner's Identification Cards under
the Firearm Owners Identification Card Act or applied for
or received a concealed carry license under the Firearm
Concealed Carry Act, unless otherwise authorized by the
Firearm Concealed Carry Act; and databases under the
Firearm Concealed Carry Act, records of the Concealed
Carry Licensing Review Board under the Firearm Concealed
Carry Act, and law enforcement agency objections under the
Firearm Concealed Carry Act.
(v-5) Records of the Firearm Owner's Identification
Card Review Board that are exempted from disclosure under
Section 10 of the Firearm Owners Identification Card Act.
(w) Personally identifiable information which is
exempted from disclosure under subsection (g) of Section

SB3412 Engrossed - 89 - LRB103 35570 RPS 65642 b
19.1 of the Toll Highway Act.
(x) Information which is exempted from disclosure
under Section 5-1014.3 of the Counties Code or Section
8-11-21 of the Illinois Municipal Code.
(y) Confidential information under the Adult
Protective Services Act and its predecessor enabling
statute, the Elder Abuse and Neglect Act, including
information about the identity and administrative finding
against any caregiver of a verified and substantiated
decision of abuse, neglect, or financial exploitation of
an eligible adult maintained in the Registry established
under Section 7.5 of the Adult Protective Services Act.
(z) Records and information provided to a fatality
review team or the Illinois Fatality Review Team Advisory
Council under Section 15 of the Adult Protective Services
Act.
(aa) Information which is exempted from disclosure
under Section 2.37 of the Wildlife Code.
(bb) Information which is or was prohibited from
disclosure by the Juvenile Court Act of 1987.
(cc) Recordings made under the Law Enforcement
Officer-Worn Body Camera Act, except to the extent
authorized under that Act.
(dd) Information that is prohibited from being
disclosed under Section 45 of the Condominium and Common
Interest Community Ombudsperson Act.

SB3412 Engrossed - 90 - LRB103 35570 RPS 65642 b
(ee) Information that is exempted from disclosure
under Section 30.1 of the Pharmacy Practice Act.
(ff) Information that is exempted from disclosure
under the Revised Uniform Unclaimed Property Act.
(gg) Information that is prohibited from being
disclosed under Section 7-603.5 of the Illinois Vehicle
Code.
(hh) Records that are exempt from disclosure under
Section 1A-16.7 of the Election Code.
(ii) Information which is exempted from disclosure
under Section 2505-800 of the Department of Revenue Law of
the Civil Administrative Code of Illinois.
(jj) Information and reports that are required to be
submitted to the Department of Labor by registering day
and temporary labor service agencies but are exempt from
disclosure under subsection (a-1) of Section 45 of the Day
and Temporary Labor Services Act.
(kk) Information prohibited from disclosure under the
Seizure and Forfeiture Reporting Act.
(ll) Information the disclosure of which is restricted
and exempted under Section 5-30.8 of the Illinois Public
Aid Code.
(mm) Records that are exempt from disclosure under
Section 4.2 of the Crime Victims Compensation Act.
(nn) Information that is exempt from disclosure under
Section 70 of the Higher Education Student Assistance Act.

SB3412 Engrossed - 91 - LRB103 35570 RPS 65642 b
(oo) Communications, notes, records, and reports
arising out of a peer support counseling session
prohibited from disclosure under the First Responders
Suicide Prevention Act.
(pp) Names and all identifying information relating to
an employee of an emergency services provider or law
enforcement agency under the First Responders Suicide
Prevention Act.
(qq) Information and records held by the Department of
Public Health and its authorized representatives collected
under the Reproductive Health Act.
(rr) Information that is exempt from disclosure under
the Cannabis Regulation and Tax Act.
(ss) Data reported by an employer to the Department of
Human Rights pursuant to Section 2-108 of the Illinois
Human Rights Act.
(tt) Recordings made under the Children's Advocacy
Center Act, except to the extent authorized under that
Act.
(uu) Information that is exempt from disclosure under
Section 50 of the Sexual Assault Evidence Submission Act.
(vv) Information that is exempt from disclosure under
subsections (f) and (j) of Section 5-36 of the Illinois
Public Aid Code.
(ww) Information that is exempt from disclosure under
Section 16.8 of the State Treasurer Act.

SB3412 Engrossed - 92 - LRB103 35570 RPS 65642 b
(xx) Information that is exempt from disclosure or
information that shall not be made public under the
Illinois Insurance Code.
(yy) Information prohibited from being disclosed under
the Illinois Educational Labor Relations Act.
(zz) Information prohibited from being disclosed under
the Illinois Public Labor Relations Act.
(aaa) Information prohibited from being disclosed
under Section 1-167 of the Illinois Pension Code.
(bbb) Information that is prohibited from disclosure
by the Illinois Police Training Act and the Illinois State
Police Act.
(ccc) Records exempt from disclosure under Section
2605-304 of the Illinois State Police Law of the Civil
Administrative Code of Illinois.
(ddd) Information prohibited from being disclosed
under Section 35 of the Address Confidentiality for
Victims of Domestic Violence, Sexual Assault, Human
Trafficking, or Stalking Act.
(eee) Information prohibited from being disclosed
under subsection (b) of Section 75 of the Domestic
Violence Fatality Review Act.
(fff) Images from cameras under the Expressway Camera
Act. This subsection (fff) is inoperative on and after
July 1, 2025.
(ggg) Information prohibited from disclosure under

SB3412 Engrossed - 93 - LRB103 35570 RPS 65642 b
paragraph (3) of subsection (a) of Section 14 of the Nurse
Agency Licensing Act.
(hhh) Information submitted to the Illinois State
Police in an affidavit or application for an assault
weapon endorsement, assault weapon attachment endorsement,
.50 caliber rifle endorsement, or .50 caliber cartridge
endorsement under the Firearm Owners Identification Card
Act.
(iii) Data exempt from disclosure under Section 50 of
the School Safety Drill Act.
(jjj) (hhh) Information exempt from disclosure under
Section 30 of the Insurance Data Security Law.
(kkk) (iii) Confidential business information
prohibited from disclosure under Section 45 of the Paint
Stewardship Act.
(mmm) Information prohibited from being disclosed
under Section 4-2 of the Uniform Money Transmission
Modernization Act.
(Source: P.A. 102-36, eff. 6-25-21; 102-237, eff. 1-1-22;
102-292, eff. 1-1-22; 102-520, eff. 8-20-21; 102-559, eff.
8-20-21; 102-813, eff. 5-13-22; 102-946, eff. 7-1-22;
102-1042, eff. 6-3-22; 102-1116, eff. 1-10-23; 103-8, eff.
6-7-23; 103-34, eff. 6-9-23; 103-142, eff. 1-1-24; 103-372,
eff. 1-1-24; 103-508, eff. 8-4-23; revised 9-5-23.)
(Text of Section after amendment by P.A. 103-472)

SB3412 Engrossed - 94 - LRB103 35570 RPS 65642 b
Sec. 7.5. Statutory exemptions. To the extent provided for
by the statutes referenced below, the following shall be
exempt from inspection and copying:
(a) All information determined to be confidential
under Section 4002 of the Technology Advancement and
Development Act.
(b) Library circulation and order records identifying
library users with specific materials under the Library
Records Confidentiality Act.
(c) Applications, related documents, and medical
records received by the Experimental Organ Transplantation
Procedures Board and any and all documents or other
records prepared by the Experimental Organ Transplantation
Procedures Board or its staff relating to applications it
has received.
(d) Information and records held by the Department of
Public Health and its authorized representatives relating
to known or suspected cases of sexually transmissible
disease or any information the disclosure of which is
restricted under the Illinois Sexually Transmissible
Disease Control Act.
(e) Information the disclosure of which is exempted
under Section 30 of the Radon Industry Licensing Act.
(f) Firm performance evaluations under Section 55 of
the Architectural, Engineering, and Land Surveying
Qualifications Based Selection Act.

SB3412 Engrossed - 95 - LRB103 35570 RPS 65642 b
(g) Information the disclosure of which is restricted
and exempted under Section 50 of the Illinois Prepaid
Tuition Act.
(h) Information the disclosure of which is exempted
under the State Officials and Employees Ethics Act, and
records of any lawfully created State or local inspector
general's office that would be exempt if created or
obtained by an Executive Inspector General's office under
that Act.
(i) Information contained in a local emergency energy
plan submitted to a municipality in accordance with a
local emergency energy plan ordinance that is adopted
under Section 11-21.5-5 of the Illinois Municipal Code.
(j) Information and data concerning the distribution
of surcharge moneys collected and remitted by carriers
under the Emergency Telephone System Act.
(k) Law enforcement officer identification information
or driver identification information compiled by a law
enforcement agency or the Department of Transportation
under Section 11-212 of the Illinois Vehicle Code.
(l) Records and information provided to a residential
health care facility resident sexual assault and death
review team or the Executive Council under the Abuse
Prevention Review Team Act.
(m) Information provided to the predatory lending
database created pursuant to Article 3 of the Residential

SB3412 Engrossed - 96 - LRB103 35570 RPS 65642 b
Real Property Disclosure Act, except to the extent
authorized under that Article.
(n) Defense budgets and petitions for certification of
compensation and expenses for court appointed trial
counsel as provided under Sections 10 and 15 of the
Capital Crimes Litigation Act (repealed). This subsection
(n) shall apply until the conclusion of the trial of the
case, even if the prosecution chooses not to pursue the
death penalty prior to trial or sentencing.
(o) Information that is prohibited from being
disclosed under Section 4 of the Illinois Health and
Hazardous Substances Registry Act.
(p) Security portions of system safety program plans,
investigation reports, surveys, schedules, lists, data, or
information compiled, collected, or prepared by or for the
Department of Transportation under Sections 2705-300 and
2705-616 of the Department of Transportation Law of the
Civil Administrative Code of Illinois, the Regional
Transportation Authority under Section 2.11 of the
Regional Transportation Authority Act, or the St. Clair
County Transit District under the Bi-State Transit Safety
Act (repealed).
(q) Information prohibited from being disclosed by the
Personnel Record Review Act.
(r) Information prohibited from being disclosed by the
Illinois School Student Records Act.

SB3412 Engrossed - 97 - LRB103 35570 RPS 65642 b
(s) Information the disclosure of which is restricted
under Section 5-108 of the Public Utilities Act.
(t) (Blank).
(u) Records and information provided to an independent
team of experts under the Developmental Disability and
Mental Health Safety Act (also known as Brian's Law).
(v) Names and information of people who have applied
for or received Firearm Owner's Identification Cards under
the Firearm Owners Identification Card Act or applied for
or received a concealed carry license under the Firearm
Concealed Carry Act, unless otherwise authorized by the
Firearm Concealed Carry Act; and databases under the
Firearm Concealed Carry Act, records of the Concealed
Carry Licensing Review Board under the Firearm Concealed
Carry Act, and law enforcement agency objections under the
Firearm Concealed Carry Act.
(v-5) Records of the Firearm Owner's Identification
Card Review Board that are exempted from disclosure under
Section 10 of the Firearm Owners Identification Card Act.
(w) Personally identifiable information which is
exempted from disclosure under subsection (g) of Section
19.1 of the Toll Highway Act.
(x) Information which is exempted from disclosure
under Section 5-1014.3 of the Counties Code or Section
8-11-21 of the Illinois Municipal Code.
(y) Confidential information under the Adult

SB3412 Engrossed - 98 - LRB103 35570 RPS 65642 b
Protective Services Act and its predecessor enabling
statute, the Elder Abuse and Neglect Act, including
information about the identity and administrative finding
against any caregiver of a verified and substantiated
decision of abuse, neglect, or financial exploitation of
an eligible adult maintained in the Registry established
under Section 7.5 of the Adult Protective Services Act.
(z) Records and information provided to a fatality
review team or the Illinois Fatality Review Team Advisory
Council under Section 15 of the Adult Protective Services
Act.
(aa) Information which is exempted from disclosure
under Section 2.37 of the Wildlife Code.
(bb) Information which is or was prohibited from
disclosure by the Juvenile Court Act of 1987.
(cc) Recordings made under the Law Enforcement
Officer-Worn Body Camera Act, except to the extent
authorized under that Act.
(dd) Information that is prohibited from being
disclosed under Section 45 of the Condominium and Common
Interest Community Ombudsperson Act.
(ee) Information that is exempted from disclosure
under Section 30.1 of the Pharmacy Practice Act.
(ff) Information that is exempted from disclosure
under the Revised Uniform Unclaimed Property Act.
(gg) Information that is prohibited from being

SB3412 Engrossed - 99 - LRB103 35570 RPS 65642 b
disclosed under Section 7-603.5 of the Illinois Vehicle
Code.
(hh) Records that are exempt from disclosure under
Section 1A-16.7 of the Election Code.
(ii) Information which is exempted from disclosure
under Section 2505-800 of the Department of Revenue Law of
the Civil Administrative Code of Illinois.
(jj) Information and reports that are required to be
submitted to the Department of Labor by registering day
and temporary labor service agencies but are exempt from
disclosure under subsection (a-1) of Section 45 of the Day
and Temporary Labor Services Act.
(kk) Information prohibited from disclosure under the
Seizure and Forfeiture Reporting Act.
(ll) Information the disclosure of which is restricted
and exempted under Section 5-30.8 of the Illinois Public
Aid Code.
(mm) Records that are exempt from disclosure under
Section 4.2 of the Crime Victims Compensation Act.
(nn) Information that is exempt from disclosure under
Section 70 of the Higher Education Student Assistance Act.
(oo) Communications, notes, records, and reports
arising out of a peer support counseling session
prohibited from disclosure under the First Responders
Suicide Prevention Act.
(pp) Names and all identifying information relating to

SB3412 Engrossed - 100 - LRB103 35570 RPS 65642 b
an employee of an emergency services provider or law
enforcement agency under the First Responders Suicide
Prevention Act.
(qq) Information and records held by the Department of
Public Health and its authorized representatives collected
under the Reproductive Health Act.
(rr) Information that is exempt from disclosure under
the Cannabis Regulation and Tax Act.
(ss) Data reported by an employer to the Department of
Human Rights pursuant to Section 2-108 of the Illinois
Human Rights Act.
(tt) Recordings made under the Children's Advocacy
Center Act, except to the extent authorized under that
Act.
(uu) Information that is exempt from disclosure under
Section 50 of the Sexual Assault Evidence Submission Act.
(vv) Information that is exempt from disclosure under
subsections (f) and (j) of Section 5-36 of the Illinois
Public Aid Code.
(ww) Information that is exempt from disclosure under
Section 16.8 of the State Treasurer Act.
(xx) Information that is exempt from disclosure or
information that shall not be made public under the
Illinois Insurance Code.
(yy) Information prohibited from being disclosed under
the Illinois Educational Labor Relations Act.

SB3412 Engrossed - 101 - LRB103 35570 RPS 65642 b
(zz) Information prohibited from being disclosed under
the Illinois Public Labor Relations Act.
(aaa) Information prohibited from being disclosed
under Section 1-167 of the Illinois Pension Code.
(bbb) Information that is prohibited from disclosure
by the Illinois Police Training Act and the Illinois State
Police Act.
(ccc) Records exempt from disclosure under Section
2605-304 of the Illinois State Police Law of the Civil
Administrative Code of Illinois.
(ddd) Information prohibited from being disclosed
under Section 35 of the Address Confidentiality for
Victims of Domestic Violence, Sexual Assault, Human
Trafficking, or Stalking Act.
(eee) Information prohibited from being disclosed
under subsection (b) of Section 75 of the Domestic
Violence Fatality Review Act.
(fff) Images from cameras under the Expressway Camera
Act. This subsection (fff) is inoperative on and after
July 1, 2025.
(ggg) Information prohibited from disclosure under
paragraph (3) of subsection (a) of Section 14 of the Nurse
Agency Licensing Act.
(hhh) Information submitted to the Illinois State
Police in an affidavit or application for an assault
weapon endorsement, assault weapon attachment endorsement,

SB3412 Engrossed - 102 - LRB103 35570 RPS 65642 b
.50 caliber rifle endorsement, or .50 caliber cartridge
endorsement under the Firearm Owners Identification Card
Act.
(iii) Data exempt from disclosure under Section 50 of
the School Safety Drill Act.
(jjj) (hhh) Information exempt from disclosure under
Section 30 of the Insurance Data Security Law.
(kkk) (iii) Confidential business information
prohibited from disclosure under Section 45 of the Paint
Stewardship Act.
(lll) (iii) Data exempt from disclosure under Section
2-3.196 of the School Code.
(mmm) Information prohibited from being disclosed
under Section 4-2 of the Uniform Money Transmission
Modernization Act.
(Source: P.A. 102-36, eff. 6-25-21; 102-237, eff. 1-1-22;
102-292, eff. 1-1-22; 102-520, eff. 8-20-21; 102-559, eff.
8-20-21; 102-813, eff. 5-13-22; 102-946, eff. 7-1-22;
102-1042, eff. 6-3-22; 102-1116, eff. 1-10-23; 103-8, eff.
6-7-23; 103-34, eff. 6-9-23; 103-142, eff. 1-1-24; 103-372,
eff. 1-1-24; 103-472, eff. 8-1-24; 103-508, eff. 8-4-23;
revised 9-5-23.)
Section 900-10. The State Finance Act is amended by adding
Section 5.1015 as follows:

SB3412 Engrossed - 103 - LRB103 35570 RPS 65642 b
(30 ILCS 105/5.1015 new)
Sec. 5.1015. The TOMA Consumer Protection Fund.
(205 ILCS 657/Act rep.)
Section 900-30. The Transmitters of Money Act is repealed.
Article 999.
Section 999-95. No acceleration or delay. Where this Act
makes changes in a statute that is represented in this Act by
text that is not yet or no longer in effect (for example, a
Section represented by multiple versions), the use of that
text does not accelerate or delay the taking effect of (i) the
changes made by this Act or (ii) provisions derived from any
other Public Act.