(205 ILCS 405/0.1)
Sec. 0.1.
Short Title.
This Act shall be known
and may be cited as the Currency Exchange Act.
(Source: P.A. 91-533, eff. 8-13-99.)
(205 ILCS 405/1) (from Ch. 17, par. 4802)
Sec. 1. Definitions; application of Act.
(a) For the purposes of this Act:
"Community currency exchange" means
any person, firm, association, partnership, limited liability company, or
corporation, except an
ambulatory currency exchange as hereinafter defined, banks incorporated
under the laws of this State and National Banks organized pursuant to the
laws of the United States, engaged in the business or service of, and
providing facilities for, cashing checks, drafts, money orders or any other
evidences of money acceptable to such community currency exchange, for a
fee or service charge or other consideration, or engaged in the business of
selling or issuing money orders under his or their or its name, or any
other money orders (other than United States Post Office money orders,
Postal Telegraph Company money orders, or Western Union Telegraph Company
money orders), or engaged in both such businesses, or engaged in performing
any one or more of the foregoing services.
"Controlling person" means an officer, director, or person owning or holding power to vote 10% or more of the outstanding voting securities of a licensee or the power to vote the securities of another controlling person of the licensee. For the purposes of determining the percentage of a licensee controlled by a controlling person, the person's interest shall be combined with the interest of any other person controlled, directly or indirectly, by that person or by a spouse, parent, or child of that person.
"Department" means the Department of Financial and Professional Regulation.
"Director" means the Director of the Division of Financial Institutions of the Department of Financial and Professional Regulation.
"Division of Financial Institutions" means the Division of Financial Institutions of the Department of Financial and Professional Regulation.
"Ambulatory Currency Exchange" means any person, firm, association,
partnership, limited liability company, or corporation, except banks organized under the laws of this
State and National Banks organized pursuant to the laws of the United
States, engaged in one or both of the foregoing businesses, or engaged in
performing any one or more of the foregoing services, solely on the
premises of the employer whose employees are being served.
"Licensee" means any person, firm, association, partnership, limited liability company, or corporation issued one or more licenses by the Secretary under this Act.
"Licensed location" means the premises at which a licensee is authorized to operate a community currency exchange to offer to the public services, products, or activities under this Act.
"Location" when used with reference to an ambulatory currency exchange
means the premises of the employer whose employees are or are to be served
by an ambulatory currency exchange.
"Principal office" means the physical business address, which shall not be a post office box, of a licensee at which the (i) Department may contact the licensee and (ii) records required under this Act are maintained.
"Secretary" means the Secretary of Financial and Professional Regulation or a person authorized by the Secretary or this Act to act in the Secretary's stead. All references in this Act to the Secretary shall be deemed to include the Director, as a person authorized by the Secretary or this Act to assume responsibility for the oversight of the functions of the Department relative to the regulatory supervision of community currency exchanges and ambulatory currency exchanges under this Act.
(b) Nothing in this Act shall be held to apply to any person, firm,
association, partnership, limited liability company, or corporation who is
engaged primarily in the
business of transporting for hire, bullion, currency, securities,
negotiable or non-negotiable documents, jewels or other property of great
monetary value and who in the course of such business and only as an
incident thereto, cashes checks, drafts, money orders or other evidences of
money directly for, or for the employees of and with the funds of and at a
cost only to, the person, firm, association, partnership, limited liability
company, or corporation for
whom he or it is then actually transporting such bullion, currency,
securities, negotiable or non-negotiable documents, jewels, or other
property of great monetary value, pursuant to a written contract for such
transportation and all incidents thereof, nor shall it apply to any person,
firm, association, partnership, limited liability company, or corporation
engaged in the business of
selling tangible personal property at retail who, in the course of such
business and only as an incident thereto, cashes checks, drafts, money
orders or other evidences of money.
(Source: P.A. 99-445, eff. 1-1-16.)
(205 ILCS 405/2) (from Ch. 17, par. 4803)
Sec. 2. License required; violation; injunction. No person, firm,
association, partnership, limited liability
company,
or corporation shall
engage in the business of a community currency exchange or in the business
of an ambulatory currency exchange without first securing a license to do
so from the Secretary.
Any licensee shall have authority to operate one or more
community currency exchanges or ambulatory currency exchanges, as defined
in Section 1 of this Act.
Any licensee licensed as and engaged in the business of a community currency
exchange shall at a minimum offer the service of cashing checks, or drafts,
or money orders, or any other evidences of money acceptable to such currency exchange.
No ambulatory currency exchange and no community currency exchange shall
be conducted on any street, sidewalk or highway used by the public, and no
license shall be issued therefor. An ambulatory currency exchange shall be
required to and shall secure a license or licenses for the conduct of its
business at each and every location served by it, as provided in Section 4
hereof, whether the services at any such location are rendered for or
without a fee, service charge or other consideration. Each plant or
establishment is deemed a separate location. No license issued for the
conduct of its business at one location shall authorize the conduct of its
business at any other location, nor shall any license authorize the
rendering of services by an ambulatory currency exchange to persons other
than the employees of the employer named therein. If the employer named in
such license shall move his business from the address therein set forth,
such license shall thereupon expire, unless the Secretary has approved a
change of address for such location, as provided in Section 13.
Any person, firm, association, partnership, limited liability company, or
corporation that violates
this Section shall be guilty of a Class A misdemeanor, and the Attorney
General or the State's Attorney of the county in which the violation occurs
shall file a complaint in the Circuit Court of the county to restrain the
violation.
(Source: P.A. 99-445, eff. 1-1-16.)
(205 ILCS 405/3) (from Ch. 17, par. 4804)
Sec. 3. Powers of community currency exchanges. No community or
ambulatory currency exchange shall be
permitted to accept money or evidences of money as a deposit to be
returned to the depositor or upon the depositor's order. No
community or ambulatory currency exchange shall be permitted to act as
bailee or agent for persons, firms, partnerships, limited liability
companies, associations or
corporations to hold money or evidences thereof or the proceeds
therefrom for the use and benefit of the owners thereof, and deliver
such money or proceeds of evidence of money upon request and direction
of such owner or owners. Nothing in this Act shall prevent a currency exchange from accepting any check without regard to the date imprinted on the check, subject to Section 4-404 of the Uniform Commercial Code, as long as the check is immediately cashed, deposited, and processed in the ordinary course of business. A community or ambulatory currency exchange is permitted to engage in, and charge a fee for, the following activities, either directly or as a third-party agent: (i) cashing of checks, drafts, money orders, or any other evidences of money acceptable to the currency exchange, (ii) selling or issuing money orders, (iii) obtaining reports, certificates, governmental permits, licenses, and vital statistics and the preparation of necessary applications to obtain the same, (iv) the sale and distribution of bond cards, (v) obtaining, distributing, providing, or selling: State vehicle registration renewals, title transfers and tax remittance forms, city vehicle licenses, and other governmental services, (vi) photocopying and sending and receiving facsimile transmissions, (vii) notary service either by the proprietor of the currency exchange or any currency exchange employee, authorized by the State to act as a notary public, (viii) issuance of travelers checks obtained by the currency exchange from a banking institution under a trust receipt, (ix) accepting for payment utility and other companies' bills, (x) issuance and acceptance of any third-party debit, credit, gift, or stored value card and loading or unloading, (xi) on-premises automated cash dispensing machines, (xii) sale of rolled coin and paper money, (xiii) exchange of foreign currency through a third-party, (xiv) sale of cards, passes, or tokens for public transit, (xv) providing mail box service, (xvi) sale of phone cards and other pre-paid telecommunication services, (xvii) on-premises public telephone, (xviii) sale of U.S. postage, (xix) money transmission through a licensed third-party money transmitter, (xx) sale of candy, gum, other packaged foods, soft drinks, and other products and services by means of on-premises vending machines and self-service automated terminals, (xxi) transmittal of documents or information upon the request of a consumer, (xxii) providing access to consumers of third-party travel reservation and ticketing services, and (xxiii) other products and services as may be approved by the Secretary. A currency exchange may offer, for no charge and with no required transaction, advertising upon and about the premises and distribution to consumers of advertising and other materials of any legal product or service that is not misleading to the public.
Any community or ambulatory currency exchange may enter into
agreements with any utility and other companies to act as the companies'
agent for the acceptance of payment of utility and other
companies' bills without charge
to the customer and,
acting under such agreement, may receipt for payments in the
names of the utility and other companies. Any community or
ambulatory currency exchange may also receive payment of
utility and other companies' bills for remittance to companies
with which it has no such agency agreement and may charge a fee
for such service but may not, in such cases, issue a receipt for such
payment in the names of the utility and other companies.
However, funds received by currency exchanges for remittance
to utility and other companies with which the currency exchange
has no agency agreement shall be forwarded to the appropriate
utility and other companies by the currency exchange before the
end of the next business day.
For the purpose of this Section, "utility and other companies" means any utility company and other company with which the currency exchange may or may not have a contractual agreement and for which the currency exchange accepts payments from consumers for remittance to the utility or other company for the payment of bills.
(Source: P.A. 99-445, eff. 1-1-16.)
(205 ILCS 405/3.1) (from Ch. 17, par. 4805)
Sec. 3.1.
Nothing in this Act shall prevent a currency exchange from
rendering State or Federal income tax service; nor shall the rendering of
such service be considered a violation of this Act if such service be
rendered either by the proprietor, any of his employees, or a licensed, regulated tax service approved by the Internal Revenue Service. For the purpose of this Section, "tax service" does not mean to make or offer to make a refund anticipation loan as defined by the Tax Refund Anticipation Loan Reform Act.
(Source: P.A. 97-315, eff. 1-1-12; 97-849, eff. 1-1-13.)
(205 ILCS 405/3.2)
Sec. 3.2. (Repealed).
(Source: P.A. 97-315, eff. 1-1-12. Repealed by P.A. 102-1071, eff. 6-10-22.)
(205 ILCS 405/3.3) (from Ch. 17, par. 4807)
Sec. 3.3. Additional public services.
(a) Nothing in this Act shall prevent the Secretary from authorizing
a currency exchange, group of currency exchanges, or association of currency exchanges to render additional services to the public if the services
are consistent with the provisions of this Act, are within its meaning,
are in the best interest of the public, and benefit the general welfare. A currency exchange, group of currency exchanges, or association of currency exchanges must request, in writing, the Secretary's approval of the additional service prior to rendering such additional service to the public. Any approval under this Section shall be deemed an approval for all currency exchanges. Any currency exchange wishing to provide an additional service previously approved by the Secretary must provide written notice, on a form provided by the Department and available on its website, to the Secretary 30 days prior to offering the approved additional service to the public. The Secretary may charge an additional service investigation fee of $500 per application for a new additional service request. The additional service request shall be on a form provided by the Department and available on the Department's website. Within 15 days after receipt by the Department of an additional service request, the Secretary shall examine the additional service request for completeness and notify the requester of any defect. The requester must remedy the defect within 10 days after the mailing of the notification of the defect by the Secretary. Failure to remedy the defect within such time will void the additional service request.
If the Secretary determines that the additional service request is complete, the Secretary shall have 60 business days to approve or deny the additional service request. If the additional service request is denied, the Secretary shall send by United States mail notice of the denial to the requester at the address set forth in the additional service request, together with the reasons therefor stated with particularity that the additional service is not consistent with the provisions of this Act or in the best interest of the public and does not benefit the general welfare. If an additional service request is denied, the requester may, within 10 days after receipt of the denial, make a written request to the Secretary for a hearing on the additional service request denial. The hearing shall be set for a date after the receipt by the Secretary of the request for a hearing, and written notice of the time and place of the hearing shall be mailed to the requester no later than 15 days before the date of the hearing. The hearing shall be scheduled for a date within 56 days after the date of the receipt of the request for a hearing. The requester shall pay the actual cost of making the transcript of the hearing prior to the Secretary's issuing his or her decision following the hearing. If the Secretary denies the request for a new additional service, a currency exchange shall not offer the new additional service until a final administrative order has been entered permitting a currency exchange to offer the service.
The Secretary's
decision may be subject to review as provided in Section 22.01
of this Act.
If the Secretary revokes a previously approved authorization for an additional service request, the Secretary shall provide written notice to all affected currency exchange licensees, together with the reasons therefor stated with particularity, that the additional service is no longer consistent with the provisions of this Act or in the best interest of the public and does not benefit the general welfare. Upon receipt of the revocation notice, a currency exchange licensee, group of currency exchange licensees, or association of currency exchanges shall have 10 days to make a written request to the Secretary for a hearing, and the Department shall have 30 business days to schedule a future hearing. Written notice of the time and place of the hearing shall be mailed to the licensee no later than 10 business days before the date of the hearing. The licensee shall pay the actual cost of making the transcript prior to the Secretary's issuing his or her decision following the hearing.
The Secretary's decision
is subject to review as provided in Section 22.01 of this
Act.
(b) (Blank).
(c) If the Secretary revokes authorization for a previously approved additional service, the currency exchange may continue to offer the additional service until a
final administrative order has been entered revoking the licensee's previously approved authorization.
(Source: P.A. 99-445, eff. 1-1-16.)
(205 ILCS 405/4) (from Ch. 17, par. 4808)
Sec. 4. License application; contents; fees. A licensee shall obtain a separate license for each licensed location. Application for such
license shall be in writing under oath and in
the form prescribed and furnished by the Secretary. Each application shall
contain the following:
A licensee's initial community currency exchange license application shall be
accompanied by a fee of $1,000 for the cost of investigating the applicant. A licensee's application for licenses for additional licensed locations shall be accompanied by a fee of $1,000 for each additional license. If the ownership of a
licensee or licensed location changes, in whole or in part, a new application must be filed pursuant
to this Section along with a $500 fee if the licensee's ownership interests
have been transferred
or sold to a new person or entity or a fee of $300 if the licensee's
ownership interests have been transferred or sold to a current holder or
holders of the licensee's ownership interests.
When the application for a
community currency exchange license has been approved by the Secretary and
the applicant so advised, an additional sum of
$400 as an annual license
fee for a period terminating on the last day of the current calendar year
shall be paid to the Secretary by the applicant; provided, that the license
fee for an applicant applying for such a license after July 1st of any year
shall be $200 for the balance of such year. Upon receipt
of a community currency exchange license application, the
Secretary shall examine the application for completeness and
notify the applicant in writing of any defect within 20 days after
receipt. The applicant must remedy the defect within 10 days after the mailing of the notification of the defect by the Secretary. Failure to timely remedy the defect will void the application. Once the Secretary determines that the application is complete, the Secretary shall have 90 business days to approve or deny the application.
If
the application is denied, the Secretary shall send by United
States mail notice of the denial to the applicant at the
address set forth in the application. If an application is
denied, the applicant may, within 10 days after the date of the
notice of denial, make a written request to the Secretary for a
hearing on the application. The hearing shall be set for a date after the receipt by the Secretary of the request for a hearing, and written notice of the time and place of the hearing shall be mailed to the applicant no later than 15 days before the date of the hearing. The hearing shall be scheduled for a date within 56 days after the date of the receipt of the request for a hearing. The applicant shall pay the actual cost of
making the transcript of the hearing prior to the Secretary's
issuing his or her decision. The Secretary's decision is subject to review as
provided in Section 22.01 of this Act.
An application for an ambulatory currency exchange license shall be
accompanied by a fee of $100, which fee shall be for the cost of
investigating the applicant. An approved applicant shall not be required
to pay the initial investigation fee of $100 more than once.
When the application for an ambulatory currency exchange license has
been approved by the Secretary, and such applicant so advised, such
applicant shall pay an annual license fee of $25 for each and every
location to be served by such applicant; provided that such license fee for
an approved applicant applying for such a license after July 1st of any
year shall be $12 for the balance of such year for each and every location
to be served by such applicant. Such an
approved applicant for an ambulatory currency exchange license, when
applying for a license with respect to a particular location, shall file
with the Secretary, at the time of filing an application, a letter of
memorandum, which shall be in writing and under oath, signed by the owner
or authorized representative of the business whose employees are to be
served; such letter or memorandum shall contain a statement that such
service is desired, and that the person signing the same is authorized so
to do. The Secretary shall thereupon verify the authenticity of the letter
or memorandum and the authority of the person who executed it, to do
so.
The Department shall have 45 business days to approve or deny a licensee's request to purchase another currency exchange.
(Source: P.A. 99-445, eff. 1-1-16.)
(205 ILCS 405/4.1) (from Ch. 17, par. 4809)
Sec. 4.1. Application; investigation; community need.
(a) The General Assembly finds and declares that community currency
exchanges provide important and vital services to Illinois citizens, that
the number of community currency exchanges should be limited in accordance
with the needs of the communities they are to serve, and that it is in the
public interest to promote and foster the community currency exchange business
and to insure the financial stability thereof.
(b) Upon receipt of an application
for a license for a community
currency exchange, the Secretary shall cause an investigation to determine:
(c) "Community", as used in this Act, means a locality where there may or
can be available to the people thereof the services of a community currency
exchange reasonably accessible to them.
(d) If the issuance of a license to
engage in the community currency exchange business at the location
specified will not promote the needs and the convenience and advantage
of the community in which the business of the applicant is proposed to be
conducted, then the application shall be denied.
(e) As a part of the investigation, the Secretary shall, within 15 business days after receipt of an application, notify in writing all currency exchanges located within a one-half mile radius of the proposed new currency exchange in any municipality with a population of 500,000 or more or located within a one-mile radius of the proposed new currency exchange outside a municipality with a population of 500,000 or more of the application and the proposed location. Within 15 business days after the notice, any currency exchange as described in paragraph (2) of subsection (b) of this Section may notify the Secretary it intends to protest the application. If the currency exchange intends to protest the application, then the currency exchange shall, within 30 days after notifying the Secretary, provide the Secretary with any information requested to substantiate that granting the license would have a material and negative effect upon the financial stability of the existing currency exchange or would not promote the needs and the convenience and advantage of the community. Once the investigation is completed, the Secretary shall, within 15 business days thereafter, notify any currency exchange as described in paragraph (2) of subsection (b) of this Section of the determination to approve or deny the application. The determination shall sufficiently detail the facts that led to the determination.
(Source: P.A. 99-445, eff. 1-1-16.)
(205 ILCS 405/4.1B)
Sec. 4.1B. Anti-money laundering requirements.
(a) Every licensee shall comply with all State and federal laws, rules, and regulations relating to the detection and prevention of money laundering, including, as applicable, 31 C.F.R. 103.20, 103.22, 103.23, 103.27, 103.28, 103.29, 103.33, 103.37, and 103.41.
(b) Every licensee shall maintain an anti-money laundering program in accordance with 31 C.F.R. 103.125. The program shall be reviewed and updated as necessary to ensure that the program continues to be effective in detecting and deterring money laundering activities.
(Source: P.A. 99-445, eff. 1-1-16.)
(205 ILCS 405/4.2) (from Ch. 17, par. 4810)
Sec. 4.2.
Whensoever the ownership of any Currency Exchange, theretofore
licensed under the provisions of this Act, shall be held or contained in
any estate subject to the control and supervision of any Administrator,
Executor or Guardian appointed, approved or qualified by any
Court of the State of Illinois, having jurisdiction so to do, such
Administrator, Executor or Guardian may, upon the entry of
an order by such Court granting leave to continue the operation of such
Currency Exchange, apply to the Secretary for a
license under the provisions of this Act. When any such Administrator,
Executor or Guardian shall apply for a Currency Exchange
License pursuant to the provisions of this Section, and shall otherwise
fully comply with all of the provisions of this Act relating to the
application for a Currency Exchange license, the Secretary may issue to such
applicant a Currency Exchange license. Any Currency Exchange license
theretofore issued to a Currency Exchange, for which an application for a
license shall be sought under the provisions of this Section, if not
previously surrendered, lapsed, or revoked, shall be surrendered, revoked
or otherwise terminated before a license shall be issued pursuant to
application made therefor under this Section.
(Source: P.A. 97-315, eff. 1-1-12.)
(205 ILCS 405/4.3) (from Ch. 17, par. 4811)
Sec. 4.3.
Upon receipt of an application from an ambulatory currency
exchange for the conduct of its business at a location to be served by
it, the Secretary shall
cause an investigation to be made to determine whether to issue
said license. No fee shall be charged for the investigation of an
application for a location license. The
Secretary shall employ the following criteria
in making his determination:
(Source: P.A. 97-315, eff. 1-1-12.)
(205 ILCS 405/5) (from Ch. 17, par. 4812)
Sec. 5. Bond; condition; amount.
(a) Before any license shall be issued
to a licensee to operate a community
currency exchange the applicant shall file annually with and
have approved by the Secretary a surety bond, issued by a bonding
company authorized to do business in this State in the principal sum
of $25,000 for each licensed location, up to a maximum aggregate principal sum of $350,000 for each licensee regardless of the number of licenses held. Such bond shall run to the Secretary and shall
be for the benefit of any creditors of such licensee
for any liability incurred by the licensee on any
money orders, including any fees and penalties incurred by the remitter should the money order be returned unpaid, issued or sold by the licensee in the ordinary course of its business and for
any liability incurred by the licensee for any sum or
sums due to any payee or endorsee of any check, draft or money
order left with the licensee in the ordinary course of its business for collection, and for
any liability to the public incurred by the licensee in the ordinary course of its business in connection
with the rendering of any of the services referred to in
Section 3 of this Act.
To protect the public and allow for the effective underwriting of bonds, the surety bond shall not cover money orders issued and other liabilities incurred by a currency exchange for its own account or that of its controlling persons, including money orders issued or liabilities incurred by the currency exchange to obtain cash for its own operations, to pay for the currency exchange's own bills or liabilities or that of its controlling persons, or to obtain things of value for the currency exchange
or its controlling persons, regardless of whether such things of value are used in the currency exchange's operations or sold by the currency exchange.
From time to time the Secretary may determine the amount of liabilities
as described herein and shall require the licensee to file a bond in an
additional sum if the same is determined to be necessary in accordance with
the requirements of this Section. In no case shall the bond be less than
the initial $25,000, nor more than the outstanding liabilities.
(b) In lieu of the surety bond requirements of subsection (a), a community
currency exchange licensee may submit evidence satisfactory to the Secretary
that the community currency exchange licensee is covered by a blanket bond that
covers multiple licensees who are members of a statewide association of
community currency exchanges or licensees. Such a blanket bond must be issued by a bonding
company authorized to do business in this State and in a principal aggregate
sum of not less than $3,000,000 as of May 1, 2012, and not less than $4,000,000 as of May 1, 2014.
(c) An ambulatory currency exchange may sell or issue money orders
at any location with regard to which it
is issued a license pursuant to this Act, including existing
licensed locations, without the necessity of a further
application or hearing and without regard to any exceptions
contained in existing licenses, upon the filing with
the Secretary of a surety bond approved by the Secretary and issued by a bonding
company
or insurance company authorized to do business in Illinois,
in the principal sum of $100,000. Such bond may be a blanket
bond covering all locations at which the ambulatory currency
exchange may sell or issue money orders,
and shall run to the Secretary for the
use and benefit of any creditors of such ambulatory currency
exchange for any liability incurred by the ambulatory currency
exchange on any money orders issued or sold by it to the public in the ordinary course of its business.
Such bond shall be renewed annually. If after
the expiration of one year from the date of approval of such
bond by the Secretary, it shall appear that the average amount
of such liability during the year has exceeded $100,000,
the Secretary shall require the licensee to furnish a bond for
the ensuing year, to be approved by the Secretary,
for an additional principal sum of $1,000 for each $1,000 of
such liability or fraction thereof in excess of the original
$100,000, except that the maximum amount of such bond shall not be required to
exceed $250,000.
(Source: P.A. 99-445, eff. 1-1-16.)
(205 ILCS 405/6) (from Ch. 17, par. 4813)
Sec. 6. Insurance against loss.
(a) Every applicant for a license hereunder
shall, after his
application for a license has been approved, file with and have approved
by the Secretary, a policy or policies of insurance issued by an
insurance company or indemnity company authorized to do business under
the law of this State, which shall insure the applicant against loss by
theft, burglary, robbery or forgery in a principal sum as hereinafter
provided; if the average amount of cash and liquid funds to be kept on
hand at the licensed location during the year
will not be in excess of $10,000 the policy or policies shall be in the
principal sum of $10,000. If such average amount will be in excess of
$10,000, the policy or policies shall be for an additional principal sum
of $500 for each $1,000 or fraction thereof of such excess over the
original $10,000. From time to
time, the Secretary may determine the amount of cash and liquid funds on
hand at the licensed location and shall require
the licensee to submit additional policies if the same are determined to
be necessary in accordance with the requirements of this Section.
However, any licensee may meet the insurance requirements of this subsection (a) by submitting evidence satisfactory to the Secretary that the licensee is covered by a blanket insurance policy that covers multiple licensees. The blanket insurance policy: (i) shall insure the licensee against loss by theft, robbery, or forgery; (ii) shall be issued by an insurance company authorized to do business in this State; and (iii) shall be in the principal sum of an amount equal to the maximum amount required under this Section for any one licensee covered by the insurance policy.
Any such policy or policies, with respect to forgery, may carry a
condition that the community currency exchange assumes the first $1,000 of
each claim thereunder.
(b) Before an ambulatory currency exchange shall sell or
issue money orders,
it shall file with and
have approved by the Secretary, a policy or policies of
insurance issued by an insurance company or indemnity company
authorized to do business under the laws of this State, which
shall insure such ambulatory currency exchange against loss
by theft, burglary, robbery, forgery or embezzlement in the
principal sum of not less than $500,000. If the average amount
of cash and liquid funds to be kept on hand during the year
will exceed $500,000, the policy or policies shall be for an
additional principal sum of $500 for each $1,000 or fraction
thereof in excess of $500,000. From time to time the Secretary may determine
the amount of cash and liquid funds kept on hand by an ambulatory
currency exchange and shall require it to submit such additional
policies as are determined to be required within the limits of
this Section. No ambulatory currency exchange subject to
this Section shall be required to furnish more than one policy
of insurance if the policy furnished insures it against the
foregoing losses at all locations served by it.
Any such policy may contain a condition that the insured
assumes a portion of the loss, provided the insured shall file
with such policy a sworn financial statement indicating its
ability to act as self-insurer in the amount of such deductible
portion of the policy without prejudice to the safety of any
funds belonging to its customers. If the Secretary is not
satisfied as to the financial ability of the ambulatory currency
exchange, he may require it to deposit cash or United States Government
Bonds in the amount of part or
all of the deductible portion of the policy.
(Source: P.A. 99-445, eff. 1-1-16.)
(205 ILCS 405/7) (from Ch. 17, par. 4814)
Sec. 7. Available funds; minimum amount. Each licensee shall have, at all times, a
minimum of $5,000 for each currency exchange license it holds of its own cash funds available for the uses and
purposes of its currency exchange business and said minimum sum shall be exclusive of and
in addition to funds received for exchange or transfer; and in addition
thereto each such licensee shall at all times have on hand an amount of
liquid funds sufficient to pay on demand all outstanding money orders
issued by it. Whenever a licensee holds more than one community currency exchange license, the aggregate of the minimum liquid funds required under this Section 7 for all of such licensee's licensed locations may be held by the licensee in a single account in the licensee's name, provided that the total liquid funds equals a minimum of $5,000 multiplied by the number of licenses held by that licensee.
In the event a receiver is appointed in accordance with Section 15.1
of this Act, and the Secretary determines that the business of the
currency exchange should be liquidated, and if it shall appear that the
said minimum sum was not on hand or available at the time of the
appointment of the receiver, then the receiver shall have the right to
recover in any court of competent jurisdiction from the owner or owners
of such currency exchange, or from the stockholders and directors
thereof if such currency exchange was operated by a corporation, or from the
members if the currency exchange was operated as a limited liability company,
said
sum or that part thereof which was not on hand or available at the time
of the appointment of such receiver. Nothing contained in this Section
shall limit or impair the liability of any bonding or insurance company
on any bond or insurance policy relating to such community currency
exchange issued pursuant to the requirements of this Act, nor shall
anything contained herein limit or impair such other rights or remedies
as the receiver may otherwise have.
(Source: P.A. 99-445, eff. 1-1-16.)
(205 ILCS 405/8) (from Ch. 17, par. 4815)
Sec. 8.
A community or an ambulatory currency exchange shall not be
conducted as a department of another business. It must be an entity,
financed and conducted as a separate business unit. This shall not prevent
a community or an ambulatory currency exchange from leasing a part of the
premises of another business for the conduct of this business on the same
premises; provided, that no community currency exchange shall be conducted
on the same premises with a business whose chief source of revenue is
derived from the sale of alcoholic liquor for consumption on the premises;
provided, further, that no community currency exchange hereafter licensed
for the first time shall share any room with any other business, trade or
profession nor shall it occupy any room from which there is direct access
to a room occupied by any other business, trade or profession.
(Source: Laws 1951, p. 562.)
(205 ILCS 405/9) (from Ch. 17, par. 4816)
Sec. 9.
No community or ambulatory currency exchange shall issue
tokens to be used in lieu of money for the purchase of goods or services
from any enterprise.
(Source: P.A. 99-445, eff. 1-1-16.)
(205 ILCS 405/10) (from Ch. 17, par. 4817)
Sec. 10. Qualifications of applicant; denial of license; review. The
applicant or its controlling persons shall be vouched for
by 2 reputable citizens of this State setting forth
that the individual mentioned is (a) personally known to them to be
trustworthy and reputable, (b) that he has business experience qualifying
him to competently conduct, operate, own or become associated with a
currency exchange, (c) that he has a good business reputation and is worthy
of a license. Thereafter, the Secretary shall, upon approval of the
application filed with him, issue to the applicant, qualifying under this
Act, a license to operate a currency exchange. If it is a license for a
community currency exchange, the same shall be valid only at the place of
business specified in the application. If it is a license for an ambulatory
currency exchange, it shall entitle the applicant to operate only at the
location or locations specified in the application, provided the applicant
shall secure separate and additional licenses for each of such locations.
Such licenses shall remain in full force and effect, until they are
surrendered by the licensee, or revoked, or expire, as herein provided. If
the Secretary shall not so approve, he shall not issue such license or
licenses and shall notify the applicant of such denial, retaining the full
investigation fee to cover the cost of investigating the community
currency exchange applicant. The
Secretary shall approve or deny every application hereunder within 90 days
from the filing of a complete application; except that in respect to an application by an
approved ambulatory currency exchange for a license with regard to a
particular location to be served by it, the same shall be approved or
denied within 20 days from the filing thereof. If the application is
denied, the Secretary shall send by United States mail notice of such denial
to the applicant at the address set forth in the application.
If an application is denied, the applicant may, within 10 days from the
date of the notice of denial, make written request to the Secretary for a
hearing on the application, and the Secretary shall set a time and place for
the hearing. The hearing shall be set for a date after the receipt by the
Secretary of the request for hearing, and written notice of the time and
place of the hearing shall be mailed to the applicant at least 15 days
before the date of the hearing. The applicant shall pay the actual cost of
making the transcript of the hearing prior to the Secretary's issuing his
decision following the hearing. If, following the hearing, the application
is denied, the Secretary shall, within 20 days thereafter prepare and keep
on file in his office a written order of denial thereof, which shall
contain his findings with respect thereto and the reasons supporting the
denial, and shall send by United States Mail a copy thereof to the
applicant at the address set forth in the application, within 5 days after
the filing of such order. A review of any such decision may be had as
provided in Section 22.01 of this Act.
(Source: P.A. 99-445, eff. 1-1-16.)
(205 ILCS 405/10.1)
Sec. 10.1. (Repealed).
(Source: Laws 1957, p. 320. Repealed by P.A. 97-315, eff. 1-1-12.)
(205 ILCS 405/11) (from Ch. 17, par. 4819)
Sec. 11.
Such license, if issued for a community currency exchange, shall
state the name of the licensee and the address of the licensed location. Such license, or its annual renewal, shall be kept conspicuously posted in the licensed location and shall not be transferable or assignable. If
issued for an ambulatory currency exchange, it shall so state, and shall
state the name and principal office address of the licensee, and the name and address
of the location or locations to be served by the licensee, and shall not be
transferable and assignable.
(Source: P.A. 99-445, eff. 1-1-16.)
(205 ILCS 405/12) (from Ch. 17, par. 4820)
Sec. 12.
If the Secretary shall find at any time that the bond required by Section 5 is insecure
or exhausted or otherwise doubtful, an additional bond in like amount to be
approved by the Secretary shall be filed by the licensee within 30 days
after written demand therefor upon the licensee by the Secretary.
(Source: P.A. 97-315, eff. 1-1-12.)
(205 ILCS 405/13) (from Ch. 17, par. 4821)
Sec. 13.
No more than one place of business shall be maintained under
the same community currency exchange license, but the Secretary may issue
more than one license to the same licensee upon compliance with the
provisions of this Act governing an original issuance of a license, for
each new license.
Whenever a community currency exchange or an ambulatory currency
exchange shall wish to change its name in its license, it shall file an
application for approval thereof with the Secretary, and if the change is
approved by the Secretary he shall attach to the license, in writing, a
rider stating the licensee's new name.
If an ambulatory currency exchange has serviced a licensed location for
2 years or longer and the employer whose employees are served at that location
has moved his place of business, the currency exchange may continue its
service to the employees of that employer at the new address of that employer's
place of business by filing a notice of the change of address with the Secretary
and by relinquishing its license to conduct its business at the employer's
old address upon receipt of a license to conduct its business at the employer's
new address. Nothing in this Act shall preclude or prevent an ambulatory
currency exchange from filing an application to conduct its business at
the old address of an employer who moved his place of business after the
ambulatory currency exchange receives a license to conduct its business
at the employer's new address through the filing of a notice of its change
of address with the Secretary and the relinquishing of its license to conduct
its business at the employer's old address.
Whenever a currency exchange wishes to make any other change in the address
set forth in any of its licenses, it shall apply to the Secretary for approval
of such change of address.
Every application for approval of a change of address shall be treated by
the Secretary in the same manner as is otherwise provided in this Act for
the treatment of proposed places of business or locations as contained in
new applications for licenses; and if any fact or condition then exists
with respect to the application for change of address, which fact or condition
would otherwise authorize denial of a new application for a license because
of the address of the proposed location or place of business, then such
application for change of address shall not be approved. Whenever a
community currency exchange wishes to sell its physical assets, it may do
so, however, if the assets are sold with the intention of continuing the
operation of a community currency exchange, the purchaser or purchasers
must first make application to the Secretary for licensure in accordance
with Section 4 of this Act. If the Secretary shall not so approve,
he shall not issue such license and shall notify the applicant or
applicants of such denial. The investigation fee for a change of location
is $500.
The provisions of Sections 4.1A and 10 of this Act with reference to notice, hearing and review
apply to applications filed pursuant to this Section.
(Source: P.A. 99-445, eff. 1-1-16.)
(205 ILCS 405/13.1) (from Ch. 17, par. 4822)
Sec. 13.1. Consolidation of business locations. Whenever 2 or more
licensees desire to consolidate their places
of business, they shall make application for such consolidation to the
Secretary upon a form provided by him or her. This application shall state: (a) the
name to be adopted and the location at which the business is to be located,
which name and location shall be the same as one of the consolidating
licensees; (b) that the owners or all partners or all stockholders or all
members, as the
case may be, of the licensees involved in the contemplated consolidation,
have approved the application; (c) a certification by the secretary, if any
of the licensees be corporations, that the contemplated consolidation has
been approved by all of the stockholders at a properly convened
stockholders meeting; (d) other relevant information the Secretary may
require. Simultaneously with the approval of the application by the
Secretary, the licensee or licensees who will cease doing business shall:
(a) surrender their license or licenses to the Secretary; (b) transfer all
of their assets and liabilities to the licensee continuing to operate by
virtue of the application; (c) apply to the Secretary of State, if they be
corporations, for surrender of their corporate charter in accordance with
the provisions of the Business Corporation Act of 1983.
An application for consolidation shall be approved or rejected by the
Secretary within 30 days after receipt by him of such application and
supporting documents required thereunder. The Secretary shall impose a consolidation fee of $100 per application.
Such consolidation shall not affect suits pending in which the
surrendering licensees are parties; nor shall such consolidation affect
causes of action nor the rights of persons in particular; nor shall suits
brought against such licensees in their former names be abated for that
cause.
Nothing contained herein shall limit or prohibit any action or remedy
available to a licensee or to the Secretary under Sections 15, 15.1 to 15.1e
or 15.2 of this Act.
(Source: P.A. 97-315, eff. 1-1-12.)
(205 ILCS 405/14) (from Ch. 17, par. 4823)
Sec. 14.
Every licensee, shall, on or before November 15, pay to the
Secretary the annual license fee or fees for the next succeeding calendar
year and shall at the same time file with the Secretary the annual bond or bonds and the
insurance policy or policies as and if required by this Act. The annual
license fee for each community currency exchange shall be $400 for each licensee and $400 for each additional licensed location. The annual
license fee for each location served by an ambulatory currency exchange
shall be $25.
(Source: P.A. 99-445, eff. 1-1-16; 99-549, eff. 7-15-16.)
(205 ILCS 405/14.1)
Sec. 14.1.
All moneys received by the Department
under this Act shall be deposited in the Financial Institution Fund created
under Section 6z-26 of the State Finance Act.
(Source: P.A. 97-315, eff. 1-1-12; 98-463, eff. 8-16-13.)
(205 ILCS 405/15) (from Ch. 17, par. 4824)
Sec. 15. Fines; suspension; revocation. The Secretary may, after 15 business days' notice by registered or certified mail to the licensee at the address set forth in the license, or by email or facsimile transmission if such other method is previously designated by the licensee, stating the contemplated action and in general the grounds therefore, fine the licensee or revoke or suspend any license issued if he or she finds that:
The notice required to fine a licensee or suspend or revoke a license under this Section shall state (i) the specific nature and a clear and concise description of the violation; (ii) the Sections of this Act or rules that have been violated; (iii) the contemplated fine or action; (iv) that the licensee may, within 15 business days from the date of the notice, request a hearing pursuant to Section 22.01 of this Act; (v) that the licensee may, within 15 business days after the notice, take corrective action to mitigate any fine or contemplated action; and (vi) the specific corrective action to be taken.
Consistent with the provisions of this Act, the Secretary may, after weighing any harm to the public, the seriousness of the offense, and the history of the licensee, fine a licensee an amount graduated up to $1,000 per violation.
No license shall be revoked until the licensee has had notice of a hearing on the proposed revocation and an opportunity to be heard. The Secretary shall send a copy of the order, finding, or decision of revocation by United States mail, or by email or facsimile transmission, if such other method is previously designated by the licensee, to the licensee at the address set forth in the license or to such other email address or facsimile transmission phone number previously designated by the licensee, within 5 days after the order or decision is entered. A review of any such order, finding, or decision is available under Section 22.01 of this Act.
The Secretary may fine, suspend or revoke only the particular license or licenses for
particular places of business or locations with respect to which grounds
for revocation may occur or exist; except that if he shall find that
such grounds for revocation are of general application to all places of
business or locations, or that such grounds for fines, suspension or revocation
have occurred
or exist with respect to a substantial number of places of business or
locations, he may fine, suspend or revoke all of the licenses issued to such licensee.
An order assessing a fine, an order revoking or suspending a license, or an order denying renewal of a license shall take effect on service of the order unless the licensee requests a hearing pursuant to this Section. If the licensee requests a hearing, the Secretary shall schedule a hearing within 30 days after the request for a hearing unless otherwise agreed to by the parties. The hearing shall be held at the time and place designated by the Secretary.
The Secretary and any administrative law judge designated by him or her shall have the power to administer oaths and affirmations, subpoena witnesses and compel their attendance, take evidence, and require the production of books, papers, correspondence, and other records or information that he or she considers relevant or material to the inquiry.
In case of contumacy or refusal of a witness to obey a subpoena, any circuit court of this State whose jurisdiction encompasses where the hearing is located may issue an order requiring such witness to appear before the Secretary or the hearing officer, to produce documentary evidence, or to give testimony touching the matter in question; and the court may punish any failures to obey such orders of the court as contempt.
A licensee may surrender any license by delivering to the Secretary
written notice that he, they or it thereby surrenders such license, but
such surrender shall not affect such licensee's civil or criminal
liability for acts committed prior to such surrender, or affect the
liability on his, their or its bond or bonds, or his, their or its
policy or policies of insurance, required by this Act, or entitle such
licensee to a return of any part of the annual license fee or fees.
Every license issued hereunder shall remain in force until the same
shall expire, or shall have been surrendered, suspended or revoked in accordance
with this Act, but the Secretary may on his own motion, issue new
licenses to a licensee whose license or licenses shall have been revoked
if no fact or condition then exists which clearly would have warranted
the Secretary in refusing originally the issuance of such license under
this Act.
(Source: P.A. 99-445, eff. 1-1-16.)
(205 ILCS 405/15.1) (from Ch. 17, par. 4825)
Sec. 15.1.
If the Secretary determines that any licensee is insolvent or is violating this Act, or if the owner, executor, or successor in interest of a currency exchange abandons the currency exchange, he or she shall appoint a receiver, who shall, under his
or her direction, for the purpose of receivership, take possession of and title to
the books, records, and assets of every description of the community
currency exchange. The Secretary may require of the receiver such security
as he or she deems proper and, upon appointment of the receiver, shall have
published, once each week for 4 consecutive weeks in a newspaper having a
general circulation in the community, a notice calling on all persons who
have claims against the community currency exchange, to present them to the
receiver.
Within 10 days after the receiver takes possession of the property, the
licensee may apply to the Circuit Court of the county where the community currency exchange is located to enjoin
further proceedings in the premises.
The receiver may operate the community currency exchange until the
Secretary determines that possession should be restored to the licensee or
that the business should be liquidated.
(Source: P.A. 97-315, eff. 1-1-12.)
(205 ILCS 405/15.1a) (from Ch. 17, par. 4826)
Sec. 15.1a.
If the Secretary determines that a business in
receivership should be liquidated, he shall direct the Attorney General
to file a complaint in the Circuit Court of the county in which such
community currency exchange is located, in the name of the People of the
State of Illinois, for the orderly liquidation and dissolution of the
community currency exchange and for an injunction restraining the
licensee or the officers and directors thereof from continuing the
operation of the community currency exchange.
The receiver shall, 30 days from the day the Secretary determines that
the business should be liquidated, file with the Secretary and with the
clerk of such court as has charge of the liquidation, a correct list of
all creditors who have not presented their claims. The list shall show
the amount of the claim after allowing all just credits, deductions and
set-offs as shown by the books of the currency exchange. These claims
shall be deemed proven unless objections are filed by some interested
party within the time fixed by the Secretary or court that has charge of
the liquidation.
(Source: P.A. 97-315, eff. 1-1-12.)
(205 ILCS 405/15.1b) (from Ch. 17, par. 4827)
Sec. 15.1b. Liquidation; distribution; priority. The General Assembly
finds and declares that community currency
exchanges provide important and vital services to Illinois citizens. The
General Assembly also finds that in providing such services, community currency
exchanges transact extensive business involving check cashing and the writing
of money orders in communities in which banking services are generally
unavailable. It is therefore declared to be the policy of this State that customers who
receive these services must be protected from insolvencies of currency
exchanges and interruptions of services. To carry out this policy and to insure that
customers of community currency exchanges are protected in the event it
is determined that a community currency exchange in receivership should
be liquidated in accordance with Section 15.1a of this Act, the Secretary
shall make a distribution of moneys collected by the receiver in the following
order of priority: First, allowed claims for the actual necessary expenses
of the receivership of the community currency exchange being liquidated,
including (a) reasonable receiver fees and receiver's attorney's fees approved
by the Secretary, (b) all expenses of any preliminary or other examinations
into the condition of the community currency exchange or receivership,
(c) all expenses incurred by the Secretary which are incident to possession
and control of any property or records of the community currency exchange, and
(d) reasonable expenses incurred by the Secretary as the result of business
agreements or contractual arrangements necessary to insure that the services
of the community currency exchanges are delivered to the community without
interruption. Said business agreements or contractual arrangements may
include, but are not limited to, agreements made by the Secretary, or by
the Receiver with the approval of the Secretary, with banks, money order
companies, bonding companies and other types of financial institutions;
Second, allowed claims by a purchaser of money orders issued on demand of
the community currency exchange being liquidated; Third, allowed claims
arising by virtue of and to the extent of the amount a utility customer
deposits with the community currency exchange being liquidated which are
not remitted to the utility company; Fourth,
allowed claims arising by virtue of and to the extent of the amount paid
by a purchaser of Illinois license plates, vehicle stickers sold for
State and municipal governments in Illinois, and temporary
Illinois registration permits purchased at the currency exchange being
liquidated; Fifth, allowed unsecured claims for
wages or salaries, excluding vacation, severance and sick leave pay earned
by employee earned within 90 days prior to the appointment of a Receiver;
Sixth, secured claims; Seventh, allowed unsecured claims of any tax, and interest and penalty on
the tax; Eighth, allowed unsecured claims other than a kind specified in
paragraph one, two and three of this Section, filed with the Secretary within
the time the Secretary fixes for filing claims; Ninth, allowed unsecured
claims, other than a kind specified in paragraphs one, two and three of this
Section filed with the Secretary after the time fixed for filing claims
by the Secretary; Tenth, allowed creditor
claims asserted by an owner, member, or stockholder of the community
currency exchange
in liquidation; Eleventh, after one year from the final dissolution of the
currency exchange, all assets not used to satisfy allowed claims shall be
distributed pro rata to the owner, owners, members, or stockholders of the
currency exchange.
The Secretary shall pay all claims of equal priority according to the schedule
set out above, and shall not pay claims of lower priority until all higher
priority claims are satisfied. If insufficient assets are available to
meet all claims of equal priority, those assets shall be distributed pro
rata among those claims. All unclaimed assets of a currency exchange shall
be deposited with the Secretary to be paid out by him when proper claims
therefor are presented to the Secretary. If there are funds remaining after the conclusion of a receivership of an abandoned currency exchange, the remaining funds shall be considered unclaimed property and remitted to the State Treasurer under the Revised Uniform Unclaimed Property Act.
(Source: P.A. 100-22, eff. 1-1-18.)
(205 ILCS 405/15.1c) (from Ch. 17, par. 4828)
Sec. 15.1c.
Powers of receiver.
Upon the order of
the circuit court of the
county wherein the community currency exchange being liquidated is located,
the receiver may sell or compound any bad or doubtful debt, and on like
order may sell the personal property of the community currency exchange on
such terms as the court approves. The receiver shall succeed to whatever
rights or remedies the unsecured creditors of the currency exchange may
have against the owner or owners, operators, stockholders, directors,
members, managers, or
officers thereof, arising out of their claims against the currency
exchange, but nothing herein contained shall prevent such creditors from
filing their claims in the liquidation proceeding. The receiver may enforce
such rights or remedies in any court of competent jurisdiction.
(Source: P.A. 90-545, eff. 1-1-98.)
(205 ILCS 405/15.1d) (from Ch. 17, par. 4829)
Sec. 15.1d.
At the close of a receivership, the receiver shall turn over to
the Secretary all books of account and ledgers of such currency exchange for
preservation. All records of such receiverships heretofore and hereafter
received by the Secretary shall be held by him or her for a period of 2 years after
the close of the receivership and at the termination of the 2 year period
may then be destroyed.
All expenses of the receivership, including reasonable receiver's and attorney's
fees approved by the Secretary, and all expenses
of any preliminary or other examinations into the condition of the
community currency exchange or receivership, and all expenses incident to
the possession and control of any property or records of the community
currency exchange incurred by the Secretary shall be paid out of the assets
of the community currency exchange. The foregoing expenses shall be paid
prior to and ahead of all claims.
(Source: P.A. 97-315, eff. 1-1-12.)
(205 ILCS 405/15.1e) (from Ch. 17, par. 4830)
Sec. 15.1e.
Upon the filing of a complaint by the Attorney General for the
orderly liquidation and dissolution of a community currency exchange, as
provided in Section 15.1a, all pending suits and actions upon unsecured
claims against such currency exchange shall abate; however, nothing
contained herein shall prevent such claimants from filing their claims in
the liquidation proceeding. In the event a suit or an action is instituted
or maintained by the receiver on any bond or policy of insurance issued
pursuant to the requirements of this Act, the bonding or insurance company
sued, shall not have the right to interpose or maintain any counterclaim
based upon subrogation, or upon any express or implied agreement of, or
right to, indemnity or exoneration, or upon any other express or implied
agreement with, or right against, the currency exchange. Nothing herein
contained shall prevent such bonding or insurance company from filing such
claim in the liquidation proceeding.
(Source: Laws 1961, p. 3522.)
(205 ILCS 405/15.2) (from Ch. 17, par. 4831)
Sec. 15.2.
No community currency exchange shall determine its affairs and
close up its business unless it shall first deposit with the Secretary an
amount of money equal to the whole of its debts, liabilities and lawful
demands against it including the costs and expenses of this proceeding, and
shall surrender to the Secretary its community currency exchange license,
and shall file with the Secretary a statement of termination signed by the
licensee of such community currency exchange, containing a pronouncement of
intent to close up its business and liquidate its liabilities, and also
containing a sworn list itemizing in full all such debts, liabilities and
lawful demands against it. Corporate licensees shall attach to, and make a
part of such statement of termination, a copy of a resolution providing for
the determination and closing up of the licensee's affairs, certified by
the secretary of such licensee and duly adopted at a shareholders' meeting
by the holders of at least two-thirds of the outstanding shares entitled to
vote at such meeting. Upon the filing with the Secretary of a statement of
termination the Secretary shall cause notice thereof to be published once
each week for three consecutive weeks in a public newspaper of general
circulation published in the city or village where such community currency
exchange is located, and if no newspaper shall be there published, then in
a public newspaper of general circulation nearest to said city or village;
and such publication shall give notice that the debts, liabilities and
lawful demands against such community currency exchange will be redeemed by
the Secretary on demand in writing made by the owner thereof, at any time
within one year from the date of first publication. After the expiration
of such one-year period, the Secretary shall return to the person or
persons designated in the statement of termination to receive such
repayment and in the proportion therein specified, any balance of money
then remaining in his possession, if any there be, after first deducting
therefrom all unpaid costs and expenses incurred in connection with this
proceeding. The Secretary shall receive for his services, exclusive of costs
and expenses, two per cent of any amount up to $5,000.00, and one per cent
of any amount in excess of $5,000.00, deposited with him hereunder by any
one community currency exchange. Nothing contained herein shall affect or
impair the liability of any bonding or insurance company on any bond or
insurance policy issued under this Act relating to such community currency
exchange.
(Source: P.A. 100-958, eff. 8-19-18.)
(205 ILCS 405/16) (from Ch. 17, par. 4832)
Sec. 16. Annual report; investigation; costs.
(a) Each licensee shall
annually, on or before the 1st day of
March, file a report with the Secretary for the
calendar year period
from January 1st through December 31st, giving such relevant information
as the Secretary may reasonably require concerning, and for the purpose
of examining, the business and operations during the preceding fiscal
year period of each licensed currency exchange conducted by such
licensee within the State. Such report shall be made under oath and
shall be in the form prescribed by the Secretary. The Secretary may at
any time, and shall at least once in each year, investigate the currency
exchange business of any licensee and of every person, partnership,
association, limited liability company, and corporation who or which shall
be engaged in the
business of operating a currency exchange. For that purpose, the
Secretary shall have free access to the offices and places of business
and to such records of all such persons, firms, partnerships,
associations, limited liability companies and members thereof, and
corporations and to the officers and directors thereof
that shall relate to such currency exchange business.
The investigation may be conducted in conjunction with representatives of
other State agencies or agencies of another state or of the United States as
determined by the Secretary.
The Secretary may
at any time inspect the locations
served by an ambulatory currency exchange, for the purpose of
determining whether such currency exchange is complying with the
provisions of this Act at each location served. The Secretary may require
by subpoena the attendance of and examine under oath all persons whose
testimony he may require relative to such business, and in such cases
the Secretary, or any qualified representative of the Secretary whom the
Secretary may designate, may administer oaths to all such persons called
as witnesses, and the Secretary, or any such qualified representative of
the Secretary, may conduct such examinations, and there shall be paid to
the Secretary for each such examination a fee of $250 for each day
or part
thereof for each qualified representative designated and required to
conduct the examination; provided, however, that in the case of an
ambulatory currency exchange, such fee shall be $150 for each day or part
thereof.
(b) Confidentiality. All information collected by the Department in the course of an examination or investigation of an ambulatory or community currency exchange or applicant, including, by not limited to, any complaint against an ambulatory or community currency exchange filed with the Department, and information collected to investigate any such complaint shall be maintained for the confidential use of the Department and shall not be disclosed. The Department may not disclose such information to anyone other than law enforcement officials, other regulatory agencies that have an appropriate regulatory interest as determined by the Secretary, or to a party presenting a lawful subpoena to the Department. Information and documents disclosed to a federal, State, county, or local law enforcement agency shall not be disclosed by the agency for any purpose to any other agency or person. A formal complaint filed against a licensee by the Department or any order issued by the Department against a licensee shall be a public record, except as otherwise prohibited by law.
(Source: P.A. 97-315, eff. 1-1-12.)
(205 ILCS 405/17) (from Ch. 17, par. 4833)
Sec. 17. Every licensee shall keep and use in his business such books,
accounts and records as will enable the Secretary to determine whether such
licensee is complying with the provisions of this Act and with the rules,
regulations and directions made by the Secretary hereunder.
Each licensee shall record or cause to be recorded the following
information with respect to each money order it sells or issues: (1) the
amount; (2) the month and year of sale or issuance; and (3) the serial
number.
Each licensee shall preserve the record required by this subsection for
at least 7 years or until the money order to which it pertains is returned
to the licensee. Each money order returned to the licensee shall be
preserved for not less than 3 years from the month and year of sale or
issuance by the licensee. The licensee shall keep the record, or an
authentic microfilm copy thereof, required to be preserved by this
subsection within this state at its principal office or other place readily accessible to the Secretary
and his representatives. If a licensee sells or transfers his business at a
location or an address, his obligations under this paragraph devolve upon
the successor licensee and subsequent successor licensees, if any, at such
location or address. If a licensee ceases to do business in this state, he
shall deposit the records and money orders he is required to preserve, with
the Secretary.
(Source: P.A. 99-445, eff. 1-1-16.)
(205 ILCS 405/18) (from Ch. 17, par. 4834)
Sec. 18. Proof of address. The applicant for a community currency exchange license shall have
a permanent address as evidenced by a lease of at least 6 months duration
or other suitable evidence of permanency, and the license issued, pursuant
to the application shall be valid only at that address in the application or any new address
approved by the Secretary. A letter of intent for a lease shall suffice for inclusion with the application, and evidence of an executed lease shall be considered ministerial in nature, to be furnished once the investigation is completed and the approval is final and prior to the issuance of the license.
(Source: P.A. 99-445, eff. 1-1-16.)
(205 ILCS 405/19) (from Ch. 17, par. 4835)
Sec. 19.
The Department may make and enforce such reasonable rules, directions, orders, decisions and findings as the execution and enforcement of the provisions of this Act require, and as are not inconsistent within this Act. All such rules, directions, orders, decisions and
findings shall be filed and entered by the Secretary in an indexed permanent
book or record, or electronic record, with the effective date thereof suitably indicated, and
such book or record shall be a public document. All rules and
directions, which are of a general character, shall be made available in electronic form to all licensees within 10 days after filing and all licensees shall receive by mail notice of any changes.
Copies of all findings, orders and decisions shall be mailed to the parties
affected thereby by United States mail within 5 days of such filing.
The Department shall adopt rules concerning classes of violations, which may include continuing violations of this Act, and factors in mitigation of violations.
(Source: P.A. 99-445, eff. 1-1-16.)
(205 ILCS 405/19.1) (from Ch. 17, par. 4836)
Sec. 19.1.
Whenever an ambulatory currency exchange shall be actively
engaged in the cashing of checks other than from within an armored vehicle,
such currency exchange shall provide armed guards as it deems necessary
for the protection of its customers and the Public.
(Source: P.A. 79-831.)
(205 ILCS 405/19.3) (from Ch. 17, par. 4838)
Sec. 19.3. (A) The General Assembly hereby finds and declares: community
currency exchanges and ambulatory currency exchanges provide important and
vital services to Illinois citizens. In so doing, they transact extensive
business involving check cashing and the writing of money orders in communities
in which banking services are generally unavailable. Customers of currency
exchanges who receive these services must be protected from being charged
unreasonable and unconscionable rates for cashing checks and purchasing
money orders. The Illinois Department of Financial and Professional Regulation has the
responsibility for regulating the operations of currency exchanges and has
the expertise to determine reasonable maximum rates to be charged for check
cashing and money order purchases. Therefore, it is in the public interest,
convenience, welfare and good to have the Department establish reasonable
maximum rate schedules for check cashing and the issuance of money orders
and to require community and ambulatory currency exchanges to prominently
display to the public the fees charged for all services.
The Secretary shall review, each year, the cost of operation of the Currency
Exchange Section and the revenue generated from currency exchange
examinations and report to the General Assembly if the need exists for an
increase in the fees mandated by this Act to maintain the Currency Exchange Section
at a fiscally self-sufficient level. The Secretary shall include
in such report the total amount of funds remitted to the State and delivered
to the State Treasurer by currency exchanges pursuant to the Revised Uniform
Unclaimed Property Act.
(B) The Secretary shall, by rules adopted in accordance with the Illinois
Administrative Procedure Act, expeditiously formulate and issue schedules of
reasonable maximum rates which can be charged for check cashing and writing of
money orders by community currency exchanges and ambulatory currency exchanges.
(Source: P.A. 100-22, eff. 1-1-18; 100-704, eff. 6-1-19.)
(205 ILCS 405/19.4) (from Ch. 17, par. 4839)
Sec. 19.4.
The fees charged by community and ambulatory currency exchanges
for rendering any service authorized by this Act shall be prominently displayed
on the premises of the community currency exchange or at the location served
by the ambulatory currency exchange in such fashion as shall be required
by the Secretary.
(Source: P.A. 97-315, eff. 1-1-12.)
(205 ILCS 405/20) (from Ch. 17, par. 4840)
Sec. 20.
Every person having taken an oath in any proceeding or matter
wherein an oath is required by this Act, who shall swear willfully,
corruptly or falsely in a matter material to the issue or point in
question, or shall suborn any other person to swear as aforesaid, shall be
guilty of perjury or subornation of perjury, as the case may be.
(Source: P.A. 97-315, eff. 1-1-12.)
(205 ILCS 405/21) (from Ch. 17, par. 4841)
Sec. 21.
Except as otherwise provided for in this Act, whenever the
Secretary is required to give notice to any applicant or licensee, such
requirement shall be complied with if, within the time fixed herein, such
notice shall be enclosed in an envelope plainly addressed to such applicant
or licensee, as the case may be, at the address set forth in the
application or licensee's principal office, as the case may be, United States postage fully
prepaid, and deposited, registered or certified, in the United States mail.
Notice may also be provided to an applicant or licensee by telephone facsimile to the person or electronically via email to the telephone number or email address designated by an applicant or licensee in writing.
(Source: P.A. 99-445, eff. 1-1-16.)
(205 ILCS 405/22.01) (from Ch. 17, par. 4843)
Sec. 22.01.
All final administrative decisions of the Secretary hereunder
shall be subject to judicial review pursuant to the provisions of the Administrative
Review Law, and all amendments and
modifications thereof, and the rules adopted pursuant thereto. The term
"administrative decision" is defined as in Section 3-101 of the Code of
Civil Procedure. The person seeking judicial review shall pay to the Secretary
the costs of preparing and certifying the record of proceedings before the
Secretary.
(Source: P.A. 97-315, eff. 1-1-12.)
(205 ILCS 405/22.03)
Sec. 22.03. (Repealed).
(Source: P.A. 87-258. Repealed by P.A. 97-315, eff. 1-1-12.)
(205 ILCS 405/23) (from Ch. 17, par. 4846)
Sec. 23.
If any licensee, or agent or employee of a licensee, fraudulently
takes and secretes any money, note, bill, bond or other property belonging
to another and in the possession and custody of such licensee as agent or
otherwise, he shall be guilty of theft and punished accordingly.
(Source: Laws 1961, p. 2089.)
(205 ILCS 405/24) (from Ch. 17, par. 4847)
Sec. 24.
Violations.
Any person, firm, association, partnership, limited liability company, or
corporation who or which
shall violate any provision of this Act for which no other penalty is
herein prescribed shall be guilty of a petty offense, and each violation
shall constitute a separate offense.
(Source: P.A. 90-545, eff. 1-1-98.)
(205 ILCS 405/25)
Sec. 25. (Repealed).
(Source: Laws 1957, p. 320. Repealed by P.A. 97-315, eff. 1-1-12.)
(205 ILCS 405/27) (from Ch. 17, par. 4849)
Sec. 27.
Nothing contained in this Act shall be construed so as to limit
the power of municipalities, to license and tax community currency
exchanges, and to regulate their location and operation in a manner not
inconsistent with this Act.
(Source: Laws 1943, vol. 1, p. 233.)
(205 ILCS 405/28) (from Ch. 17, par. 4850)
Sec. 28.
Unless an ambulatory currency exchange shall engage in the
business of selling or issuing money orders under his, their or its name,
or any money orders other than those excepted in Section 1 of this Act,
Sections 5, 6, 7, 15.1 and 15.2 of this Act shall not be applicable to
it. Otherwise, said sections shall apply to it, if it shall engage in such
business.
(Source: Laws 1959, p. 2264.)
(205 ILCS 405/29) (from Ch. 17, par. 4851)
Sec. 29.
The operation of any unlicensed community or ambulatory
currency exchange, or the unlawful conduct or operation of any licensed
community or ambulatory currency exchange, is hereby declared to
constitute unfair competition with licensed and legally operated
currency exchanges doing business in the same community. Any licensee
operating legally under this Act in the same community shall have the
right to apply to the circuit court for and obtain an injunction
restraining such unfair competition.
(Source: P.A. 79-1361.)
(205 ILCS 405/29.5)
Sec. 29.5. Cease and desist. The Secretary may issue a cease and desist order to any currency exchange or other person doing business without the required license, when in the opinion of the Secretary, the currency exchange or other person is violating or is about to violate any provision of this Act or any rule or requirement imposed in writing by the Department. The cease and desist order shall specify the activity or activities that the Department is seeking the currency exchange or other person doing business without the required license to cease and desist.
The cease and desist order permitted by this Section may be issued prior to a hearing.
The Secretary shall serve notice of his or her action, including, but not limited to, a statement of reasons for the action, either personally or by certified mail, return receipt requested. Service by certified mail shall be deemed completed (i) when the notice is deposited in the U.S. mail, received, or delivery is refused, or (ii) one business day after the United States Postal Service has attempted delivery, whichever is earlier.
Within 10 days after service of a cease and desist order, the licensee or other person may request, in writing, a hearing. The Secretary shall schedule a hearing within 30 days after the request for a hearing unless otherwise agreed to by the parties.
If it is determined that the Secretary has the authority to issue the cease and desist order, he or she may issue such orders as reasonably necessary to correct, eliminate, or remedy such conduct.
The powers vested in the Secretary by this Section are additional to any and all other powers and remedies vested in the Secretary by law, and nothing in this Section shall be construed as requiring that the Secretary shall employ the power conferred in this Section instead of or as a condition precedent to the exercise of any other power or remedy vested in the Secretary.
The currency exchange, or other person doing business without the required license, shall pay the actual costs of the hearing.
(Source: P.A. 99-445, eff. 1-1-16.)
(205 ILCS 405/30) (from Ch. 17, par. 4852)
Sec. 30.
If any part or provision of this Act shall be declared
unconstitutional, the unconstitutionality of such part or provision shall
not invalidate the constitutional provisions of this Act.
(Source: Laws 1951, p. 562.)
Structure Illinois Compiled Statutes
Chapter 205 - FINANCIAL REGULATION
205 ILCS 5/ - Illinois Banking Act.
205 ILCS 10/ - Illinois Bank Holding Company Act of 1957.
205 ILCS 115/ - Savings and Loan Share and Account Act.
205 ILCS 205/ - Savings Bank Act.
205 ILCS 305/ - Illinois Credit Union Act.
205 ILCS 405/ - Currency Exchange Act.
205 ILCS 510/ - Pawnbroker Regulation Act.
205 ILCS 605/ - Consumer Deposit Account Act.
205 ILCS 610/ - Banking Emergencies Act.
205 ILCS 616/ - Electronic Fund Transfer Act.
205 ILCS 620/ - Corporate Fiduciary Act.
205 ILCS 625/ - Illinois Trust and Payable on Death Accounts Act.
205 ILCS 630/ - Promissory Note and Bank Holiday Act. (Part 3)
205 ILCS 635/ - Residential Mortgage License Act of 1987.
205 ILCS 645/ - Foreign Banking Office Act.
205 ILCS 650/ - Foreign Bank Representative Office Act.
205 ILCS 657/ - Transmitters of Money Act.
205 ILCS 660/ - Sales Finance Agency Act.
205 ILCS 665/ - Debt Management Service Act.
205 ILCS 670/ - Consumer Installment Loan Act.
205 ILCS 675/ - Illinois Financial Services Development Act.
205 ILCS 685/ - Currency Reporting Act.
205 ILCS 695/ - Automated Teller Machine Security Act.
205 ILCS 700/ - Adverse Claims to Deposit Accounts Act.
205 ILCS 705/ - Financial Institutions Electronic Documents and Digital Signature Act.
205 ILCS 710/ - Banking on Illinois Act.
205 ILCS 715/ - Data Processing Services for Financial Institutions Act.
205 ILCS 725/ - Blockchain Business Development Act .
205 ILCS 730/ - Blockchain Technology Act.
205 ILCS 735/ - Illinois Community Reinvestment Act.