senate Bill S2927B

Creates the crime of criminal practices with an access device

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Bill Status


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor
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actions

  • 25 / Jan / 2013
    • REFERRED TO CODES
  • 12 / Mar / 2013
    • REPORTED AND COMMITTED TO CONSUMER PROTECTION
  • 18 / Mar / 2013
    • 1ST REPORT CAL.213
  • 19 / Mar / 2013
    • 2ND REPORT CAL.
  • 20 / Mar / 2013
    • ADVANCED TO THIRD READING
  • 15 / Apr / 2013
    • AMENDED ON THIRD READING 2927A
  • 22 / Apr / 2013
    • PASSED SENATE
  • 22 / Apr / 2013
    • DELIVERED TO ASSEMBLY
  • 22 / Apr / 2013
    • REFERRED TO CODES
  • 08 / Jan / 2014
    • DIED IN ASSEMBLY
  • 08 / Jan / 2014
    • RETURNED TO SENATE
  • 08 / Jan / 2014
    • REFERRED TO CODES
  • 09 / Jan / 2014
    • AMEND AND RECOMMIT TO CODES
  • 09 / Jan / 2014
    • PRINT NUMBER 2927B

Summary

Creates the crime of criminal practices with an access device.

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Bill Details

See Assembly Version of this Bill:
A4273B
Versions:
S2927
S2927A
S2927B
Legislative Cycle:
2013-2014
Current Committee:
Senate Codes
Law Section:
Penal Law
Laws Affected:
Add ยงยง165.21 - 164.24, Pen L
Versions Introduced in 2011-2012 Legislative Cycle:
S6954B, A10324A

Sponsor Memo

BILL NUMBER:S2927B

TITLE OF BILL: An act to amend the penal law, in relation to creating
the crime of criminal practices with an access device

PURPOSE OR GENERAL IDEA OF BILL: This bill prohibits criminal
practices with an access device and classifies such crimes as either a
class A misdemeanor, a class S felony, or a class felony, depending on
the severity of the offense. These new crimes would subject
individuals to criminal liability for certain actions taken with a
fraudulent or counterfeit credit card or other devices that grant the
holder access to money, goods, or services.

SUMMARY OF PROVISIONS:

Section One amends the penal law by adding a new section 165.21 which
defines criminal practices with an access device. For purposes of this
section, an "access device" shall mean any card, service, number,
instrument, service or any means of account access that can be used
alone or in conjunction with another device to obtain money, goods,
services, or anything of value or a transfer of funds; a "counterfeit
access device" shall mean any access device that is not an authentic
access device; an "unauthorized access device" shall mean any access
device that is lost, stolen, expired, revoked, canceled, or obtained
with the intent to defraud; and "device making equipment" shall mean
any equipment, mechanism, or impression designed or primarily used for
making an access device or a counterfeit access device.

The crime of criminal practices with an access device in the third
degree is categorized as a class A misdemeanor, criminal practices
with an access device in the second degree is categorized as a class E
felony, and criminal practices with an access device in the third
degree is categorized as a class D felony.

Section Two is the effective date.

JUSTIFICATION: According to the Federal Bureau of Investigation,
organized retail theft is a crime that costs United States retailers
about $30 billion per year. Organized retail crime comprises a wide
spectrum of high-volume and highly organized theft rings that cost New
York retailers hundreds of millions of dollars annually and, more
importantly, compromise the health, safety, and welfare of
unsuspecting New York consumers. And for every item stolen, New York
State and local governments lose out on sales tax revenue - again,
adding up to millions annually. Organized retail theft is the most
serious security issue facing many retail merchants, including apparel
and accessory retailers, mass merchandisers, do-it-yourself stores,
drug stores, and supermarkets. It's a crime that has grown
substantially over the past decade, with the emergence of organized
criminal theft at an unprecedented level. Retailers are forced to
offset these significant costs through higher prices - meaning that
honest consumers are forced to endure the impact of organized retail
theft, and professional shoplifters.

One of the ways that criminals commit these offenses is through the
use of counterfeit or fraudulently obtained credit cards, account
numbers, gift cards, or other means that grant access to funds or


things of value. In addition to harming retailers, these offenses also
harm other consumers when their account numbers are stolen. This bill
seeks to crack down on these criminals by penalizing them when they
knowingly and with the intent to defraud engage in transactions that
rise to the level of organized retail theft. An offense in violation
of this section could include possession of a counterfeit or
unauthorized access devices, sale of access device information,
producing or trafficking access devices, as well as certain
unauthorized uses of an access device. Criminalizing these acts deters
individuals or members of crime rinds from using access devices
fraudulently.

LEGISLATIVE HISTORY:

S.6954B of 2012 passed in the Senate/ A.10324A referred to Codes

FISCAL IMPLICATIONS: None

EFFECTIVE DATE: This act shall take effect on the first of November
next succeeding the date on which it shall have become a law.

view bill text
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 2927--B

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                            January 25, 2013
                               ___________

Introduced  by Sens. ZELDIN, LANZA, MAZIARZ, RANZENHOFER, SAVINO -- read
  twice and ordered printed, and when printed to  be  committed  to  the
  Committee  on  Codes  --  reported  favorably  from said committee and
  committed to the Committee on Consumer Protection -- reported  favora-
  bly  from  said committee, ordered to first and second report, ordered
  to a third reading, amended and ordered reprinted, retaining its place
  in the order of third reading -- recommitted to the Committee on Codes
  in accordance with Senate Rule 6, sec. 8 -- committee discharged, bill
  amended, ordered reprinted as amended and recommitted to said  commit-
  tee

AN  ACT  to  amend  the  penal law, in relation to creating the crime of
  criminal practices with an access device

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1.  The  penal  law  is  amended  by adding four new sections
165.21, 165.22, 165.23 and 165.24 to read as follows:
S 165.21 CRIMINAL PRACTICES WITH AN ACCESS DEVICE; DEFINITIONS.
  FOR THE PURPOSES OF SECTIONS 165.22, 165.23 AND 165.24 OF  THIS  ARTI-
CLE, THE FOLLOWING TERMS SHALL HAVE THE FOLLOWING MEANINGS:
  1.  "ACCESS  DEVICE"  SHALL MEAN ANY CARD, INCLUDING GIFT CARD, PLATE,
CODE, INCLUDING UNIVERSAL PRICE CODE LABEL, ACCOUNT  NUMBER,  ELECTRONIC
SERIAL  NUMBER,  MOBILE  IDENTIFICATION  NUMBER, PERSONAL IDENTIFICATION
NUMBER, OR OTHER TELECOMMUNICATIONS SERVICE,  EQUIPMENT,  OR  INSTRUMENT
IDENTIFIER,  INCLUDING  A RADIO FREQUENCY IDENTIFICATION TRANSPONDER, OR
OTHER MEANS OF ACCOUNT ACCESS THAT CAN BE USED, ALONE OR IN  CONJUNCTION
WITH  ANOTHER  ACCESS  DEVICE,  TO OBTAIN MONEY, GOODS, SERVICES, OR ANY
OTHER THING OF VALUE, OR THAT CAN BE USED  TO  INITIATE  A  TRANSFER  OF
FUNDS (OTHER THAN A TRANSFER ORIGINATED SOLELY BY PAPER INSTRUMENT);
  2.  "COUNTERFEIT  ACCESS  DEVICE" SHALL MEAN ANY ACCESS DEVICE THAT IS
COUNTERFEIT, FICTITIOUS, ALTERED, OR FORGED, OR AN  IDENTIFIABLE  COMPO-
NENT OF AN ACCESS DEVICE OR A COUNTERFEIT ACCESS DEVICE;

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD01051-07-3

S. 2927--B                          2

  3.  "UNAUTHORIZED  ACCESS DEVICE" SHALL MEAN ANY ACCESS DEVICE THAT IS
LOST, STOLEN, EXPIRED, REVOKED, CANCELED, OR  OBTAINED  WITH  INTENT  TO
DEFRAUD;
  4.  "PRODUCE"  SHALL  MEAN  DESIGN, ALTER, AUTHENTICATE, DUPLICATE, OR
ASSEMBLE;
  5. "TRAFFIC" SHALL MEAN TRANSFER, OR OTHERWISE DISPOSE OF, TO  ANOTHER
IN A FRAUDULENT MANNER, OR OBTAIN CONTROL OF WITH INTENT TO FRAUDULENTLY
TRANSFER OR DISPOSE OF;
  6.  "DEVICE-MAKING  EQUIPMENT" SHALL MEAN ANY EQUIPMENT, MECHANISM, OR
IMPRESSION DESIGNED OR PRIMARILY USED FOR MAKING AN UNAUTHORIZED  ACCESS
DEVICE OR A COUNTERFEIT ACCESS DEVICE;
  7.  "CREDIT  CARD SYSTEM NUMBER" SHALL MEAN A FINANCIAL INSTITUTION OR
OTHER ENTITY THAT IS A MEMBER OF A  CREDIT  CARD  SYSTEM,  INCLUDING  AN
ENTITY,  WHETHER AFFILIATED WITH OR IDENTICAL TO THE CREDIT CARD ISSUER,
THAT IS THE SOLE MEMBER OF A CREDIT CARD SYSTEM.
S 165.22 CRIMINAL PRACTICES WITH AN ACCESS DEVICE IN THE THIRD DEGREE.
  A PERSON IS GUILTY OF CRIMINAL PRACTICES WITH AN ACCESS DEVICE IN  THE
THIRD  DEGREE  WHEN  HE  OR SHE KNOWINGLY OR WITH THE INTENT TO DEFRAUD,
PRODUCES, USES OR TRAFFICS IN ONE OR MORE COUNTERFEIT ACCESS DEVICE.
  CRIMINAL PRACTICES WITH AN ACCESS DEVICE IN  THE  THIRD  DEGREE  IS  A
CLASS A MISDEMEANOR.
S 165.23 CRIMINAL PRACTICES WITH AN ACCESS DEVICE IN THE SECOND DEGREE.
  A  PERSON IS GUILTY OF CRIMINAL PRACTICES WITH AN ACCESS DEVICE IN THE
SECOND DEGREE WHEN HE OR SHE:
  1. KNOWINGLY AND WITH THE INTENT TO DEFRAUD, TRAFFICS IN OR  USES  ONE
OR  MORE  UNAUTHORIZED  DEVICE  DURING  ANY ONE-YEAR PERIOD, AND BY SUCH
CONDUCT OBTAINS ANYTHING OF VALUE AGGREGATING ONE  THOUSAND  DOLLARS  OR
MORE DURING THAT PERIOD; OR
  2.  KNOWINGLY  AND  WITH  INTENT  TO DEFRAUD POSSESSES FIFTEEN OR MORE
DEVICES WHICH ARE COUNTERFEIT OR UNAUTHORIZED ACCESS DEVICES; OR
  3. KNOWINGLY AND WITH INTENT TO DEFRAUD  PRODUCES,  TRAFFICS  IN,  HAS
CONTROL OR CUSTODY OF, OR POSSESSES DEVICE-MAKING EQUIPMENT.
  CRIMINAL  PRACTICES  WITH  AN  ACCESS DEVICE IN THE SECOND DEGREE IS A
CLASS E FELONY.
S 165.24 CRIMINAL PRACTICES WITH AN ACCESS DEVICE IN THE FIRST DEGREE.
  A PERSON IS GUILTY OF CRIMINAL PRACTICES WITH AN ACCESS DEVICE IN  THE
FIRST DEGREE WHEN HE OR SHE:
  1.  KNOWINGLY AND WITH INTENT TO DEFRAUD EFFECTS TRANSACTIONS WITH ONE
OR MORE ACCESS DEVICES ISSUED TO ANOTHER  PERSON  OR  PERSONS  AND  USED
WITHOUT  THE  CONSENT  OF  SUCH  PERSON, TO RECEIVE PAYMENT OR ANY OTHER
THING OF VALUE DURING ANY ONE-YEAR PERIOD THE AGGREGATE VALUE  OF  WHICH
IS EQUAL TO OR GREATER THAN ONE THOUSAND DOLLARS; OR
  2.  WITHOUT THE AUTHORIZATION OF THE ISSUER OF THE ACCESS DEVICE KNOW-
INGLY AND WITH INTENT TO DEFRAUD SOLICITS A PERSON FOR THE PURPOSE OF:
  (A) OFFERING AN ACCESS DEVICE; OR
  (B) SELLING INFORMATION REGARDING  OR  AN  APPLICATION  TO  OBTAIN  AN
ACCESS DEVICE.
  CRIMINAL  PRACTICES  WITH  AN  ACCESS  DEVICE IN THE FIRST DEGREE IS A
CLASS D FELONY.
  S 2. This act shall take effect on the first of November next succeed-
ing the date on which it shall have become a law.

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