senate Bill S2927A

2013-2014 Legislative Session

Creates the crime of criminal practices with an access device

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Sponsored By

Archive: Last Bill Status - In Committee


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

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Actions

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Assembly Actions - Lowercase
Senate Actions - UPPERCASE
Jan 09, 2014 print number 2927b
amend and recommit to codes
Jan 08, 2014 referred to codes
returned to senate
died in assembly
Apr 22, 2013 referred to codes
delivered to assembly
passed senate
Apr 15, 2013 amended on third reading 2927a
Mar 20, 2013 advanced to third reading
Mar 19, 2013 2nd report cal.
Mar 18, 2013 1st report cal.213
Mar 12, 2013 reported and committed to consumer protection
Jan 25, 2013 referred to codes

Votes

view votes

Mar 18, 2013 - Consumer Protection committee Vote

S2927
10
0
committee
10
Aye
0
Nay
1
Aye with Reservations
0
Absent
0
Excused
0
Abstained
show committee vote details

Committee Vote: Mar 18, 2013

aye wr (1)

Mar 12, 2013 - Codes committee Vote

S2927
16
0
committee
16
Aye
0
Nay
0
Aye with Reservations
0
Absent
0
Excused
0
Abstained
show committee vote details

Bill Amendments

Original
A
B (Active)
Original
A
B (Active)

Co-Sponsors

S2927 - Bill Details

Current Committee:
Law Section:
Penal Law
Laws Affected:
Add §§165.21, 165.22, 165.23 & 165.24, Pen L
Versions Introduced in 2011-2012 Legislative Session:
S6954B

S2927 - Bill Texts

view summary

Creates the crime of criminal practices with an access device.

view sponsor memo
BILL NUMBER:S2927

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 crime as a class B misdemea-
nor. This crime 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 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 is categorized as
a class B misdemeanor under the penal law. A person is guilty of this
crime when they knowingly and with the intent to defraud: produces,
uses or traffics one or more counterfeit access devices; uses one or
more unauthorized access device and obtains anything of value exceeding
one thousand dollars in the aggregate over a period of one year;
possesses fifteen or more counterfeit or unauthorized access devices;
has control, custody, or possesses device making equipment; effects
transactions with one or more access devices issued to another person or
persons without such person's consent and with intent to receive payment
or any other thing of value during a one year period with an aggregate
value equal or greater to one thousand dollars; or solicits a person to
offer an access device for the purpose of selling information regarding
an access device or an application to obtain an access device.

Section Two is the effective date.

JUSTIFICATION: According to the Federal Bureau of Investigation, organ-
ized 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 important-
ly, compromise the health, safety, and welfare of unsuspecting New York
consumers. And for every item stolen, New York State and local govern-
ments lose out on sales tax revenue - again, adding up to millions annu-

ally. 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. Retail-
ers are forced to offset these significant costs through higher prices -
meaning that honest consumers are forced to endure the impact of organ-
ized 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 rings 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 full text
download pdf
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  2927

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                            January 25, 2013
                               ___________

Introduced  by  Sens. ZELDIN, MAZIARZ -- read twice and ordered printed,
  and when printed to be committed to the Committee on Codes

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 a new section 165.21  to
read as follows:
S 165.21 CRIMINAL PRACTICES WITH AN ACCESS DEVICE.
  1.  DEFINITIONS. FOR THE PURPOSES OF THIS SECTION, THE FOLLOWING TERMS
SHALL HAVE THE FOLLOWING MEANINGS:
  (A) "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);
  (B) "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;
  (C) "UNAUTHORIZED ACCESS DEVICE" SHALL MEAN ANY ACCESS DEVICE THAT  IS
LOST,  STOLEN,  EXPIRED,  REVOKED,  CANCELED, OR OBTAINED WITH INTENT TO
DEFRAUD;
  (D) "PRODUCE" SHALL MEAN DESIGN, ALTER,  AUTHENTICATE,  DUPLICATE,  OR
ASSEMBLE;
  (E) "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;

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD01051-01-3

S. 2927                             2

  (F)  "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;
  (G)  "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.
  2. A PERSON IS GUILTY OF CRIMINAL PRACTICES WITH AN ACCESS DEVICE WHEN
HE OR SHE:
  (A) KNOWINGLY AND WITH INTENT TO DEFRAUD PRODUCES, USES,  OR  TRAFFICS
IN ONE OR MORE COUNTERFEIT ACCESS DEVICE; OR
  (B)  KNOWINGLY  AND  WITH 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
  (C)  KNOWINGLY  AND  WITH  INTENT TO DEFRAUD POSSESSES FIFTEEN OR MORE
DEVICES WHICH ARE COUNTERFEIT OR UNAUTHORIZED ACCESS DEVICES; OR
  (D) KNOWINGLY AND WITH INTENT TO DEFRAUD PRODUCES,  TRAFFICS  IN,  HAS
CONTROL OR CUSTODY OF, OR POSSESSES DEVICE-MAKING EQUIPMENT; OR
  (E) 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
  (F) WITHOUT THE AUTHORIZATION OF THE ISSUER OF THE ACCESS DEVICE KNOW-
INGLY AND WITH INTENT TO DEFRAUD SOLICITS A PERSON FOR THE PURPOSE OF:
  (I) OFFERING AN ACCESS DEVICE; OR
  (II) SELLING INFORMATION REGARDING OR  AN  APPLICATION  TO  OBTAIN  AN
ACCESS DEVICE.
  CRIMINAL PRACTICES WITH AN ACCESS DEVICE IS A CLASS B MISDEMEANOR.
  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.

Co-Sponsors

S2927A - Bill Details

Current Committee:
Law Section:
Penal Law
Laws Affected:
Add §§165.21, 165.22, 165.23 & 165.24, Pen L
Versions Introduced in 2011-2012 Legislative Session:
S6954B

S2927A - Bill Texts

view summary

Creates the crime of criminal practices with an access device.

view sponsor memo
BILL NUMBER:S2927A

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 E
felony, or a class D felony. 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 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 rings 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 full text
download pdf
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 2927--A
    Cal. No. 213

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                            January 25, 2013
                               ___________

Introduced  by  Sens. ZELDIN, 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 favorably 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

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;
  3. "UNAUTHORIZED ACCESS DEVICE" SHALL MEAN ANY ACCESS DEVICE  THAT  IS
LOST,  STOLEN,  EXPIRED,  REVOKED,  CANCELED, OR OBTAINED WITH INTENT TO
DEFRAUD;

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD01051-02-3

S. 2927--A                          2

  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 165.23 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.

Co-Sponsors

S2927B (ACTIVE) - Bill Details

Current Committee:
Law Section:
Penal Law
Laws Affected:
Add §§165.21, 165.22, 165.23 & 165.24, Pen L
Versions Introduced in 2011-2012 Legislative Session:
S6954B

S2927B (ACTIVE) - Bill Texts

view summary

Creates the crime of criminal practices with an access device.

view 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 full text
download pdf
                    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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