S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  6099--A
 
                        2017-2018 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             February 23, 2017
                                ___________
 
 Introduced  by  M.  of A. LUPARDO, D'URSO, BRINDISI, WALLACE, SEPULVEDA,
   McDONOUGH, RAIA, BARRON, JEAN-PIERRE, BLAKE, HUNTER -- Multi-Sponsored
   by -- M. of A.  LENTOL -- read once and referred to the  Committee  on
   Aging  --  committee  discharged,  bill  amended, ordered reprinted as
   amended and recommitted to said committee

 AN ACT to amend the social services law and the banking law, in relation
   to the role of banking institutions in protecting  vulnerable  elderly
   persons from financial exploitation
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Section 473 of the social services law is amended by adding
 a new subdivision 9 to read as follows:
   9. (A) WHEN USED IN THIS SUBDIVISION: (I) "BANKING INSTITUTION"  MEANS
 ANY  BANK, TRUST COMPANY, SAVINGS BANK, SAVINGS AND LOAN ASSOCIATION, OR
 CREDIT UNION, WHICH IS CHARTERED, ORGANIZED, OR LICENSED UNDER THE  LAWS
 OF  THIS  STATE, AND IN THE COURSE OF BUSINESS TAKES DEPOSIT ACCOUNTS IN
 THIS STATE, BUT SHALL NOT INCLUDE  A  PRIVATE  BANKER,  A  SAFE  DEPOSIT
 COMPANY, OR AN INVESTMENT COMPANY.
   (II)  "VULNERABLE  ELDERLY  PERSON"  SHALL  HAVE  THE  SAME MEANING AS
 SECTION 260.31 OF THE PENAL LAW.
   (III) "FINANCIAL EXPLOITATION" MEANS (A) A SERIES OF IMPROPER TAKINGS,
 WITHHOLDINGS, APPROPRIATIONS, OR USES OF  A  VULNERABLE  ADULT'S  MONEY,
 ASSETS,  OR PROPERTY OR (B) A SERIES OF ACTS OR OMISSIONS TO: (1) OBTAIN
 CONTROL, THROUGH DECEPTION,  INTIMIDATION,  OR  MALICIOUS  INFLUENCE,  A
 VULNERABLE ADULT'S MONEY, ASSETS, OR PROPERTY OR (2) CONVERT THE VULNER-
 ABLE ADULT'S MONEY, ASSETS, OR PROPERTY.
   (IV)  "QUALIFIED  INDIVIDUAL"  MEANS  AN  INDIVIDUAL ASSOCIATED WITH A
 BANKING INSTITUTION WHO SERVES IN A SUPERVISORY,  COMPLIANCE,  OR  LEGAL
 CAPACITY AS PART OF THE INDIVIDUAL'S JOB.
   (B)  IF  A  BANKING  INSTITUTION,  SOCIAL  SERVICES  OFFICIAL,  OR LAW
 ENFORCEMENT AGENCY REASONABLY BELIEVES THAT FINANCIAL EXPLOITATION OF  A
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD06983-02-7

 A. 6099--A                          2
 
 VULNERABLE  ELDERLY  PERSON HAS OCCURRED OR MAY OCCUR AGAIN, THE BANKING
 INSTITUTION MAY, BUT SHALL NOT BE  REQUIRED  TO,  REFUSE  OR  DELAY  ANY
 SINGLE  TRANSACTION  REQUIRING  THE DISBURSAL OF MONEYS FROM THE ACCOUNT
 OF:
   (I) A VULNERABLE ELDERLY PERSON; OR
   (II) WHICH A VULNERABLE ELDERLY PERSON IS A BENEFICIARY.
   (C)  A BANKING INSTITUTION MAY ALSO REFUSE TO DISBURSE OR DELAY MONEYS
 PURSUANT TO THIS SUBDIVISION IF  A  SOCIAL  SERVICES  OFFICIAL,  OR  LAW
 ENFORCEMENT  AGENCY PROVIDES INFORMATION TO SUCH INSTITUTION DEMONSTRAT-
 ING THAT IT IS REASONABLE TO BELIEVE THAT FINANCIAL  EXPLOITATION  OF  A
 VULNERABLE ELDERLY PERSON HAS OCCURRED OR MAY OCCUR AGAIN.
   (D)  A BANKING INSTITUTION SHALL NOT BE REQUIRED TO REFUSE TO DISBURSE
 OR DELAY FUNDS PURSUANT TO THIS SECTION. SUCH A REFUSAL OR  DELAY  SHALL
 BE  IN  THE  BANKING  INSTITUTION'S DISCRETION, BASED ON THE INFORMATION
 AVAILABLE TO SUCH INSTITUTION.
   (E) ANY BANKING INSTITUTION THAT REFUSES TO DISBURSE MONEYS OR  DELAYS
 THE DISBURSEMENT OF MONEYS PURSUANT TO THIS SUBDIVISION SHALL:
   (I)  MAKE A REASONABLE EFFORT TO PROVIDE NOTICE, ORALLY OR IN WRITING,
 TO ALL PARTIES AUTHORIZED TO TRANSACT BUSINESS ON THE ACCOUNT FROM WHICH
 A DISBURSEMENT WAS REFUSED AND/OR DELAYED WITHIN FIVE BUSINESS  DAYS  OF
 SUCH REFUSAL OR DELAY; AND
   (II)  IMMEDIATELY,  BUT NO LATER THAN ONE BUSINESS DAY AFTER A REFUSAL
 OR DELAY WAS PLACED ON A TRANSACTION, REPORT THE INCIDENT TO THE  SOCIAL
 SERVICES   OFFICIAL   RESPONSIBLE  FOR  ADMINISTERING  ADULT  PROTECTIVE
 SERVICES OR ENHANCED MULTI-DISCIPLINARY TEAMS PURSUANT TO  THIS  ARTICLE
 FOR  THE AFFECTED VULNERABLE ADULT. SUCH REPORT SHALL INCLUDE THE REASON
 FOR REFUSING AND/OR DELAYING A TRANSACTION AND THE BANKING INSTITUTION'S
 BASIS FOR REFUSING AND/OR DELAYING A  SINGLE  TRANSACTION.  SUCH  REPORT
 SHALL  ALSO CONTAIN ANY FACTS THAT THE BANK DEEMS RELEVANT TO ESTABLISH-
 ING THAT FINANCIAL EXPLOITATION OF A VULNERABLE ELDERLY PERSON MAY  HAVE
 OCCURRED, MAY HAVE BEEN ATTEMPTED, OR IS BEING ATTEMPTED; AND
   (III)  AT  THE REQUEST OF THE SOCIAL SERVICES OFFICIAL RESPONSIBLE FOR
 ADMINISTERING ADULT PROTECTIVE SERVICES PURSUANT TO THIS ARTICLE FOR THE
 AFFECTED VULNERABLE ELDERLY PERSON OR A LAW ENFORCEMENT AGENCY,  PROVIDE
 ALL  INFORMATION AND DOCUMENTS THAT RELATE TO THE TRANSACTION REFUSAL OR
 DELAY WITHIN THREE BUSINESS DAYS  OF  THE  REQUEST  FOR  INFORMATION  OR
 DOCUMENTATION.
   (F) THE DELAY OF OR REFUSAL TO DISBURSE MONEYS PURSUANT TO THIS SUBDI-
 VISION SHALL TERMINATE UPON THE EARLIER OF:
   (I)  THE  TIME  AT WHICH THE BANKING INSTITUTION IS SATISFIED THAT THE
 DISBURSEMENT WILL NOT RESULT IN THE FINANCIAL EXPLOITATION OF A  VULNER-
 ABLE ELDERLY PERSON;
   (II)  THE  ISSUANCE  OF AN ORDER BY A COURT OF COMPETENT JURISDICTION,
 DIRECTING THE DISBURSAL OF THE MONEYS; OR
   (III) TEN BUSINESS DAYS AFTER THE DAY ON WHICH THE TRANSACTION REFUSAL
 OR DELAY IS APPLIED BY THE BANKING INSTITUTION.
   (G) NOTWITHSTANDING ANY OTHER PROVISIONS FOUND IN  THIS  ARTICLE,  THE
 BANKING INSTITUTION SHALL MAKE FUNDS AVAILABLE THAT WERE PREVIOUSLY HELD
 OR  DELAYED  BECAUSE OF SUSPICION OF FINANCIAL EXPLOITATION OF A VULNER-
 ABLE ELDERLY PERSON, IF SUCH FUNDS ARE NECESSARY TO MEET  ONGOING  OBLI-
 GATIONS  SUCH  AS,  BUT  NOT LIMITED TO, HOUSING, MEDICAL CARE, OR OTHER
 EMERGENCY EXPENSES AS DETERMINED BY A SOCIAL SERVICES  OFFICIAL  OR  LAW
 ENFORCEMENT  OFFICIAL.  TRANSACTIONS  RELATED  TO  THE  MAINTENANCE OF A
 HOUSEHOLD SUCH  AS  RENT,  MORTGAGE  PAYMENTS,  UTILITIES,  AND  MEDICAL
 EXPENSES SHALL NOT BE DELAYED OR REFUSED BY A BANKING INSTITUTION.

 A. 6099--A                          3
 
   (H)  IF  A BANKING INSTITUTION DOES ENGAGE IN THE PRACTICE OF DELAYING
 OR REFUSING TRANSACTIONS  BASED  ON  THE  FINANCIAL  EXPLOITATION  OF  A
 VULNERABLE  ELDERLY  PERSON, SUCH BANKING INSTITUTION MUST DESIGNATE ONE
 OR MORE QUALIFIED INDIVIDUALS WITH THE AUTHORITY TO REFUSE OR DELAY SUCH
 TRANSACTIONS.    SUCH  DESIGNEE  SHALL  MAKE  A RECORD OF SUCH ACTION IN
 COMPLIANCE WITH SUBPARAGRAPH (II) OF PARAGRAPH (E) OF THIS SUBDIVISION.
   (I) A BANKING INSTITUTION OR AN EMPLOYEE OF SUCH AN INSTITUTION  SHALL
 BE  IMMUNE FROM CRIMINAL, CIVIL OR ADMINISTRATIVE LIABILITY FOR DELAYING
 THE DISBURSEMENT OF MONEYS, REFUSING TO DISBURSE MONEYS,  OR  DISBURSING
 MONEYS  PURSUANT  TO THIS SUBDIVISION, AND FOR ACTIONS TAKEN IN FURTHER-
 ANCE OF THAT DETERMINATION, INCLUDING THE MAKING  OF  A  REPORT  OR  THE
 PROVIDING  OF  ACCESS  TO  OR  COPIES  OF  RELEVANT  RECORDS TO A SOCIAL
 SERVICES OFFICIAL OR LAW ENFORCEMENT AGENCY, IF SUCH DETERMINATIONS  AND
 ACTIONS WERE MADE IN GOOD FAITH AND IN ACCORDANCE WITH THE PROVISIONS OF
 THIS SUBDIVISION.
   §  2. Section 4 of the banking law is amended by adding a new subdivi-
 sion 4 to read as follows:
   4. A BANKING INSTITUTION OR AN EMPLOYEE OF SUCH AN  INSTITUTION  SHALL
 BE  IMMUNE FROM CRIMINAL, CIVIL OR ADMINISTRATIVE LIABILITY FOR REFUSING
 TO DISBURSE MONEYS OR DISBURSING MONEYS PURSUANT TO SUBDIVISION NINE  OF
 SECTION  FOUR  HUNDRED SEVENTY-THREE OF THE SOCIAL SERVICES LAW, AND FOR
 ACTIONS TAKEN IN FURTHERANCE OF A DETERMINATION MADE  PURSUANT  TO  SUCH
 SECTION,  INCLUDING  MAKING A REPORT OR PROVIDING ACCESS TO OR COPIES OF
 RELEVANT RECORDS TO A SOCIAL SERVICES OFFICIAL OR LAW ENFORCEMENT  AGEN-
 CY,  PROVIDED  THAT  SUCH  DETERMINATIONS  AND ACTIONS WERE MADE IN GOOD
 FAITH AND IN ACCORDANCE WITH SUBDIVISION NINE OF  SECTION  FOUR  HUNDRED
 SEVENTY-THREE  OF THE SOCIAL SERVICES LAW. FOR PURPOSES OF THIS SUBDIVI-
 SION, THE TERM "BANKING INSTITUTION" SHALL MEAN ANY BANK, TRUST COMPANY,
 SAVINGS BANK, SAVINGS AND LOAN ASSOCIATION, CREDIT UNION, OR BRANCH OF A
 FOREIGN BANKING CORPORATION, THAT IS CHARTERED, ORGANIZED,  OR  LICENSED
 UNDER  THE  LAWS  OF THIS STATE OR ANY OTHER STATE OR THE UNITED STATES,
 AND IN THE COURSE OF BUSINESS TAKES DEPOSIT ACCOUNTS IN THIS STATE,  BUT
 SHALL  NOT  INCLUDE  A  PRIVATE  BANKER,  A  SAFE DEPOSIT COMPANY, OR AN
 INVESTMENT COMPANY.
   § 3. The banking law is amended by adding a new section 4-d to read as
 follows:
   § 4-D. TRAINING AND EDUCATION. 1. THE SUPERINTENDENT, IN  CONSULTATION
 WITH  THE  DIRECTOR  OF  THE  OFFICE  FOR THE AGING, THE DIRECTOR OF THE
 BUREAU OF ADULT PROTECTIVE SERVICES WITHIN THE OFFICE  OF  CHILDREN  AND
 FAMILY  SERVICES, THE COMMISSIONER OF THE OFFICE OF PEOPLE WITH DEVELOP-
 MENTAL DISABILITIES, AND THE DIRECTOR OF THE OFFICE OF VICTIM  SERVICES,
 SHALL  DEVELOP  A  FINANCIAL EXPLOITATION TRAINING AND EDUCATION PROGRAM
 FOR BANKING INSTITUTIONS AS DEFINED IN  SECTION  FOUR  HUNDRED  SEVENTY-
 THREE  OF THE SOCIAL SERVICES LAW. THE SUPERINTENDENT SHALL ALSO CONSULT
 WITH ELDER ADVOCACY GROUPS  AND  DISABILITY  RIGHTS  ORGANIZATIONS  THAT
 POSSESS SPECIALIZED KNOWLEDGE IN THE PREVENTION AND/OR IDENTIFICATION OF
 FINANCIAL  EXPLOITATION,  ADVOCACY  GROUPS  DEALING  WITH THE EFFECTS OF
 AGING ON COGNITIVE ABILITIES, AND ADVOCACY GROUPS THAT POSSESS  SPECIAL-
 IZED  KNOWLEDGE IN DEVELOPMENTAL DISABILITIES, DISEASES AND OTHER CONDI-
 TIONS THAT MAY IMPAIR MENTAL AND COGNITIVE FUNCTION.
   2. PARTICIPATION IN THE FINANCIAL EXPLOITATION TRAINING AND  EDUCATION
 PROGRAM  SHALL  BE  VOLUNTARY  BY THE BANKING INSTITUTION AND THE SUPER-
 INTENDENT SHALL NOT REQUIRE, BY REGULATION OR OTHERWISE, THAT ANY DIREC-
 TOR, OFFICER, EMPLOYEE OR ANY OTHER PERSON  AFFILIATED  WITH  A  BANKING
 INSTITUTION  PARTICIPATE  IN  OR  ATTEND  SUCH  TRAINING  AND  EDUCATION
 PROGRAM.

 A. 6099--A                          4
 
   3. IN DEVELOPING THE FINANCIAL  EXPLOITATION  TRAINING  AND  EDUCATION
 PROGRAM  FOR  COVERED  BANKING  INSTITUTIONS,  THE  SUPERINTENDENT SHALL
 CONSULT WITH AND  SHALL  INCLUDE  INSTRUCTORS  FROM  ORGANIZATIONS  THAT
 PROVIDE SERVICES TO VULNERABLE ADULTS AND MAY HAVE EXPERIENCE IN IDENTI-
 FYING   FINANCIAL  EXPLOITATION  AND  FROM  ORGANIZATIONS  THAT  PROVIDE
 SERVICES TO INDIVIDUALS WITH DEVELOPMENTAL DISABILITIES.
   4. IT SHALL BE THE PURPOSE OF THE FINANCIAL EXPLOITATION TRAINING  AND
 EDUCATION  PROGRAM TO PROVIDE INFORMATION, TRAINING AND EDUCATION ON HOW
 TO IDENTIFY, HELP PREVENT AND REPORT THE  FINANCIAL  EXPLOITATION  OF  A
 VULNERABLE ELDERLY PERSON.
   5.  THE SUPERINTENDENT SHALL MAKE THE MATERIALS AND INSTRUCTION OF THE
 FINANCIAL EXPLOITATION TRAINING AND EDUCATION PROGRAM AVAILABLE  TO  ALL
 BANKING INSTITUTIONS ACROSS THE STATE AT NO COST, AND SHALL FURTHER MAKE
 SUCH  AVAILABLE  VIA  BOTH LIVE INSTRUCTION PLATFORMS AS WELL AS THROUGH
 ONLINE INSTRUCTIONAL PRESENTATIONS ACCESSIBLE THROUGH  THE  WEBSITES  OF
 THE  DEPARTMENT,  THE  OFFICE  FOR THE AGING, THE OFFICE OF CHILDREN AND
 FAMILY SERVICES, THE OFFICE OF PEOPLE WITH  DEVELOPMENTAL  DISABILITIES,
 AND THE OFFICE OF VICTIM SERVICES.
   § 4. This act shall take effect on the one hundred eightieth day after
 it shall have become a law.