90th General Assembly
Summary of HB1113
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House Sponsors:
ERWIN-HUGHES-LOPEZ-GASH-BLACK.

Senate Sponsors:
RAUSCHENBERGER-PARKER-OBAMA

Short description: 
CHECK PRINTER REGULATION                                                   

Synopsis of Bill as introduced:
        Amends the Check Number Act.  Changes  the  short  title  to  the      
   Check  Printer  and  Check  Number  Act.   Provides  that  persons not      
   affiliated with a financial institution and engaged in the business of      
   printing checks must register with the Commissioner of Banks and  Real      
   Estate.   Requires  these  check printers to verify the name, address,      
   telephone number, and social security number of check  purchasers  and      
   to  refuse  to  distribute ordered checks if the information cannot be      
   verified.  Requires these check printers to post a  bond.   Creates  a      
   civil cause of action for persons damaged by a check printer's failure      
   to verify.  Authorizes minimum damages of $1,000 plus attorneys' fees.      
   Provides  that  making a false statement on the registration form is a      
   Class 3 felony.  Effective immediately.                                     
          FISCAL NOTE (Dpt. of Financial Institutions)                         
          HB 1113 would have no fiscal impact on the Dept.                     
          FISCAL NOTE (Office of Banks and Real Estate)                        
          The number of entities which would need to register is unknown,      
          but if 200 check printers registered, OBRE estimates start-up        
          costs of about $25,000, plus annual expenditures of $10,000.         
          There is no provision for registration fees or some other way        
          to recover costs.                                                    
          CORRECTIONAL NOTE                                                    
          HB1113 will have minimal fiscal and prison population impact.        
        HOUSE AMENDMENT NO. 1.                                                 
          Adds reference to:                                                   
          205 ILCS 690/40 new                                                  
        Replaces the title and  everything  after  the  enacting  clause.      
   Provides  that  a  person  other  than a financial institution, person      
   filling check orders on behalf or a financial institution,  or  person      
   filling  check  orders  under an existing  contract must register with      
   the Commissioner of Banks and Real Estate. Requires  registered  check      
   printers   to   post  a  bond.   Requires  check  printers  to  obtain      
   documentation from a person ordering checks verifying the accuracy  of      
   the  information  relating to that person's name, address, and account      
   number.  Authorizes a civil cause of action for persons injured  by  a      
   failure  to  verify the accuracy of information.  Provides that making      
   false statements on a registration form constitutes a Class 3 felony.       
        HOUSE AMENDMENT NO. 2.                                                 
          Adds reference to:                                                   
          205 ILCS 690/22 new                                                  
        Includes  credit  unions  within  the  definition  of  the   term      
   "financial  institution".  Imposes a $50 annual registration fee to be      
   deposited into the Bank and Trust Company Fund.                             
 
Last action on Bill: SESSION SINE DIE

   Last action date: 99-01-12

           Location: House

 Amendments to Bill: AMENDMENTS ADOPTED: HOUSE -   2     SENATE -   0


   END OF INQUIRY 



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