Untitled section

217.02

 

Definitions.

In this chapter:

217.02(1)

(1)

 

“Acting in concert” means persons knowingly acting together with a common goal of jointly acquiring control of a licensee, whether or not pursuant to an express agreement.

217.02(2)

(2)

 

“Authorized delegate” means a person a licensee designates to engage in money transmission on behalf of the licensee.

217.02(3)

(3)

 

“Average daily money transmission liability” means the amount of a licensee’s outstanding money transmission obligations at the end of each day in a given period of time, added together, and divided by the total number of days in the given period of time. For purposes of calculating average daily money transmission liability under this chapter for any licensee required to do so, the given period of time shall be the quarters ending March 31, June 30, September 30, and December 31.

217.02(4)

(4)

 

“Bank Secrecy Act” means the Bank Secrecy Act, 31 USC 5311 et seq., and its implementing regulations.

217.02(5)

(5)

 

“Closed loop stored value” means stored value that is redeemable by the issuer only for goods or services provided by the issuer or its affiliate or franchisees of the issuer or its affiliate, except to the extent required by applicable law to be redeemable in cash for its cash value.

217.02(6)

(6)

 

217.02(6)(a)

(a)

“Control” means any of the following:

217.02(6)(a)1.

1.

The power to vote, directly or indirectly, at least 25 percent of the outstanding voting shares or voting interests of a licensee or person in control of a licensee.

217.02(6)(a)2.

2.

The power to elect or appoint a majority of key individuals or executive officers, managers, directors, trustees, or other persons exercising managerial authority of a licensee or person in control of a licensee.

217.02(6)(a)3.

3.

The power to exercise, directly or indirectly, a controlling influence over the management or policies of a licensee or person in control of a licensee.

217.02(6)(b)

(b)

A person is presumed to exercise a controlling influence within the meaning of par. (a) 3. if the person holds the power to vote, directly or indirectly, at least 10 percent of the outstanding voting shares or voting interests of a licensee or person in control of a licensee. A person presumed to exercise a controlling influence under this paragraph may rebut the presumption of control by showing that the person is a passive investor.

217.02(6)(c)

(c)

For purposes of determining the percentage of a person controlled by any other person, the person’s interest shall be aggregated with the interest of any other immediate family member, including the person’s spouse, parents, children, siblings, mothers-in-law, fathers-in-law, sons-in-law, daughters-in-law, brothers-in-law, sisters-in-law, and any other person who shares the person’s home.

217.02(7)

(7)

 

“Division” means the division of banking.

217.02(8)

(8)

 

“Eligible rating” means a credit rating of any of the 3 highest rating categories provided by an eligible rating service, whereby each category may include rating category modifiers such as “plus” or “minus” for S&P, or the equivalent for any other eligible rating service. Long-term credit ratings are deemed eligible if the rating is equal to A- or higher by S&P, or the equivalent from any other eligible rating service. Short-term credit ratings are deemed eligible if the rating is equal to or higher than A-2 or SP-2 by S&P, or the equivalent from any other eligible rating service. If ratings differ among eligible rating services, the highest rating applies when determining whether a security bears an eligible rating.

217.02(9)

(9)

 

“Eligible rating service” means any nationally recognized statistical rating organization as defined by the U.S. Securities and Exchange Commission, and any other organization designated by the division.

217.02(10)

(10)

 

“Federally insured depository financial institution” means a bank, credit union, savings and loan association, trust company, savings association, savings bank, industrial bank, or industrial loan company organized under the laws of the United States or any state of the United States, when such bank, credit union, savings and loan association, trust company, savings association, savings bank, industrial bank, or industrial loan company has federally insured deposits.

217.02(11)

(11)

 

“In this state” includes, with respect to a money transmission transaction, all of the following:

217.02(11)(a)

(a)

A transaction requested in person at a physical location within the geographic boundaries of this state.

217.02(11)(b)

(b)

A transaction requested by telephone or electronic means by a resident of this state, if information provided by the person requesting the transaction, or other records of the provider of money transmission, indicate that the person’s physical address or principal place of business is located within the geographic boundaries of this state.

217.02(12)

(12)

 

“Key individual” means any individual ultimately responsible for establishing or directing policies and procedures of a licensee, such as an executive officer, manager, director, or trustee.

217.02(13)

(13)

 

“Licensee” means a person licensed under this chapter.

217.02(14)

(14)

 

“Material litigation” means litigation that, according to U.S. generally accepted accounting principles, is significant to a person’s financial health and would be required to be disclosed in the person’s annual audited financial statements, report to shareholders, or similar records.

217.02(15)

(15)

 

“Monetary value” means a medium of exchange, whether or not redeemable in money.

217.02(16)

(16)

 

“Money” means a medium of exchange that is authorized or adopted by the United States or a foreign government. “Money” includes a monetary unit of account established by an intergovernmental organization or by agreement between 2 or more governments.

217.02(17)

(17)

 

“Money transmission” means any of the following:

217.02(17)(a)

(a)

Selling or issuing payment instruments to a person located in this state.

217.02(17)(b)

(b)

Selling or issuing stored value to a person located in this state.

217.02(17)(c)

(c)

Receiving money for transmission from a person located in this state.

217.02(18)

(18)

 

“MSB-accredited state” means a state that has an agency that is accredited by the Conference of State Bank Supervisors and Money Transmitter Regulators Association for money transmission licensing and supervision.

217.02(19)

(19)

 

“Multistate licensing process” means any agreement among state regulators relating to coordinated processing of applications for money transmission licenses, applications for the acquisition of control of a licensee, control determinations, or notice and information requirements for a change of key individuals.

217.02(20)

(20)

 

“Nationwide multistate licensing system and registry” has the meaning given in s.