The bill aims to combat illegal immigration by imposing strict regulations on licensed money services businesses regarding foreign remittance transfers. It prohibits these businesses from initiating such transfers unless they have verified that the sender is not an unauthorized alien, as defined in existing law. The bill defines "foreign remittance transfer" and mandates the Financial Services Commission to adopt rules for acceptable verification documentation. Licensees are required to submit verification forms and pay a penalty of 25% of the transferred amount for any violations, with penalties to be remitted quarterly. Additionally, the bill amends record-keeping requirements to include documentation related to the verification of senders and penalties paid.

Furthermore, the bill establishes a new section that allows the Office of Financial Regulation to request records from licensees and conduct random quarterly audits to ensure compliance. It outlines the process for filing complaints against licensees and imposes criminal penalties for knowingly filing false complaints. The bill also specifies that failure to comply with the verification requirements can lead to the suspension of licenses. Emergency rules can be adopted to implement the act, which is set to take effect on March 31, 2025.

Statutes affected:
H 5A Filed: 560.211