The proposed bill amends the Nebraska Money Transmitters Act to enhance regulatory oversight and address concerns related to foreign adversaries in the money transmission industry. It introduces the definition of "foreign adversary person," which includes entities from specific countries deemed threats to U.S. national security, such as China, Cuba, Iran, North Korea, Russia, and Venezuela. Applicants for money transmission licenses are now required to certify that they are not foreign adversaries, and the Director of Banking and Finance is granted the authority to verify these certifications. The bill also expands the definition of money transmission to encompass informal value transfer system services, thereby broadening the regulatory scope.

In addition to these definitions, the bill updates the application process for licenses, mandating detailed disclosures from applicants regarding their corporate structure, financial statements, and any criminal history of key individuals. It establishes a presumption against granting licenses to those connected to foreign adversaries and empowers the director to revoke licenses if compliance is not demonstrated. The bill also requires the director to request supplemental information from existing licensees and create forms to streamline the application process, ultimately reinforcing the state's commitment to safeguarding its financial sector from potential risks associated with foreign entities.

Statutes affected:
Introduced: 8-2701, 8-2702, 8-2711, 8-2742