Report Title:
Financial abuse
Description:
Requires financial institutions and licensed escrow depositories to report suspected instances of financial abuse directed towards, targeting, or committed against an elder or a dependent adult to a local law enforcement agency.
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HOUSE OF REPRESENTATIVES |
H.B. NO. |
1314 |
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TWENTY-FOURTH LEGISLATURE, 2007 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
RELATING TO FINANCIAL ABUSE.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Reported instances of financial abuse of elders and dependent adults have become increasingly widespread throughout the United States. As one means by which to attempt to curtail this disturbing trend, it is the intent of the legislature to impose, on State-regulated financial institutions and licensed Hawaii escrow depositories, a mandatory duty to report promptly suspected incidents of such abuse to local law enforcement agencies, so that those agencies can determine whether further investigation or other action is warranted.
SECTION 2. Chapter 412, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:
"§412: Mandatory reporting of suspected financial abuse of an elder or dependent adult. (a) All officers and employees of a financial institution have a mandatory duty to report suspected financial abuse that is directed towards, targets, or is committed against an elder or dependent adult to a local law enforcement agency.
(b) A mandatory duty arises if:
(1) The officer or employee of a financial institution:
(A) Has direct contact with the elder or dependent adult; or
(B) Reviews or approves the elder or dependent adult's financial documents, records, or transactions,
in connection with providing financial services with respect to an elder or dependent adult; and
(2) Within the scope of the person's employment or professional practice, the officer or employee:
(A) Has observed or has knowledge of an incident that is directly related to the transaction or matter that is within that scope of employment or professional practice, and that reasonably appears to be financial abuse; or
(B) Reasonably suspects that financial abuse has occurred or may be occurring, based solely on the information present at the time of reviewing or approving the document, record, or transaction in the case of mandated reporters who do not have direct contact with the elder or dependent adult.
(c) Suspected financial abuse shall be reported to a local law enforcement agency by telephone immediately, or as soon as practicably possible, and by written report sent within two workdays."
SECTION 3. Chapter 449, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:
"§449- Mandatory reporting of suspected financial abuse of an elder or dependent adult. (a) All officers and employees of an escrow depository have a mandatory duty to report suspected financial abuse that is directed towards, targets, or is committed against an elder or dependent adult to a local law enforcement agency.
(b) A mandatory duty arises if:
(1) The officer or employee of an escrow depository:
(A) Has direct contact with the elder or dependent adult; or
(B) Reviews or approves the elder or dependent adult's financial documents, records, or transactions,
in connection with providing escrow depository services with respect to an elder or dependent adult; and
(2) Within the scope of the person's employment or professional practice, the officer or employee:
(A) Has observed or has knowledge of an incident that is directly related to the transaction or matter that is within that scope of employment or professional practice, and that reasonably appears to be financial abuse; or
(B) Reasonably suspects that financial abuse has occurred or may be occurring, based solely on the information present at the time of reviewing or approving the document, record, or transaction in the case of mandated reporters who do not have direct contact with the elder or dependent adult.
(c) Suspected financial abuse shall be reported to a local law enforcement agency by telephone immediately, or as soon as practicably possible, and by written report sent within two workdays."
SECTION 4. Section 412:1-109, Hawaii Revised Statutes, is amended by adding three new definitions to be appropriately inserted and to read as follows:
""Dependent adult" means any person of the age of majority who, because of mental or physical impairment, is dependent upon another person, a care organization, or a care facility for personal health, safety, or welfare.
"Elder" means a person who is a resident of the State and has attained the age of sixty-two years.
"Financial abuse" means financial or economic exploitation."
SECTION 5. Section 449-1, Hawaii Revised Statutes, is amended by adding three new definitions to be appropriately inserted and to read as follows:
""Dependent adult" means any person of the age of majority who, because of mental or physical impairment, is dependent upon another person, a care organization, or a care facility for personal health, safety, or welfare.
"Elder" means a person who is a resident of the State and has attained the age of sixty-two years.
"Financial abuse" means financial or economic exploitation."
SECTION 6. New statutory material is underscored.
SECTION 7. This Act shall take effect upon its approval.
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INTRODUCED BY: |
_____________________________ |
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BY REQUEST |