STAND. COM. REP. NO. 1687

Honolulu, Hawaii

, 2021

RE: S.B. No. 973

S.D. 1

H.D. 2

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirty-First State Legislature

Regular Session of 2021

State of Hawaii

Sir:

Your Committee on Finance, to which was referred S.B. No. 973, S.D. 1, H.D. 2, entitled:

"A BILL FOR AN ACT RELATING TO HAWAII MONEY TRANSMITTER ACT,"

begs leave to report as follows:

The purpose of this measure is to amend the Hawaii Money Transmitters Act by:

(1) Incorporating definitions of key terms provided in the Model Money Services Business Law published by the Conference of State Bank Supervisors;

(2) Requiring an applicant for a money transmitter license to submit information concerning any bankruptcy or receivership proceedings;

(3) Extending the period of an applicant's litigation and criminal conviction history review from five to ten years from the date of the application; and

(4) Clarifying the authority of the Commissioner of Financial Institutions to examine and investigate licensees or authorized delegates of licensees and participate in nationwide protocols for licensing cooperation and coordination among state regulators.

Your Committee received testimony in support of this measure from one individual. Your Committee received comments on this measure from the Department of Commerce and Consumer Affairs.

As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 973, S.D. 1, H.D. 2, and recommends that it pass Third Reading.

Respectfully submitted on behalf of the members of the Committee on Finance,

____________________________

SYLVIA LUKE, Chair