Delaware General Assembly


CHAPTER 113

FORMERLY

HOUSE BILL NO. 5

AN ACT TO AMEND CHAPTER 32, TITLE 5, DELAWARE CODE RELATING TO THE TRANSPORTATION OF MONEY AND VALUABLES.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF DELAWARE:

Section 1. Amend Subsection (1), §3202, Chapter 32, Title 5, Delaware Code by inserting the phrase or other entity," after the words "joint stock association or corporation," and before the words "but does not include the United States government".

Section 2. Amend Chapter 32, Title 5, Delaware Code, by adding thereto the following new sections:

"§3220. Supervision and Examination of Business by the Commissioner.

(a) Every person or combination of persons licensed as a transporter under this chapter shall be subject to the supervision and examination of the State Bank Commissioner and shall be examined by the Commissioner or his authorized representative annually or at such intervals as the Commissioner deems necessary.

(b) On the occasion of every examination, the Commissioner or his authorized representative shall be given free access to the licensee's books and records.

(a) The examination made by the Commissioner, or his authorized
representatives, shall be a thorough examination into the compliance or non-compliance with this Code and the regulations issued thereunder; and, in addition, such examination shall include a review of the licensee's business practices and such other matters, as in the judgement of the Commissioner, may have relation to the security of property of the licensee's customers. In connection with such examination, the Commissioner may examine, under oath or affirmation, any and all persons connected with the licensee.

(b) Each licensee shall submit to the Commissioner on or before January 1 of each year financial statements for the licensee's most recently available completed fiscal year which have been audited by a certified public accountant, including the report of the certified public accountant thereon.

§3221. Cease and Desist Orders.

(a) The Commissioner shall have the power and authority to issue and serve an order upon a person to cease and desist from any violation or practice if, in the opinion of the Commissioner, a transporter subject to this chapter is engaging in, or has engaged in, or, if the Commissioner has reasonable cause to believe that such institution or company is about to engage in any of the following:

(1) A violation of a law, rule, or regulation relating to the supervision of such transporter;

(2) A violation of any written agreement entered into with the Commissioner; or

(3) A violation of warranties, terms, or conditions of the insurance contract(s) which may, in the judgement of the Commissioner, lead to an inability to recover.

(b) Such order may require the officers or directors of the institution or company to take affirmative action to correct any violation or practice.

(c) A cease and desist order issued pursuant to this section shall Include a statement of the facts upon which the order is based, and specific activities which the financial institution must cease, the affirmative acts required of the financial institution, and the effective date of the order. A cease and desist order may be served by any member of the State Bank

 Commissioner's Office who is designated by the Commissioner. Service may be effected by hand delivering the order to the transporter at its principal place of business during normal working hours.

(d) Except as provided in subsection (e) of this section, a cease and desist order shall not become effective in less than 10 days after the order is served. After an order is served, but before its effective date, upon petition of any interested party, the Commissioner shall conduct a hearing. At the conclusion of such hearing, the Commissioner may affirm the cease and desist order as originally issued, or, he may modify, amend, or rescind such order.

(e) Whenever, in the opinion of the Commissioner, the violation or practice set forth in subsection (a) of this section represents an immediate danger or substantial harm to the interests of the public, the Commissioner may issue a cease and desist order pursuant to subsection (a) of this section, which shall become effective upon service thereof, without prior notice or hearing. Upon the application of an interested party, the Commissioner shall afford an opportunity for a hearing to consider recission of any order issued pursuant to this subsection, and any action taken promptly thereafter."

Approved July 5, 1991.