HB 1332-1_ Filed 01/28/2010, 11:48


Text Box

Adopted Rejected


[

]



COMMITTEE REPORT


                                                        YES:

9

                                                        NO:
0

MR. SPEAKER:
    Your Committee on       Financial Institutions     , to which was referred       House Bill 1332     , has had the same under consideration and begs leave to report the same back to the House with the recommendation that said bill be amended as follows:

SOURCE: Page 2, line 30; (10)AM133202.2. -->     Page 2, between lines 30 and 31, begin a new line block indented and insert:
        " (9) A loan servicer acting on behalf of the holder of:
            (A) a consumer loan; or
            (B) a residential mortgage loan.
        (10) A debt management company (as defined in IC 28-1-29-1(2)).

SOURCE: IC 24-5-15-2.5; (10)AM133202.2. -->     SECTION 2. IC 24-5-15-2.5 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2010]: Sec. 2.5. As used in this chapter, "debt settlement services" means any of the following services that a person performs, offers to perform, or represents, either directly or by implication, that the person will perform with respect to a debt between a buyer and one (1) or more unsecured creditors or debt

collectors:
        (1) A renegotiation of the debt.
        (2) A settlement of the debt.
        (3) An alteration of the terms of payment or other terms of the debt, including a reduction in the balance, interest rate, or fees owed by the buyer to the creditor or debt collector.
".

SOURCE: Page 4, line 1; (10)AM133202.4. -->     Page 4, between lines 1 and 2, begin a new paragraph and insert:
SOURCE: IC 24-5.5-6-1; (10)AM133202.5. -->     "SECTION 5. IC 24-5.5-6-1, AS ADDED BY P.L.209-2007, SECTION 2, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2010]: Sec. 1. A person who knowingly or intentionally violates this article commits:
         (1) a Class A misdemeanor; and
        (2)
a deceptive act that is actionable by the attorney general under IC 24-5-0.5-4 and is subject to the penalties and remedies available to the attorney general under IC 24-5-0.5.".
SOURCE: Page 5, line 33; (10)AM133202.5. -->     Page 5, line 33, delete "from a closing agent in an escrow transaction (as" and insert " for the payment of real estate taxes and insurance unless the person is any of the following:
            (A) Any of the following that is chartered under the laws of a state or the United States:
                (i) A bank.
                (ii) A savings and loan association.
                (iii) A credit union.
                (iv) A savings bank.
            (B) The creditor in a mortgage transaction.
            (C) A mortgage servicer acting on behalf of the creditor in a mortgage transaction.
".
    Page 5, delete lines 34 through 42.
    Page 6, delete lines 1 through 3.
    Page 6, line 4, delete "(8)" and insert " (7)".
    Page 6, line 23, delete "IC 24-9-3-7(c)(6), or" and insert " or IC 24-9-3-7(c)(6).".
    Page 6, line 24, delete "IC 24-9-3-7(c)(7).".
    Page 6, line 25, after "transaction" insert ", mortgage transaction (as defined in IC 24-9-3-7(a)), or real estate transaction (as defined in IC 24-9-3-7(b)), as appropriate,".
    Page 6, line 31, strike "the" and insert " a".
    Page 7, between lines 20 and 21, begin a new paragraph and insert:
SOURCE: IC 24-9-8-1; (10)AM133202.8. -->     "SECTION 8. IC 24-9-8-1, AS AMENDED BY P.L.105-2009, SECTION 11, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2010]: Sec. 1. A person who knowingly or intentionally violates this article commits:
        (1) a Class A misdemeanor; and
        (2) except for a violation of IC 24-9-7-3(c)(4) IC 24-9-3-7(c)(4) by a person required to be licensed by the department of financial institutions, an act that is actionable by the attorney general under IC 24-5-0.5 and is subject to the penalties listed in IC 24-5-0.5.
SOURCE: IC 24-9-8-3; (10)AM133202.9. -->     SECTION 9. IC 24-9-8-3, AS AMENDED BY P.L.105-2009, SECTION 12, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2010]: Sec. 3. (a) This section does not apply to a violation of IC 24-9-7-3(c)(4) IC 24-9-3-7(c)(4) by a person required to be licensed by the department of financial institutions. The attorney general may bring an action to enjoin a violation of this article. A court in which the action is brought may:
        (1) issue an injunction;
        (2) order a person to make restitution;
        (3) order a person to reimburse the state for reasonable costs of the attorney general's investigation and prosecution of the violation of this article; and
        (4) impose a civil penalty of not more than ten thousand dollars ($10,000) per violation.
    (b) A person who violates an injunction under this section is subject to a civil penalty of not more than ten thousand dollars ($10,000) per violation.
    (c) The court that issues an injunction retains jurisdiction over a
proceeding seeking the imposition of a civil penalty under this section.".
    Renumber all SECTIONS consecutively.
    (Reference is to HB 1332 as introduced.)

and when so amended that said bill do pass.

__________________________________

Representative Riecken


AM133202/DI 101    2010