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Can you summarize 8 ALCA Chapter 7A?
COMMERCIAL LAW AND CONSUMER PROTECTION. > ALABAMA MONETARY TRANSMISSION ACT.
Short Summary
The Alabama Monetary Transmission Act regulates money transmission activities in the state of Alabama. It applies to individuals and entities engaged in money transmission services, with certain exemptions for specific entities such as the United States government and certain financial institutions. The act establishes licensing requirements and provides penalties for violations, including criminal penalties for false statements and engaging in unlicensed money transmission. The act also grants the Alabama Securities Commission the authority to conduct investigations, issue interpretative opinions, and take enforcement actions. It outlines reporting requirements for licensees and specifies the confidentiality of certain information obtained by the commission. The act also addresses the security requirements, record-keeping obligations, and examination powers of licensees. Overall, the Alabama Monetary Transmission Act aims to ensure the integrity and compliance of money transmission activities in Alabama.
Whom does it apply to?
The Alabama Monetary Transmission Act applies to persons engaged in money transmission activities in the state of Alabama.
What does it govern?
The Alabama Monetary Transmission Act governs the regulation and licensing of money transmission activities in the state of Alabama.
What are exemptions?
The Alabama Monetary Transmission Act provides exemptions for certain individuals or entities, including the United States and its departments, agencies, or instrumentalities, the United States Postal Service and its contractors, governmental agencies or subdivisions, contractors involved in electronic funds transfer of governmental benefits, designated board of trades, registered futures commission merchants, and certain banking entities.
What are the Penalties?
The Alabama Monetary Transmission Act specifies criminal penalties for various violations. Intentionally making false statements, misrepresentations, false certifications, or false entries in required records is considered a Class D felony. Engaging in activities that require a license without being licensed and receiving more than $5,000 in compensation within a one-year period is a Class C felony. Engaging in activities that require a license without being licensed and receiving no more than $5,000 in compensation within a one-year period is a Class D felony. The act also allows for the assessment of civil penalties against violators, with a maximum amount of one thousand dollars ($1,000) per day for each day the violation is outstanding.
Jurisdiction
Alabama