Section 53B.01 — Citation.
53B.01 CITATION. This chapter may be cited as the “Minnesota Money Transmitters Act.” History: 2001 c 148 s 2
Section 53B.02 — License Required.
53B.02 LICENSE REQUIRED. On or after January 1, 2002, no person except those exempt pursuant to section 53B.04 shall engage in the business of money transmission without a license as provided in this chapter. A licensee may conduct business in this state at one or more locations, directly or indirectly owned, or through one or […]
Section 53B.03 — Definitions.
53B.03 DEFINITIONS. Subdivision 1. Scope. For purposes of this chapter, the definitions in this section apply unless the context requires otherwise. Subd. 2. Applicant. “Applicant” means a person filing an application for a license under this chapter. Subd. 3. Authorized delegate. “Authorized delegate” means an entity designated by the licensee under this chapter, or by […]
Section 53B.04 — Exemptions.
53B.04 EXEMPTIONS. Authorized delegates of a licensee or of an exempt entity, acting within the scope of authority conferred by a written contract as described in section 53B.20, are not required to obtain a license under this chapter. This chapter does not apply to: (1) the United States or any department, agency, or instrumentality of […]
Section 53B.05 — License Qualifications.
53B.05 LICENSE QUALIFICATIONS. Subdivision 1. Net worth. Each licensee engaging in money transmission in three or fewer locations in the state, either directly or through authorized delegates, must have a net worth of at least $25,000. Each licensee engaging in money transmission at more than three locations in the state, but fewer than seven locations, […]
Section 53B.06 — Permissible Investments And Statutory Trust.
53B.06 PERMISSIBLE INVESTMENTS AND STATUTORY TRUST. (a) Each licensee under this chapter must at all times possess permissible investments having an aggregate market value, calculated in accordance with generally accepted accounting principles, of not less than the aggregate face amount of all outstanding payment instruments sold by the licensee or reported as sold by an […]
Section 53B.07 — License Application.
53B.07 LICENSE APPLICATION. Subdivision 1. Requirements. An application for a license under this chapter must be made in writing, under oath, and in a form prescribed by the commissioner. Subd. 2. General contents. An application must contain: (1) the exact name of the applicant, the applicant’s principal address, any fictitious or trade name used by […]
Section 53B.08 — Bond Or Other Security Device.
53B.08 BOND OR OTHER SECURITY DEVICE. Subdivision 1. Requirement. Each application must be accompanied by a surety bond, irrevocable letter of credit, or other similar security device acceptable to the commissioner in the amount of $25,000. If the applicant proposes to engage in business under this chapter at more than three locations, but less than […]
Section 53B.09 — Application Fee.
53B.09 APPLICATION FEE. Each application must be accompanied by a nonrefundable application fee in the amount of $4,000. History: 2001 c 148 s 10
Section 53B.10 — Issuance Of License.
53B.10 ISSUANCE OF LICENSE. Subdivision 1. Investigation. Upon the filing of a complete application, the commissioner shall investigate the financial condition and responsibility, financial and business experience, character, and general fitness of the applicant. The commissioner may conduct an on-site investigation of the applicant, the reasonable cost of which must be borne by the applicant. […]
Section 53B.11 — Renewal Of License And Annual Report.
53B.11 RENEWAL OF LICENSE AND ANNUAL REPORT. Subdivision 1. Fee. The annual fee for renewal of a license under this chapter is $2,500. Subd. 2. Report. The renewal fee must be accompanied by a report, in a form prescribed by the commissioner. The form must be sent by the commissioner to each licensee no later […]
Section 53B.12 — Extraordinary Reporting Requirements.
53B.12 EXTRAORDINARY REPORTING REQUIREMENTS. Within 15 days of the occurrence of any one of the events listed below, a licensee shall file a written report with the commissioner describing the event and its expected impact on the licensee’s activities in the state: (1) the filing for bankruptcy or reorganization by the licensee; (2) the institution […]
Section 53B.13 — Changes In Control Of A Licensee.
53B.13 CHANGES IN CONTROL OF A LICENSEE. Any purchaser of ten percent or more of an ownership interest in a licensee must notify the commissioner at least 30 days in advance of the purchase and submit a completed license application form. The commissioner may revoke the license if the new ownership would have resulted in […]
Section 53B.14 — Examinations.
53B.14 EXAMINATIONS. The commissioner has under this chapter the same powers with respect to financial examinations that the commissioner has under section 46.04. History: 2001 c 148 s 15
Section 53B.15 — Maintenance Of Records.
53B.15 MAINTENANCE OF RECORDS. Subdivision 1. Requirement. Each licensee shall make, keep, and preserve the following books, accounts, and other records for a period of three years: (1) a record or records of each payment instrument sold; (2) a general ledger containing all assets, liability, capital, income, and expense accounts, which must be posted at […]
Section 53B.16 — Confidentiality Of Data Submitted To The Commissioner.
53B.16 CONFIDENTIALITY OF DATA SUBMITTED TO THE COMMISSIONER. Data or other information obtained by the commissioner under this chapter, whether as a result of the license application or renewal process or examinations, is subject to chapter 13. History: 2001 c 148 s 17
Section 53B.17 — Solvency Required.
53B.17 SOLVENCY REQUIRED. If the commissioner determines that a licensee is insolvent, that its capital is impaired, or that its condition is such as to render the continuance of its business hazardous to the public or to those having funds in its custody, the commissioner may apply to the district court for the county in […]
Section 53B.18 — Prohibited Practices.
53B.18 PROHIBITED PRACTICES. (a) No licensee shall: (1) fail to comply with chapter 345 as it relates to unclaimed property requirements; (2) refuse to indemnify an instrument holder for any misappropriation of money caused by any of its authorized delegates in conducting activities on behalf of the licensee for whom it acts as an authorized […]
Section 53B.19 — Suspension Or Revocation Of Licenses.
53B.19 SUSPENSION OR REVOCATION OF LICENSES. After notice and hearing, the commissioner may suspend or revoke a licensee’s license if the commissioner finds that: (1) any fact or condition exists that, if it had existed at the time when the licensee applied for its license, would have been grounds for denying the application; (2) the […]
Section 53B.20 — Authorized Delegate Contracts.
53B.20 AUTHORIZED DELEGATE CONTRACTS. Subdivision 1. Contents of contract. Licensees that conduct licensed activities through authorized delegates shall authorize each delegate to operate under an express written contract that, for contracts entered into after August 1, 2001, provide the following: (1) that the licensee appoint the person as its delegate with authority to engage in […]