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| Public Act 098-0357 | ||||
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AN ACT concerning regulation.
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Be it enacted by the People of the State of Illinois,
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represented in the General Assembly:
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Section 5. The Pawnbroker Regulation Act is amended by | ||||
changing Sections 0.05 and 4 as follows:
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(205 ILCS 510/0.05)
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Sec. 0.05. Administration of Act.
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(a) This Act shall be administered by the
Secretary of | ||||
Financial and Professional Regulation, and, beginning on July | ||||
28, 2010 (the effective date of Public Act 96-1365), all | ||||
references in this Act to the Commissioner of Banks and Real | ||||
Estate are deemed, in appropriate contexts, to be references to | ||||
the Secretary of Financial and Professional Regulation, who | ||||
shall have all of the following
powers and duties in | ||||
administering this Act:
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(1) To promulgate reasonable rules for the purpose of | ||||
administering the
provisions of this Act.
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(2) To issue orders for the purpose of administering | ||||
the provisions of
this
Act and any rule promulgated in | ||||
accordance with this Act.
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(2.5) To order restitution to consumers suffering | ||||
damages resulting from violations of this Act, rules | ||||
promulgated in accordance with this Act, or other laws or | ||||
regulations related to the operation of a pawnshop.
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(3) To appoint hearing officers and to hire employees | ||
or to contract with
appropriate persons to execute any of | ||
the powers granted to
the Secretary under this Section for | ||
the purpose of administering this
Act and any rule | ||
promulgated in accordance with this Act.
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(4) To subpoena witnesses, to compel their attendance, | ||
to administer an
oath, to examine any person under oath, | ||
and to require the production of any
relevant books, | ||
papers, accounts, and documents in the course of and | ||
pursuant
to any investigation being conducted, or any | ||
action being taken, by the
Secretary in respect of any | ||
matter relating to the duties imposed upon, or
the powers | ||
vested in, the Secretary under the provisions of this Act | ||
or any
rule promulgated in accordance with this Act.
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(5) To conduct hearings.
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(6) To impose civil penalties graduated up to $10,000 | ||
$1,000 against any person
for each day that person violates
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violation of any provision of this Act, any rule | ||
promulgated in
accordance
with this Act, any State or | ||
federal law affecting pawnbrokers, or any order of the | ||
Secretary
based upon the seriousness of the violation.
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(6.5) To initiate, through the Attorney General, | ||
injunction proceedings
whenever it appears to the | ||
Secretary that any person, whether licensed under
this Act | ||
or not, is engaged or about to engage in an act or practice | ||
that
constitutes or will constitute a violation of this Act | ||
or any rule prescribed
under the authority of this Act. The | ||
Secretary may, in his or her
discretion, through the | ||
Attorney General, apply for an injunction, and upon a
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proper showing, any circuit court may enter a permanent or | ||
preliminary
injunction or a temporary restraining order | ||
without bond to enforce this Act in
addition to the | ||
penalties and other remedies provided for in this Act.
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(7) To issue a cease and desist order and, for | ||
violations of
this Act, any order issued by the Secretary | ||
pursuant to this Act, any
rule promulgated in accordance | ||
with this Act,
or any other applicable law in connection | ||
with the operation of a pawnshop,
to suspend a license | ||
issued under this Act for up to 30 days.
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(8) To determine
compliance with applicable law and | ||
rules related to the operation of pawnshops
and to verify | ||
the accuracy of reports filed with the Secretary, the
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Secretary, not more than one time every 2 years, may, but | ||
is not required
to, conduct a routine examination of a | ||
pawnshop, and in
addition, the Secretary may examine the | ||
affairs of any pawnshop at any time if the Secretary
has
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reasonable cause to believe that unlawful or fraudulent | ||
activity is occurring,
or has occurred, therein.
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(9) In response to a complaint, to address any | ||
inquiries to any pawnshop
in relation to its affairs, and | ||
it shall be the duty of the pawnshop to
promptly reply in | ||
writing to such inquiries. The Secretary may also require
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reports or information from any pawnshop at any time the | ||
Secretary may deem
desirable.
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(10) To revoke a license issued under this Act if the | ||
Secretary
determines that (a) a licensee has been convicted | ||
of a felony in connection
with the operations of a | ||
pawnshop; (b) a licensee knowingly, recklessly, or
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continuously violated this Act or State or federal law or | ||
regulation, a rule promulgated in
accordance with this Act, | ||
or any order of the Secretary; (c) a fact or
condition | ||
exists that, if it had existed or had been known at the | ||
time of the
original application, would have justified | ||
license refusal; (d) the licensee
knowingly submits | ||
materially false or misleading documents with the intent to
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deceive the Secretary or any other party; or (e) the | ||
licensee is unable or ceases to continue to operate the | ||
pawnshop.
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(10.2) To remove or prohibit the employment of any | ||
officer, director, employee, or agent of the pawnshop who | ||
engages in or has engaged in unlawful activities that | ||
relate to the operation of a pawnshop. | ||
(10.7) To prohibit the hiring of employees who have | ||
been convicted of a financial crime or any crime involving | ||
breach of trust who do not meet exceptions as established | ||
by rule of the Secretary.
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(11) Following license revocation, to take possession | ||
and control of a
pawnshop for the purpose of examination, | ||
reorganization, or liquidation through
receivership and to | ||
appoint a receiver, which may be the Secretary, a
pawnshop, | ||
or
another suitable person.
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(b) After consultation with local law enforcement | ||
officers, the Attorney
General, and the industry, the Secretary | ||
may by rule require that
pawnbrokers
operate video camera | ||
surveillance systems to record photographic
representations of | ||
customers and retain the tapes produced for up to 30 days.
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(c) Pursuant to rule, the Secretary shall issue licenses on | ||
an annual or
multi-year basis for operating a
pawnshop. Any | ||
person currently operating or
who has operated a pawnshop in | ||
this State during the 2 years preceding the
effective date of | ||
this amendatory Act of 1997 shall be issued a license upon
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payment of the fee required under this Act. New applicants | ||
shall meet
standards for a license as established by the | ||
Secretary.
Except with the prior written consent of the | ||
Secretary, no individual,
either a new applicant or a person | ||
currently operating a pawnshop, may be
issued a license to | ||
operate a pawnshop if the individual has been convicted
of a | ||
felony or of any criminal offense relating to dishonesty or | ||
breach of
trust in connection with the operations of a | ||
pawnshop.
The Secretary shall
establish license fees. The fees | ||
shall not exceed the amount reasonably
required for | ||
administration of this Act. It shall be unlawful to operate a
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pawnshop without a license issued by the Secretary.
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(d) In addition to license fees, the Secretary may, by | ||
rule, establish
fees in connection with a review, approval, or | ||
provision of a service, and levy
a reasonable charge to recover | ||
the cost of the review, approval, or service
(such as a change | ||
in control, change in location, or renewal of a license).
The | ||
Secretary may also levy a reasonable charge to recover the cost | ||
of an
examination if the Secretary determines that unlawful or | ||
fraudulent activity
has occurred. The Secretary may require | ||
payment of the fees and charges
provided in this Act by | ||
certified check, money order, an electronic transfer of
funds, | ||
or an automatic debit of an account.
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(e) The Pawnbroker Regulation Fund is established as a | ||
special
fund in the State treasury. Moneys collected under this | ||
Act shall be deposited
into the Fund and used for the | ||
administration of this Act.
In the event that General Revenue | ||
Funds are appropriated to the Department of Financial and | ||
Professional Regulation for the initial implementation of this
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Act, the Governor may direct the repayment from the Pawnbroker | ||
Regulation
Fund to the General Revenue Fund of such advance in | ||
an amount not to exceed
$30,000. The Governor may direct this | ||
interfund transfer at such time as he
deems appropriate by | ||
giving appropriate written notice. Moneys in the Pawnbroker | ||
Regulation Fund may be transferred to the Professions Indirect | ||
Cost Fund, as authorized under Section 2105-300 of the | ||
Department of Professional Regulation Law of the Civil | ||
Administrative Code of Illinois.
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(f) The Secretary may, by rule, require all pawnshops to | ||
provide for
the expenses that would arise from the | ||
administration of the receivership of a
pawnshop under this Act | ||
through the assessment of fees, the requirement to
pledge | ||
surety bonds, or such other methods as determined by the | ||
Secretary.
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(g) All final administrative decisions of the Secretary | ||
under
this Act shall be subject to judicial review pursuant to | ||
the provisions of the
Administrative Review Law. For matters | ||
involving administrative review, venue
shall be in
either | ||
Sangamon County or Cook County.
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(Source: P.A. 96-1038, eff. 7-14-10; 96-1365, eff. 7-28-10; | ||
97-333, eff. 8-12-11.)
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(205 ILCS 510/4) (from Ch. 17, par. 4654)
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Sec. 4.
Every pawnbroker shall, at the time of making any | ||
advancement
or loan, deliver to the person pawning or pledging | ||
any property, a
memorandum, contract, or note signed by him or | ||
her containing an accurate
account and description, in the | ||
English language, of all the goods,
articles or other things | ||
pawned or pledged, the amount of money,
value of things loaned | ||
thereon, the time of pledging the same, the
rate of interest to | ||
be paid on the loan, the name and residence of
the person | ||
making the pawn or pledge, and the amount of any fees
as | ||
specified in Section 2 of this Act.
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(Source: P.A. 87-802.)
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Section 99. Effective date. This Act takes effect upon | ||
becoming law. | ||