SENATE BILL No. 1463

 

 

September 19, 2006, Introduced by Senators SCOTT, CHERRY, WHITMER, JACOBS, CLARK-COLEMAN and SCHAUER and referred to the Committee on Judiciary.

 

 

 

     A bill to amend 1931 PA 328, entitled

 

"The Michigan penal code,"

 

by amending section 219e (MCL 750.219e), as added by 1999 PA 164.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 219e. (1) Except as otherwise provided by law, a person

 

shall not do any of the following:

 

     (a) Prepare or submit an application for a loan or other

 

extension of credit  in  with another person's  name  identity

 

information without authorization from that other person.

 

     (b) Receive or possess an application for a loan or other

 

extension of credit knowing or having reason to know the

 

application was prepared or submitted in violation of subsection

 

(1).

 

     (c) Receive or possess any instrument or device for accessing


 

the proceeds of a loan or other extension of credit knowing or

 

having reason to know the instrument or device was obtained as a

 

result of a violation of subsection (1).

 

     (2) A person who violates this section is guilty of a felony

 

punishable by imprisonment for not more than 4 years or a fine of

 

not more than $2,500.00, or both.

 

     (3) Subsection (1) does not apply to a financial institution

 

or an affiliate, licensee, or franchisee of a financial institution

 

or to a director, officer, or employee of a financial institution

 

or an affiliate, licensee, or franchisee of a financial institution

 

who does any of the following:

 

     (a) Prepares or submits an application  in  with another

 

person's  name  identity information without prior actual knowledge

 

that the application is being prepared or was prepared in violation

 

of subsection (1).

 

     (b) Submits an application prepared  in  with another person's

 

name  identity information to a federal, state, or local law

 

enforcement agency or regulatory agency.

 

     (c) Submits an application prepared  in  with another person's

 

name  identity information to a credit reporting bureau or other

 

person to determine whether the application was prepared in

 

violation of subsection (1) or any other law or regulation.

 

     (d) Receives or possesses an application prepared  in  with

 

another person's  name  identity information without prior actual

 

knowledge that the application was prepared in violation of

 

subsection (1).

 

     (e) Receives or possesses an instrument or device obtained as


 

a result of a violation of subsection (1) without prior actual

 

knowledge that the instrument or device was obtained as a result of

 

a violation of subsection (1).

 

     (4) As used in this section, "financial institution" means any

 

of the following:

 

     (a) A regulated lender as defined in section 2 of the credit

 

reform act, 1995 PA 162, MCL 445.1852.

 

     (b) A person licensed under the Michigan BIDCO act, 1986 PA

 

89, MCL 487.1101 to 487.2001.

 

     (c) A person licensed or registered under the mortgage

 

brokers, lenders, and servicers licensing act, 1987 PA 173, MCL

 

445.1651 to 445.1684.

 

     (d) A person licensed or registered under the secondary

 

mortgage loan act, 1981 PA 125, MCL 493.51 to 493.81.

 

     (e) A person subject to the retail installment sales act, 1966

 

PA 224, MCL 445.851 to 445.873.

 

     (f) A person subject to the motor vehicle sales finance act,

 

1950 (EX SESS) PA 27, MCL 492.101 to 492.141.

 

     (g) A person chartered or regulated by the office of the

 

comptroller of the currency, the federal deposit insurance

 

corporation, the federal reserve, or the office of thrift

 

management.