STAND. COM. REP. NO. 179

Honolulu, Hawaii

, 2005

RE: H.B. No. 480

H.D. 1

 

 

 

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Third State Legislature

Regular Session of 2005

State of Hawaii

Sir:

Your Committee on Consumer Protection & Commerce, to which was referred H.B. No. 480 entitled:

"A BILL FOR AN ACT RELATING TO REGISTRATION OF MONEY TRANSMITTERS,"

begs leave to report as follows:

The purpose of this bill is to protect consumers and prevent money laundering, by creating a new chapter in the Hawaii Revised Statutes to register and regulate persons providing money transmission services.

Testimony in support of this bill was submitted by the Department of the Attorney General, Office of the Lieutenant Governor, Department of Commerce and Consumer Affairs, City and County of Honolulu Department of the Prosecuting Attorney, Philippine National Bank-Honolulu Agency, Hawaii Credit Union League, and Hawaii Bankers Association.

Your Committee finds that this measure requires money transmission businesses operating in Hawaii to register with the State, and allows the State to regulate these businesses and ensure that they are used for lawful purposes. This measure will make it more difficult to finance drug distribution, terrorism, and other illegal activities.

 

Your Committee recognizes that while this is a valuable first step in halting illegal activity, there must be further discussion to fine-tune the complexities of this bill. Therefore, your Committee has changed the effective date to July 1, 2099. Technical, nonsubstantive amendments were also made for purposes of clarity, consistency, and style.

As affirmed by the record of votes of the members of your Committee on Consumer Protection & Commerce that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 480, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 480, H.D. 1, and be referred to the Committee on Judiciary.

Respectfully submitted on behalf of the members of the Committee on Consumer Protection & Commerce,

 

____________________________

KENNETH HIRAKI, Chair