TITLE 26

BANKS AND BANKING

CHAPTER 29

MONEY TRANSMISSION

26-2918.  Authorized representative contracts. Licensees desiring to conduct licensed activities through authorized representatives shall authorize such representative to operate pursuant to an express written contract, which shall provide the following:

(1)  That the licensee appoints the person as its representative with authority to engage in money transmission on behalf of the licensee;

(2)  That neither a licensee nor an authorized representative may authorize subrepresentatives without the written consent of the director;

(3)  That licensees are subject to supervision and regulation by the director;

(4)  An acknowledgement that the authorized representative consents to the director’s inspection, with or without prior notice to the licensee or authorized representative(s), of the books and records of authorized representative(s) of the licensee when the director has a reasonable basis to believe that the licensee or authorized representative is in violation of the provisions of this chapter; and

(5)  That authorized representatives are under a duty to act only as authorized under the contract with the licensee and that an authorized representative that exceeds its authority is subject to cancellation of its contract and disciplinary action by the director.

History:

[26-2918, added 1994, ch. 410, sec. 1, p. 1292.]