Hawaii Senate Bill SB3081

Hawaii 2022 Regular Session

• Introduced: 1/26/22
• Refer: 1/26/22
• Report Pass: 2/14/22
• Refer: 2/14/22

Caption

Relating To Money Transmitters.

Impact

If enacted, SB3081 will amend the Hawaii Revised Statutes to require a comprehensive yet simplified application process for money transmitter licensing. The regulations will necessitate that applicants provide detailed business information, including their history of material litigation and criminal convictions, as well as financial documentation. This aims to create a more structured regulatory framework, promoting transparency and accountability in the industry while also reducing unnecessary bureaucratic delays for new entrants.

Summary

Senate Bill 3081 focuses on the regulation of money transmitters in Hawaii. The bill seeks to minimize the regulatory burden on money transmitter applicants by eliminating redundancies in the criminal background check process required both at the state and federal levels. By streamlining these requirements, the legislative intent is to foster a more conducive environment for money transmitter businesses to operate effectively within the state while ensuring compliance with necessary regulations.

Contention

Despite the potential benefits, there may be contention regarding the adequacy of the new regulations to adequately protect consumers. Supporters of the bill argue that simplifying the regulatory process will encourage healthier market competition, while critics might raise concerns about the potential for reduced oversight and the implications this could have for consumer protection and financial stability. Stakeholders may need to collaborate closely to address these concerns to ensure that while regulations are less burdensome, they still protect the public interest.