SSB 6032 -
By Senator Berkey
ADOPTED 03/06/2009
Beginning on page 7, line 23, strike all of section 11 and insert the following:
"NEW SECTION. Sec. 11 A person who engages in business as an
exchange facilitator shall not, with respect to a like-kind exchange
transaction, knowingly or with criminal negligence:
(1) Make a false, deceptive, or misleading material representation,
directly or indirectly, concerning a like-kind transaction;
(2) Make a false, deceptive, or misleading material representation,
directly or indirectly, in advertising or by any other means,
concerning a like-kind transaction;
(3) Engage in any unfair or deceptive practice toward any person;
(4) Obtain property by fraud or misrepresentation;
(5) Fail to account for any moneys or property belonging to others
that may be in the possession or under the control of the exchange
facilitator;
(6) Commingle funds held for a client in any account that holds the
exchange facilitator's own funds, except as provided in section 9(1)(a)
of this act;
(7) Loan or otherwise transfer exchange funds to any person or
entity, other than a financial institution, that is affiliated with or
related to the exchange facilitator, except for the transfer of funds
from an exchange facilitator to an exchange accommodation title holder
in accordance with an exchange contract;
(8) Keep, or cause to be kept, any money in any bank, credit union,
or other financial institution under a name designating the money as
belonging to the client of any exchange facilitator, unless that money
belongs to that client and was entrusted to the exchange facilitator by
that client;
(9) Fail to fulfill its contractual duties to the client to deliver
property or funds to the taxpayer in a material way unless such a
failure is due to circumstances beyond the control of the exchange
facilitator;
(10) Commit, including commission by its owners, officers,
directors, employees, agents, or independent contractors, any crime
involving fraud, misrepresentation, deceit, embezzlement,
misappropriation of funds, robbery, or other theft of property;
(11) Fail to make disclosures required by any applicable state law;
or
(12) Make any false statement or omission of material fact in
connection with any reports filed by an exchange facilitator or in
connection with any investigation conducted by the department of
financial institutions."
On page 9, line 2, after "who" strike "intentionally"
On page 9, line 3, after "through" strike "(7)" and insert "(8)"
On page 9, line 6, after "who" strike "intentionally"
On page 9, beginning on line 6, after "section 11" strike "(10) or (11)" and insert "(11) or (12)"
On page 10, after line 13, insert the following:
"NEW SECTION. Sec. 18 This chapter does not affect the
application of chapter 21.20 RCW."
Renumber the remaining section consecutively and correct any internal references accordingly.
On page 10, line 14, after "through" strike "(17)" and insert "(18)"