California Legislature—2015–16 Regular Session

Assembly Bill No. 1493

Introduced by Assembly Member Cooper

February 27, 2015

An act to amend Section 7470 of the Government Code, relating to governmental investigations.

LEGISLATIVE COUNSEL’S DIGEST

AB 1493, as introduced, Cooper. Governmental investigations: financial records.

Existing law generally prohibits an officer, employee, or agent of a state or local agency, in connection with a civil or criminal investigation, from requesting or receiving copies of, or the information contained in, the financial records of a customer from a financial institution unless the records are described with particularity, consistent with the scope and requirements of the investigation, and other conditions are met.

This bill would make technical, nonsubstantive changes to these provisions.

Vote: majority. Appropriation: no. Fiscal committee: no. State-mandated local program: no.

The people of the State of California do enact as follows:

SECTION 1.  

Section 7470 of the Government Code is amended
to read:

7470.  

(a) Except as provided in Section 7480, begin delete no end delete begin insert an end insert officer,
employee, or agent of a state or local agency or department thereof,
in connection with a civil or criminal investigation of a customer,
whether or not begin delete such end delete begin insert an end insert investigation is being conducted pursuant
to formal judicial or administrative proceedings, begin delete may end delete begin insert shall not end insert
request or receive copies of, or the information contained in, the
financial records of begin delete any end delete begin insert a end insert customer from a financial institution
unless the financial records are described with particularity and
are consistent with the scope and requirements of the investigation
giving rise to begin delete such end delete begin insert the end insert request begin delete and: end delete begin insert and any of the following apply: end insert

(1)  begin delete Such end delete begin insert The end insert customer has authorized disclosure to such officer,
employee or agent of such state or local agency or department
thereof in accordance with Section begin delete 7473; or end delete begin insert 7473. end insert

(2)  begin delete Such end delete begin insert The end insert financial records are disclosed in response to an
administrative subpoena or summons begin delete which end delete begin insert that end insert meets the
requirements of Section begin delete 7474; or end delete begin insert 7474. end insert

(3)  begin delete Such end delete begin insert The end insert financial records are disclosed in response to a
search warrant begin delete which end delete begin insert that end insert meets the requirements of Section begin delete 7475;
or end delete begin insert 7475. end insert

(4)  begin delete Such end delete begin insert The end insert financial records are disclosed in response to a
judicial subpoena or subpoena duces tecum begin delete which end delete begin insert that end insert meets the
requirements of Section 7476.

(b) Nothing in this section or in Sections 7473, 7474, 7475, and
7476 shall require a financial institution to inquire or determine
that those seeking disclosure have duly complied with the
requirements set forth therein, provided only that the customer
authorization, administrative subpoena or summons, search
warrant, or judicial subpoena or order served on or delivered to a
financial institution pursuant to begin delete such end delete begin insert these end insert sections shows
compliance on its face.

(c) The financial institution shall maintain for a period of five
years a record of all examinations or disclosures of the financial
records of a customer pursuant to this chapter, including the
identity of the person examining the financial records, the state or
local agency or department thereof begin delete which end delete begin insert that end insert he begin insert or she end insert represents,
and a copy of the customer authorization, subpoena, summons or
search warrant providing for begin delete such end delete begin insert the end insert examination or disclosure
or a copy of the certification received pursuant to subdivision (b)
of Section 7480. begin delete Any end delete begin insert A end insert record maintained pursuant to this
subdivision shall be available, within five days of request, during
normal business hours for review by the customer at the office or
branch where the customer’s account was located when examined
or disclosed. A copy of begin delete such end delete begin insert the end insert record shall be furnished to the
customer upon request and payment of the reasonable cost thereof.

(d) Except as provided in Section 7480, this section is not
intended to preclude a state or local law enforcement agency from
initiating contact with a financial institution if there is reason to
believe that the institution is a victim of a crime. After begin delete such end delete begin insert this end insert
contact by a law enforcement agency, if the financial institution
believes it is a victim of a crime, it may, in its discretion, disclose
relevant financial records pursuant to subdivision (c) of Section
7471.