Bill > S08408

This bill aims to strengthen financial regulation by introducing new penalties for unlicensed activities in the financial services sector. Specifically, the bill establishes a comprehensive framework for addressing situations where individuals or businesses engage in financial activities without proper licensing or authorization from the superintendent of financial services. The bill defines "prohibited unlicensed acts" as either performing activities requiring a license without having one (or an exemption) or taking actions that would constitute violations if the entity were licensed. The penalties can be substantial, with standard fines matching existing penalties for licensed violations, and the potential for doubled penalties if the unlicensed activity results in consumer harm. Additionally, the superintendent is granted the authority to not only levy civil penalties but also issue restitution orders for unlicensed activities. The legislative findings emphasize that this approach is intended to deter improper conduct in the financial marketplace and ensure that all financial service providers are appropriately supervised, regardless of their licensing status. By creating clear consequences for unlicensed activities, the bill seeks to protect consumers and maintain the integrity of New York's financial services regulatory environment.

Budget and Finance

https://www.nysenate.gov/legislation/bills/2025/S8408