(a) An authorized delegate shall not make any fraudulent or false statement or misrepresentation to a licensee or to the commissioner. (b) All money transmission or sale or issuance of payment instrument activities conducted by authorized delegates must be performed strictly in accordance with the licensee’s written procedures provided to the authorized delegate. (c) An authorized delegate shall remit all money owing to the licensee in accordance with the terms of the contract between the licensee and the authorized delegate. The failure of an authorized delegate to remit all money owing to a licensee within the contractual time period results in liability of the authorized delegate to the licensee for three (3) times the licensee’s actual damages. The commissioner is authorized to set, by rule, the maximum remittance time. (d) An authorized delegate of a licensee holds in trust for the benefit of the licensee all money net of fees received from money transmission. If any authorized delegate commingles any funds received from money transmission with any other funds or property owned or controlled by the authorized delegate, all commingled funds and other property are considered held in trust in favor of the licensee in an amount equal to the amount of money net of fees received from money transmission.
