Gov. Robert Bentley has signed a bill to help protect vulnerable adults from financial exploitation into law Monday.
Drafted by the Alabama Securities Commission (ASC), SB 220, entitled Protection of Vulnerable Adults from Financial Exploitation Act, will provide an important added layer of legal protection for Alabama adults who may be susceptible to financial abuse and exploitation.
Under the new law, both the Alabama Securities Commission and the Alabama Department of Human Resources would be promptly notified by broker-dealers, investment advisers, agents and other qualified individuals who service the financial needs of adults when those financial professionals have a reasonable belief that financial exploitation of a vulnerable adult may have occurred, has been attempted or is being attempted.
“We should do everything we can to thwart any efforts of those who would seek to prey upon the elderly and steal their hard earned savings,” said State Sen. Arthur Orr (R-Decatur) one of the bill’s co-sponsors. I thank the Alabama Securities Commission for its vigilance to protect all Alabamians from theft and squander from nefarious actors.”
SB 220 passed the Alabama Senate on April 12, 2016 and was then forwarded to the Alabama House, where it’s companion bill HB 211 passed upon presentation on the floor of the House by State Representative Paul Beckman (R-Prattville)
“This is a very important tool to protect the life savings and assets of our senior Alabamians; especially those seniors who may eventually suffer from a diminished capacity to make wise and informed financial decisions,” House co-sponsor Beckman weighed-in. “A special thanks to the Alabama Securities Commission for its continued and successful efforts to protect our valued senior citizens.”
ASC Director Joseph Borg cheered on the legislation.
“This significant legislation will be a powerful mechanism to help ensure that the investment community of stockbrokers, investment advisors and financial professionals will report suspicious financial activity involving any vulnerable Alabama adult who is exposed to dishonest or illegal actions that could jeopardize their long-term financial well-being,” said Borg.