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A265, R418, H4470
Sponsors: Reps. Harrison, Altman, Cotty, Kirsh and Owens
Document Path: l:\council\bills\pt\1773ahb04.doc
Introduced in the House on January 13, 2004
Introduced in the Senate on April 22, 2004
Last Amended on May 27, 2004
Passed by the General Assembly on June 2, 2004
Governor's Action: July 6, 2004, Signed
Summary: Defrauding secured creditors, creation of offense, penalties
HISTORY OF LEGISLATIVE ACTIONS
Date Body Action Description with journal page number ------------------------------------------------------------------------------- 12/17/2003 House Prefiled 12/17/2003 House Referred to Committee on Judiciary 1/13/2004 House Introduced and read first time HJ-86 1/13/2004 House Referred to Committee on Judiciary HJ-86 1/14/2004 House Member(s) request name added as sponsor: Owens 4/20/2004 House Committee report: Favorable with amendment Judiciary HJ-2 4/21/2004 House Amended HJ-61 4/21/2004 House Read second time HJ-62 4/22/2004 House Read third time and sent to Senate HJ-40 4/22/2004 Senate Introduced and read first time SJ-5 4/22/2004 Senate Referred to Committee on Judiciary SJ-5 5/26/2004 Senate Committee report: Majority favorable with amend., minority unfavorable Judiciary SJ-14 5/26/2004 Senate Minority report withdrawn SJ-14 5/27/2004 Senate Amended SJ-282 5/27/2004 Senate Read second time SJ-282 6/1/2004 Senate Read third time and returned to House with amendments SJ-24 6/2/2004 House Concurred in Senate amendment and enrolled HJ-30 6/3/2004 Ratified R 418 7/6/2004 Signed By Governor 7/13/2004 Copies available 7/13/2004 Effective date 07/06/04 7/14/2004 Act No. 265
View the latest legislative information at the LPITS web site
VERSIONS OF THIS BILL
(A265, R418, H4470)
AN ACT TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 36-9-410 SO AS TO PROVIDE THAT IT IS UNLAWFUL FOR A PERSON UNDER CERTAIN CONDITIONS TO INTENTIONALLY AND WILFULLY SELL OR DISPOSE OF PERSONAL PROPERTY THAT IS SUBJECT TO A PERFECTED SECURITY INTEREST WITH INTENT TO DEFRAUD THE SECURED PARTY WITHOUT HIS CONSENT AND WITHOUT PAYING THE DEBT, TO PROVIDE EXCEPTIONS, AND TO PROVIDE PENALTIES FOR VIOLATIONS.
Be it enacted by the General Assembly of the State of South Carolina:
Unlawful sale or disposal of certain personal property
SECTION 1. Part 4, Chapter 9, Title 36 of the 1976 Code is amended by adding:
"Section 36-9-410. (A) Notwithstanding Section 36-9-401, a person who intentionally or wilfully sells or disposes of personal property that is subject to a perfected security interest, with the intent to defraud the secured party, without the written consent of the secured party and without paying the debt secured by the perfected security interest within ten days after sale or disposal or, in that time, depositing the amount of the debt with the clerk of the court of common pleas for the county in which the secured party resides, is in violation of this section.
(B) This section does not apply:
(1) if the sale is made without the knowledge of or notice of the perfected security interest to the purchaser by the person selling the property;
(2) to the granting of subsequent security interests;
(3) if the loan secured by the personal property includes a charge for nonfiling insurance; or
(4) to personal property titled by the Department of Public Safety or the Law Enforcement Division of the South Carolina Department of Natural Resources.
(C) If the value of the personal property subject to a perfected security interest is worth:
(1) one thousand dollars or less, a person who violates the provisions of this section is guilty of a misdemeanor triable in the magistrate's court and, upon conviction, must be fined not more than five hundred dollars or imprisoned not more than thirty days, or both;
(2) more than one thousand dollars but less than five thousand dollars, a person who violates the provisions of this section is guilty of a felony and, upon conviction, must be fined in the discretion of the court or imprisoned not more than five years, or both;
(3) five thousand dollars or more, a person who violates the provisions of this section is guilty of a felony and, upon conviction, must be fined in the discretion of the court or imprisoned not more than ten years, or both."
SECTION 2. This act takes effect upon approval by the Governor.
Ratified the 3rd day of June, 2004.
Approved the 6th day of July, 2004.
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