§ 28-8-4.1-402 — Confidential information; reporting violations and complaints to the NMLS; director's authority to use the NMLS; information or material subject to privilege or confidentiality; release of information

Indiana § 28-8-4.1-402

• Jurisdiction: Indiana
• Art. 8: FINANCIAL SERVICES
• Ch. 4.1: Money Transmission Modernization Act

Text

(a) Except as provided in subsection (b),
the following are confidential:
(1) All information or reports obtained by the department from an
applicant, licensee, or authorized delegate.
(2) All information contained in or related to an examination,
investigation, operating report, or condition report prepared by, on
behalf of, or for the use of the department.
(3) Financial statements, balance sheets, or authorized delegate
information.
(b) Subject to the confidentiality provisions contained in IC 5-14-3
and this section, the director may regularly report significant or
recurring violations of this chapter to the NMLS.
(c) Subject to the confidentiality provisions contained in IC 5-14-3
and this section, the director may report complaints received regarding
licensees to the NMLS.
(d) The director's authority to use the NMLS under this chapter is
subject to the following:
(1) Information stored in the NMLS is subject to the
confidentiality provisions of IC 5-14-3 and this section. A person
may not:
(A) obtain information from the NMLS, unless the person is
authorized to do so by statute;
(B) initiate any civil action based on information obtained from
the NMLS if the information is not otherwise available to the
person under any other state law; or
(C) initiate any civil action based on information obtained from
the NMLS if the person could not have initiated the action
based on information otherwise available to the person under
any other state law.
(2) Documents, materials, and other forms of information in the
control or possession of the NMLS that are confidential under this
section and that are:
(A) furnished by the director, the director's designee, or a
licensee; or
(B) otherwise obtained by the NMLS;
are confidential and privileged by law and are not subject to
inspection under IC 5-14-3, subject to subpoena, subject to
discovery, or admissible in evidence in any civil action. However,
the director may use the documents, materials, or other
information available to the director in furtherance of any action
brought in connection with the director's duties under this chapter.
(3) Disclosure of documents, materials, and information:
(A) to the director; or
(B) by the director;
under this subsection does not result in a waiver of any applicable
privilege or claim of confidentiality with respect to the
documents, materials, or information.
(4) Information provided to the NMLS is subject to IC 4-1-11.
(5) This subsection does not limit or impair a person's right to:
(A) obtain information;
(B) use information as evidence in a civil action or proceeding;
or
(C) use information to initiate a civil action or proceeding;
if the information may be obtained from the director or the
director's designee under any law.
(6) The requirements under any federal law or IC 5-14-3
regarding the privacy or confidentiality of any information or
material provided to the NMLS, and any privilege arising under
federal or state law, including the rules of any federal or state
court, with respect to the information or material, continue to
apply to the information or material after the information or
material has been disclosed to the NMLS. The information and
material may be shared with all state and federal regulatory
officials with financial services industry oversight authority
without the loss of privilege or the loss of confidentiality
protections provided by federal law or IC 5-14-3.
(7) Information or material that is subject to a privilege or
confidentiality under subdivision (6) is not subject to:
(A) disclosure under any federal or state law governing the
disclosure to the public of information held by an officer or an
agency of the federal government or the respective state; or
(B) subpoena, discovery, or admission into evidence, in any
private civil action or administrative process, unless with
respect to any privileged information or material held by the
NMLS, the person to whom the information or material pertains
waives, in whole or in part, in the discretion of the person, that
privilege.
(e) Notwithstanding any other provision of law, all information or
reports obtained by the director from an applicant, a licensee, or an
authorized delegate, whether obtained through reports, applications,
examination, audits, investigation, or otherwise, including:
(1) all information contained in or related to:
(A) examination;
(B) investigation;
(C) operation; or
(D) condition;
reports prepared by, on behalf of, or for the use of the director; or
(2) financial statements, balance sheets, or authorized delegate
information;
are confidential and may not be disclosed or distributed outside the
department by the director or any officer or employee of the
department, except as provided in subsection (b).
(f) The director may provide for the release of information to
representatives of:
(1) financial institution and money services business supervisory
agencies;
(2) law enforcement agencies; or
(3) prosecutorial agencies or offices;
of a state (as defined in IC 28-2-17-19), the United States, or a foreign
country. An agency or office that receives information from the director
under this subsection shall maintain the confidentiality of the
information as described in IC 28-1-2-30.
(g) This section does not prohibit the director from releasing to the
public a list of persons licensed under this chapter or from releasing
aggregated financial data with respect to such licensees.

Legislative History

As added by P.L.198-2023, SEC.4.