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A265, R418, H4470

STATUS INFORMATION

General Bill
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   5/26/2004  Senate  Minority report withdrawn SJ-14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

12/17/2003
4/20/2004
4/21/2004
5/26/2004
5/27/2004

(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."

Time effective

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.

This web page was last updated on Monday, December 7, 2009 at 10:36 A.M.