Chapter 222

010 -- S 2399 SUBSTITUTE A AS AMENDED

Enacted 06/25/10

 

A N A C T

RELATING TO FINANCIAL INSTITUTIONS - CREDIT UNIONS

          

     Introduced By: Senators Pichardo, Goodwin, Gallo, Perry, and Miller

     Date Introduced: February 11, 2010

     

It is enacted by the General Assembly as follows:

 

     SECTION 1. Chapter 19-5 of the General Laws entitled "Credit Unions" is hereby

amended by adding thereto the following section:

 

     19-5-29. Savings promotion raffle. (a) If authorized by the credit union board of

directors, a credit union registered to do business in the State of Rhode Island may conduct a

savings promotion raffle. The credit union shall conduct a savings promotion raffle so that each

token or ticket representing an entry in the raffle has an equal chance of being drawn. A credit

union shall not conduct a savings promotion raffle in a manner that jeopardizes the credit union's

safety and financial soundness or misleads its members.

     (b) Pursuant to his or her supervisory powers the director of state lotteries shall examine

the conduct of a savings promotion raffle. The director may issue a cease and desist order for a

violation of this section.

     (c) A credit union shall maintain records sufficient to facilitate an audit of a savings

promotion raffle.

     (d) As used in this section, "savings promotion raffle" means a raffle conducted by a

credit union where the sole consideration required for a chance of winning designated prizes is

the deposit of at least a specified amount of money in a savings account or other savings program

offered by the credit union.

 

     SECTION 2. Chapter 42-61 of the General Laws entitled "State Lottery" is hereby

amended by adding thereto the following section:

 

     42-61-18. Credit union savings lottery authorized. -- Credit unions organized pursuant

to chapter 19-5 of the general laws are hereby authorized to conduct lotteries in accordance with

section 19-5-29 of the general laws.

 

     SECTION 3. Section 11-19-1.1 of the General Laws in Chapter 11-19 entitled "Gambling

and Lotteries" is hereby amended to read as follows:

 

     11-19-1.1. Lotteries permitted. -- (a) Any state, city, town, ward, or district committee

elected pursuant to the provisions of title 17 or certified candidates, but not both, as defined in

title 17, shall be allowed to conduct that lottery commonly known as a "twenty (20) week club" or

conduct a raffle once within a twelve (12) month period subsequent to notification to the Rhode

Island lottery commission. For the purposes of this section a "certified candidate" does not

include any state, city, town, ward, or district committee person.

     (b) Credit unions may conduct "savings promotion raffles" as authorized by section 19-5-

29.

 

     SECTION 4. This act shall take effect upon passage.

     

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LC01777/SUB A

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