(a) A bank depository that refuses to cash upon presentation by the payee within thirty (30) days of issuance a state warrant of five hundred dollars ($500) or less drawn upon the State Treasury or a bank check of five hundred dollars ($500) or less issued by a state agency shall:
(1) Be discontinued immediately as a bank depository; and
(2) For a period of time determined by the State Board of Finance, be ineligible for reinstatement as a bank depository.
(b) This section does not prevent a bank depository from:
(1) Taking a reasonable time to make proper identification of the persons and signatures of payees named in warrants or checks; or
(2) Seeking indemnification for losses from cashing warrants or checks for persons other than the payees named in the warrants or checks.
Section: Previous 19-3-509 19-3-510 19-3-511 19-3-512 19-3-513 19-3-514 19-3-515 19-3-516 19-3-517 19-3-518 19-3-519 19-3-520 19-3-521 19-3-522 NextLast modified: November 15, 2016