Nebraska would screen money transmitters for foreign adversary ties

Applicants would certify that they and their key people and controlling owners are not foreign adversary persons. This would apply to people and entities applying for a Nebraska money transmitter license. Applicants would provide enough information for the director to check the certifications. The director could waive some application information requirements, but not the application fee. Within 30 days after the act takes effect, the director would have to issue forms and instructions requiring this information.

The director would presume an applicant, licensee, or other covered person is unfit if they cannot establish they are not a foreign adversary person. This would cover applicants, licensees, people seeking control of a licensee, authorized delegates, and relevant key people or controlling owners. The presumption could be overcome only with clear and convincing evidence of an exemption from sharing information, enforceability of that exemption in Nebraska, quarterly outside audits, and prompt notice if information is shared. The audits and notice policy would cover the license period and three years after it ends. The audit and notice safeguards would apply during a license and for three years after it expires.

The director would request information from current licensees and applicants with completed applications, and start license revocation proceedings in specified cases. The requests would go to every licensee and every applicant with a completed application. A licensee would face proceedings if it failed to provide requested information within 60 days after receiving the request, or if the director had reasonable suspicion that the licensee or relevant people were foreign adversary persons. The provisions would apply to existing and future licenses and applications when the act takes effect. The director would send requests within 60 days after that date.