Ariz. Admin. Code § R2-14-106 - Use of Reports

A.If the Administrator determines after reviewing either the daily report or detailed daily report that an eligible depository has pledged insufficient collateral to the collateral pool, the Administrator shall immediately contact the eligible depository and require that additional collateral be pledged.

B.An eligible depository that is contacted under subsection (A) shall send a report to the Administrator identifying the additional collateral pledged by CUSIP, par value, and market value.

C.If an eligible depository fails to pledge additional collateral as required under subsection (A) or provide the report required under subsection (B) by 3:00 p.m. EST of the day contacted by the Administrator, the Administrator shall take one or more of the following actions:

1. Provide written notice to the eligible depository of intent to assess a daily civil penalty of:

a. $250 for failure to comply with subsection (A), and

b. $100 for failure to comply with subsection (B);

2. Provide electronic notice of the noncompliance to the:

a. Superintendent of the Department of Financial Institutions, and

b. Public depositors that have deposits with the eligible depository, and

3. Post notice of the noncompliance on the Treasurer's web site.

D.The Administrator shall forward an electronic copy of the monthly report to each public depositor within five days after receiving the report. Before the end of the month, each public depositor shall review the monthly report and inform the Administrator of any discrepancy between the information in the monthly report and the account statement provided directly to the public depositor by the eligible depository. If the public depositor fails to inform the Administrator of a discrepancy before the end of the month, the Administrator shall deem the monthly report to be correct.

Notes

Ariz. Admin. Code § R2-14-106

Adopted by final rulemaking at 21 A.A.R. 233, effective 4/4/2015.