HB 17-1253

House Bill 17-1253, also known as "Protect Seniors From Financial Abuse," requires financial professionals like brokers and investment advisors to report any suspicion of financial exploitation involving elderly or at-risk individuals to the state securities commissioner. The commissioner then forwards these reports to local law enforcement and social services for further action. This bill allows professionals to delay transactions that might lead to financial abuse and provides them with legal protection when they make such reports. Since it has been signed, this bill is now an active law in Colorado, meaning financial professionals are legally required to follow its guidelines to protect vulnerable individuals from financial exploitation.

Official Summary

The bill requires that if certain licensed securities professionals (qualified individuals), while acting within the scope of their employment, reasonably suspect that an elderly or at-risk person is the subject of financial exploitation, the broker-dealer or investment adviser shall report the suspected financial exploitation to the commissioner of securities (commissioner). The commissioner is required to forward the report to local law enforcement and to the county department of human or social services. The commissioner has access to records to conduct an investigation, but the records are not subject to an open records request. The bill also authorizes the qualified individual to notify any third party designated by or associated with the elderly or at-risk person of any suspected financial exploitation. It also authorizes the broker-dealer or investment adviser to delay disbursement of a transaction that might result in financial exploitation. The bill provides immunity to qualified individuals, broker-dealers, and investment advisers making reports, disclosures, or delaying disbursements under the bill. For qualified individuals who are also required to report mistreatment of an elderly or at-risk person pursuant to the 'Colorado Criminal Code' (code), the bill clarifies that, if the individual makes a report pursuant to the code, the individual does not have to submit a report with the commissioner, and that filing a report with the commissioner does not satisfy the individual's obligation pursuant to the code. (Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Votes