Vote Smart's Synopsis:

Vote to pass a bill that establishes the crime of misappropriation of payroll funds in New York.

Highlights:

• Establishes that a person is guilty of misappropriation of payroll funds when both of the following is true (Sec. 1):

• The person knows those funds are designed for use as employee payroll funds or as payment of payroll taxes; and

• The person intentionally prevents the funds from being used for their designated purpose.

• Specifies that a delayed transfer of funds shall not constitute misappropriation of payroll funds (Sec. 1). 

• Specifies that a payroll processing company shall not be held responsible for an employer’s failure to provide sufficient funds (Sec. 1). 

• Specifies a violation of these provisions as a Class E felony (Sec 1). 

• Specifies that the provisions of this bill shall take effect immediately upon passage (Sec. 3).

Full Bill Text