Ala. Admin. Code r. 660-3-12-.08

Current through Register Vol. 42, No. 12, September 30, 2024

Section 660-3-12-.08 - Penalties To Financial Institutions

(1) The state IV-D agency has the authority to impose penalties for failure to comply with the terms of Financial Institution Data Match. Failure of a financial institution to cooperate may take place at two stages in the Financial Institution Data Match Process:

(a) A financial institution may refuse to sign an agreement with the state IV-D agency to perform the actual data match against their accounts; or

(b) A financial institution may refuse to release the funds.

(2) In the event a financial institution refuses to enter into an agreement with the state IV-D agency to perform the automated data match, a motion may be filed with the court to compel the financial institution doing business in the state to comply to the law.

(3) The financial institutions are apprised in the Notice of Levy document of the penalty for failing to honor a levy of the noncustodial parent's account(s). Failure or refusal to surrender the funds shall result in liability to the state IV-D agency in a sum equal to such levy and to a penalty equal to twenty-five percent (25%) of such amount.

Author: Janice Grubbs

Ala. Admin. Code r. 660-3-12-.08

Emergency rule effective February 25, 2000. New Rule: Filed May 5, 2000; effective June 9, 2000.

Statutory Authority:Code of Ala. 1975, §§ 30-3-191, 30-3-192, and 30-3-198, P.L. 104-193.