Section 1738 - Withdrawals from Special Accounts(a) All money deposited in such "trust" or "escrow" account shall be withdrawn, paid out, or transferred to other accounts only in accordance with the written escrow instructions of the principals to the escrow transaction or the escrow instructions transmitted electronically over the Internet executed by the principals to the escrow transaction or pursuant to order of a court of competent jurisdiction.(b) The escrow agent shall comply with, at a minimum, the following procedures for wire transfers (also known as "electronic fund transfers"): (1) The instructions of the principals authorizing the wire transfer must contain, at a minimum, the amount of the funds to be wire transferred, the name of the financial institution, the account number and the account name receiving the funds.(2) The escrow agent shall retain confirmation of the wire transfer from the financial institution that contains, at a minimum, the amount of the funds wire transferred and the account number and name of the account the funds were wire transferred to.(3) If necessary, the escrow books shall be properly adjusted to reflect the wire transfer of funds from the escrow account.(4) The escrow agent shall maintain a proper audit trail and adequate controls and safeguards for funds disbursed by wire transfer.Cal. Code Regs. Tit. 10, § 1738
1. Amendment filed 3-3-52; effective thirtieth day thereafter (Register 27, No. 5).
2. Editorial correction adding NOTE filed 4-6-83 (Register 83, No. 15).
3. Amendment of section and NOTE filed 7-21-2003; operative 7-21-2003 pursuant to Government Code section 11343.4 (Register 2003, No. 30). Note: Authority cited: Section 17400, Financial Code. Reference: Sections 17403.2, 17403.3, 17409 and 17409.1, Financial Code.
1. Amendment filed 3-3-52; effective thirtieth day thereafter (Register 27, No. 5).
2. Editorial correction adding NOTE filed 4-6-83 (Register 83, No. 15).
3. Amendment of section and Note filed 7-21-2003; operative 7-21-2003 pursuant to Government Code section 11343.4 (Register 2003, No. 30).