093_SB0713enr

 
SB713 Enrolled                       LRB093 03166 AMC 03183 b

 1        AN ACT concerning accounting.

 2        Be  it  enacted  by  the People of the State of Illinois,
 3    represented in the General Assembly:

 4        Section 5.  The Illinois Public Accounting Act is amended
 5    by changing Sections 2 and 20.01 as follows:

 6        (225 ILCS 450/2) (from Ch. 111, par. 5502)
 7        (Section scheduled to be repealed on January 1, 2014)
 8        (Text of Section before amendment by P.A. 92-457)
 9        Sec. 2.  Examinations. The  University  shall  appoint  a
10    Board of Examiners that shall determine the qualifications of
11    persons  applying  for  certificates and shall make rules for
12    and conduct examinations for determining the qualifications.
13        The Board shall consist of 9 examiners,  at  least  7  of
14    whom  shall be certified public accountants in this State who
15    have been residents of  this  State  for  at  least  5  years
16    immediately preceding their appointment.  One shall be either
17    an  accountant  of  the grade herein described or an attorney
18    licensed and residing in  this  State  and  one  shall  be  a
19    certified  public  accountant  who  is  an  active or retired
20    educator residing in this State.  The term of office of  each
21    examiner  shall be 3 years, except that upon the enactment of
22    this amendatory Act of 1993, those members currently  serving
23    on  the  Board  shall continue to serve the duration of their
24    terms, one additional examiner shall be appointed for a  term
25    of  one  year, one additional examiner for a term of 2 years,
26    and 2 additional examiners for a term of  3  years.   As  the
27    term  of  each  examiner  expires,  the  appointment shall be
28    filled for a term of 3 years from  the  date  of  expiration.
29    Any Board member who has served as a member for 6 consecutive
30    years  shall  not be eligible for reappointment until 2 years
31    after the end of the term in which the sixth consecutive year
 
SB713 Enrolled             -2-       LRB093 03166 AMC 03183 b
 1    of service occurred.
 2        Information  regarding  educational   requirements,   the
 3    application  process,  the  examination,  and  fees  shall be
 4    available on the the Board's Internet web site as well as  in
 5    printed  documents  available  from  the Board's office.  The
 6    time  and  place  of  holding  the  examinations   shall   be
 7    determined  by  the Board and shall be duly advertised by the
 8    Board.
 9        The examination shall test the applicant's  knowledge  of
10    accounting,  auditing, and other related subjects, if any, as
11    the Board may deem advisable.  Prior to implementation  of  a
12    computer-based  examination,  a candidate must be examined in
13    all subjects except that a candidate who has passed in  2  or
14    more  subjects  and  who  attained  a  minimum  grade in each
15    subject failed as may be  established  by  Board  regulations
16    shall  have  the  right  to  be  re-examined in the remaining
17    subjects  at  one  or  more  of   the   next   6   succeeding
18    examinations.   Upon   implementation   of  a  computer-based
19    examination, a  candidate  shall  be  required  to  pass  all
20    sections  of  the  examination  in  order  to  qualify  for a
21    certificate.  A candidate may take the required test sections
22    individually and in any order, as long as the examination  is
23    taken within a timeframe established by Board rule.
24        The  Board may in certain cases waive or defer any of the
25    requirements of this Section regarding the  circumstances  in
26    which  the various Sections of the examination must be passed
27    upon a showing that, by reasons of circumstances  beyond  the
28    applicant's  control,  the  applicant  was unable to meet the
29    requirement.
30        Applicants may also be required to pass an examination on
31    the rules of professional conduct,  as  determined  by  Board
32    rule to be appropriate.
33        The examinations shall be given at least twice a year.
34        Any  application,  document or other information filed by
 
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 1    or concerning an applicant and any examination grades  of  an
 2    applicant  shall  be  deemed  confidential  and  shall not be
 3    disclosed to anyone without the prior written  permission  of
 4    the  applicant, except that it is hereby deemed in the public
 5    interest that the names and addresses only of all  applicants
 6    shall   be   a  public  record  and  be  released  as  public
 7    information.  Nothing herein shall  prevent  the  Board  from
 8    making  public announcement of the names of persons receiving
 9    certificates under this Act.
10        The Board shall adopt all necessary and reasonable  rules
11    and  regulations  for  the  effective  administration  of the
12    Sections  of  this  Act  for  which  it   is   charged   with
13    administering.   Without  limiting  the  foregoing, the Board
14    shall adopt and prescribe rules and regulations  for  a  fair
15    and   wholly   and   impartial   method  of  determining  the
16    qualifications of applicants for examination and for  a  fair
17    and  wholly  and  impartial  method of examination of persons
18    under  Section  2  and  may  establish  rules  for   subjects
19    conditioned  and  for  the  transfer  of  credits  from other
20    jurisdictions with respect to subjects passed.
21    (Source: P.A. 88-36.)

22        (Text of Section after amendment by P.A. 92-457)
23        Sec. 2.  Examinations. The Governor shall appoint a Board
24    of Examiners  that  shall  determine  the  qualifications  of
25    persons  applying  for  certificates and shall make rules for
26    and conduct examinations for determining the qualifications.
27    The Board shall consist of not less than 9 nor more  than  11
28    examiners,  as  determined  by Board rule, including 2 public
29    members. The remainder shall be certified public  accountants
30    in  this  State  who have been residents of this State for at
31    least 5 years immediately preceding their appointment, except
32    that one shall be either a certified public accountant of the
33    grade herein described or an attorney licensed  and  residing
34    in  this State and one shall be a certified public accountant
 
SB713 Enrolled             -4-       LRB093 03166 AMC 03183 b
 1    who is an active or retired educator residing in this  State.
 2    The  term of office of each examiner shall be 3 years, except
 3    that upon the enactment of this amendatory Act  of  the  92nd
 4    General  Assembly,  those  members  currently  serving on the
 5    Board shall continue to serve the duration  of  their  terms,
 6    one  additional examiner shall be appointed for a term of one
 7    year, one additional examiner for a term of 2 years, and  any
 8    additional  examiners  for  terms of 3 years.  As the term of
 9    each examiner expires, the appointment shall be filled for  a
10    term  of  3  years  from  the  date of expiration.  Any Board
11    member who has served as a member  for  6  consecutive  years
12    shall  not  be eligible for reappointment until 2 years after
13    the end of the term in which the sixth  consecutive  year  of
14    service occurred, except that members of the Board serving on
15    the  effective  date  of  this  Section shall be eligible for
16    appointment  to  one  additional  3-year  term.   Where   the
17    expiration  of any member's term shall result in less than 11
18    members then serving on the Board, the member shall  continue
19    to  serve  until  his  or  her successor is appointed and has
20    qualified. The Governor may terminate the term of any  member
21    of the Board at any time for cause.
22        Information   regarding   educational  requirements,  the
23    application process,  the  examination,  and  fees  shall  be
24    available  on  the  Board's  Internet  web site as well as in
25    printed documents available from the Board's office. The time
26    and place of holding the examinations shall be determined  by
27    the Board and shall be duly advertised by the Board.
28        The  examination  shall test the applicant's knowledge of
29    accounting, auditing, and other related subjects, if any,  as
30    the  Board  may deem advisable.  Prior to implementation of a
31    computer-based examination, a candidate must be  examined  in
32    all  subjects  except that a candidate who has passed in 2 or
33    more subjects and  who  attained  a  minimum  grade  in  each
34    subject  failed  as  may  be established by Board regulations
 
SB713 Enrolled             -5-       LRB093 03166 AMC 03183 b
 1    shall have the right  to  be  re-examined  in  the  remaining
 2    subjects   at   one   or   more  of  the  next  6  succeeding
 3    examinations.  Upon  implementation   of   a   computer-based
 4    examination,  a  candidate  shall  be  required  to  pass all
 5    sections of  the  examination  in  order  to  qualify  for  a
 6    certificate.  A candidate may take the required test sections
 7    individually  and in any order, as long as the examination is
 8    taken within a timeframe established by Board rule.
 9        The Board may in certain cases waive or defer any of  the
10    requirements  of  this Section regarding the circumstances in
11    which the various Sections of the examination must be  passed
12    upon  a  showing that, by reasons of circumstances beyond the
13    applicant's control, the applicant was  unable  to  meet  the
14    requirement.
15        Applicants may also be required to pass an examination on
16    the  rules  of  professional  conduct, as determined by Board
17    rule to be appropriate.
18        The examinations shall be given at least twice a year.
19        Any application, document or other information  filed  by
20    or  concerning  an applicant and any examination grades of an
21    applicant shall be  deemed  confidential  and  shall  not  be
22    disclosed  to  anyone without the prior written permission of
23    the applicant, except that it is hereby deemed in the  public
24    interest  that the names and addresses only of all applicants
25    shall  be  a  public  record  and  be  released   as   public
26    information.   Nothing  herein  shall  prevent the Board from
27    making public announcement of the names of persons  receiving
28    certificates under this Act.
29        The  Board shall adopt all necessary and reasonable rules
30    and regulations for the effective administration of this Act.
31    Without limiting the foregoing, the  Board  shall  adopt  and
32    prescribe  rules  and  regulations  for a fair and wholly and
33    impartial  method  of  determining  the   qualifications   of
34    applicants  for  examination  and  for  a fair and wholly and
 
SB713 Enrolled             -6-       LRB093 03166 AMC 03183 b
 1    impartial method of examination of persons  under  Section  2
 2    and  may establish rules for subjects conditioned and for the
 3    transfer of credits from other jurisdictions with respect  to
 4    subjects passed.
 5    (Source: P.A. 92-457, eff. 7-1-04.)

 6        (225 ILCS 450/20.01) (from Ch. 111, par. 5521.01)
 7        (Section scheduled to be repealed on January 1, 2014)
 8        (Text of Section before amendment by P.A. 92-457)
 9        Sec. 20.01.  Grounds for discipline.
10        (a)  The  Department may refuse to issue or renew, or may
11    revoke, suspend, or reprimand any license or licensee,  place
12    a  licensee  on probation for a period of time subject to any
13    conditions the Committee may specify including requiring  the
14    licensee  to  attend  continuing education courses or to work
15    under the supervision of another licensee, impose a fine  not
16    to  exceed $5,000 for each violation, restrict the authorized
17    scope of practice, or require a licensee to  undergo  a  peer
18    review program, for any one or more of the following:
19             (1)  Violation of any provision of this Act.
20             (2)  Attempting  to  procure  a  license to practice
21        public    accounting    by    bribery    or    fraudulent
22        misrepresentations.
23             (3)  Having a license to practice public  accounting
24        revoked, suspended, or otherwise acted against, including
25        the  denial  of  licensure, by the licensing authority of
26        another state, territory, or  country.   No  disciplinary
27        action  shall be taken in Illinois if the action taken in
28        another jurisdiction was based upon failure to  meet  the
29        continuing  professional  education  requirements of that
30        jurisdiction  and  the  applicable  Illinois   continuing
31        professional education requirements are met.
32             (4)  Being  convicted or found guilty, regardless of
33        adjudication,  of  a  crime  in  any  jurisdiction  which
 
SB713 Enrolled             -7-       LRB093 03166 AMC 03183 b
 1        directly relates to the practice of public accounting  or
 2        the ability to practice public accounting.
 3             (5)  Making  or  filing a report or record which the
 4        registrant knows to be false, willfully failing to file a
 5        report or  record  required  by  state  or  federal  law,
 6        willfully impeding or obstructing the filing, or inducing
 7        another  person  to  impede  or obstruct the filing.  The
 8        reports or records shall  include  only  those  that  are
 9        signed in the capacity of a public accountant.
10             (6)  Conviction  in  this  or  another  State or the
11        District of Columbia, or any United States Territory,  of
12        any  crime  that  is  punishable  by  one year or more in
13        prison or conviction of a crime in a federal  court  that
14        is punishable by one year or more in prison.
15             (7)  Proof  that  the licensee is guilty of fraud or
16        deceit,  or  of  gross   negligence,   incompetency,   or
17        misconduct, in the practice of public accounting.
18             (8)  Violation of any rule adopted under this Act.
19             (9)  Practicing on a revoked, suspended, or inactive
20        license.
21             (10)  Suspension  or  revocation  of  the  right  to
22        practice before any state or federal agency.
23             (11)  Conviction  of any crime under the laws of the
24        United States or any state or  territory  of  the  United
25        States that is a felony or misdemeanor and has dishonesty
26        as  essential  element,  or of any crime that is directly
27        related to the practice of the profession.
28             (12)  Making any misrepresentation for  the  purpose
29        of  obtaining  a  license,  or  material  misstatement in
30        furnishing information to the Department.
31             (13)  Aiding  or   assisting   another   person   in
32        violating  any provision of this Act or rules promulgated
33        hereunder.
34             (14)  Engaging  in   dishonorable,   unethical,   or
 
SB713 Enrolled             -8-       LRB093 03166 AMC 03183 b
 1        unprofessional  conduct of a character likely to deceive,
 2        defraud, or harm the public and violating  the  rules  of
 3        professional conduct adopted by the Department.
 4             (15)  Habitual  or  excessive  use  or  addiction to
 5        alcohol, narcotics, stimulants,  or  any  other  chemical
 6        agent  or  drug that results in the inability to practice
 7        with reasonable skill, judgment, or safety.
 8             (16)  Directly or indirectly giving to or  receiving
 9        from  any  person,  firm,  corporation,  partnership,  or
10        association any fee, commission, rebate, or other form of
11        compensation  for  any  professional service not actually
12        rendered.
13             (17)  Physical  or  mental   disability,   including
14        deterioration  through  the  aging  process  or  loss  of
15        abilities  and  skills  that  results in the inability to
16        practice the profession with reasonable  judgment,  skill
17        or safety.
18             (18)  Solicitation of professional services by using
19        false or misleading advertising.
20             (19)  Failure  to  file  a  return,  or pay the tax,
21        penalty or interest shown in a filed return,  or  to  pay
22        any  final  assessment  of  tax,  penalty or interest, as
23        required by any tax  Act  administered  by  the  Illinois
24        Department  of  Revenue  or  any  successor agency or the
25        Internal Revenue Service or any successor agency.
26             (20)  Practicing or attempting to practice  under  a
27        name  other than the full name as shown on the license or
28        any other legally authorized name.
29             (21)  A finding by the Department  that  a  licensee
30        has  not  complied  with  a provision of any lawful order
31        issued by the Department.
32             (22)  Making a false  statement  to  the  Department
33        regarding   compliance   with   continuing   professional
34        education requirements.
 
SB713 Enrolled             -9-       LRB093 03166 AMC 03183 b
 1             (23)  Failing  to  make  a substantive response to a
 2        request for information by the Department within 30  days
 3        of the request.
 4        (b)  (Blank).
 5        (c)  In  rendering an order, the Director shall take into
 6    consideration the facts and circumstances involving the  type
 7    of  acts  or  omissions  in subsection (a) including, but not
 8    limited to:
 9             (1)  the extent to which public  confidence  in  the
10        public accounting profession was, might have been, or may
11        be injured;
12             (2)  the  degree  of  trust and dependence among the
13        involved parties;
14             (3)  the  character  and  degree  of  financial   or
15        economic harm which did or might have resulted; and
16             (4)  the  intent  or  mental  state  of  the  person
17        charged at the time of the acts or omissions.
18        (d)  The   Department  shall  reissue  the  license  upon
19    certification by the Committee that the disciplined  licensee
20    has  complied with  all of the terms and conditions set forth
21    in the final order.
22        (e)  The Department shall  deny  any  application  for  a
23    license  or  renewal,  without hearing, to any person who has
24    defaulted on an educational loan guaranteed by  the  Illinois
25    Student  Assistance  Commission;  however, the Department may
26    issue a license or renewal  if  the  person  in  default  has
27    established  a satisfactory repayment record as determined by
28    the Illinois Student Assistance Commission.
29        (f)  The determination by a  court  that  a  licensee  is
30    subject  to  involuntary  admission  or judicial admission as
31    provided in the Mental Health and Developmental  Disabilities
32    Code  will  result  in the automatic suspension of his or her
33    license.  The suspension will end upon a finding by  a  court
34    that  the  licensee  is  no  longer  subject  to  involuntary
 
SB713 Enrolled             -10-      LRB093 03166 AMC 03183 b
 1    admission  or judicial admission, the issuance of an order so
 2    finding and discharging the patient, and  the  recommendation
 3    of the Committee to the Director that the licensee be allowed
 4    to resume professional practice.
 5    (Source: P.A. 90-655, eff. 7-30-98; revised 3-7-02.)

 6        (Text of Section after amendment by P.A. 92-457)
 7        Sec. 20.01.  Grounds for discipline; license.
 8        (a)  The  Board  may  refuse  to  issue  or renew, or may
 9    revoke, suspend, or reprimand any license or licensee,  place
10    a  licensee  on probation for a period of time subject to any
11    conditions the Board  may  specify  including  requiring  the
12    licensee  to  attend  continuing education courses or to work
13    under the supervision of another licensee, impose a fine  not
14    to  exceed $5,000 for each violation, restrict the authorized
15    scope of practice, or require a licensee to  undergo  a  peer
16    review program, for any one or more of the following:
17             (1)  Violation of any provision of this Act.
18             (2)  Attempting  to  procure  a  license to practice
19        public    accounting    by    bribery    or    fraudulent
20        misrepresentations.
21             (3)  Having a license to practice public  accounting
22        revoked, suspended, or otherwise acted against, including
23        the  denial  of  licensure, by the licensing authority of
24        another state, the District of Columbia,  or  any  United
25        States  territory.  No disciplinary action shall be taken
26        in Illinois if the action taken in  another  jurisdiction
27        was   based   upon   failure   to   meet  the  continuing
28        professional education requirements of that  jurisdiction
29        and   the  applicable  Illinois  continuing  professional
30        education requirements are met.
31             (4)  Being convicted or found guilty, regardless  of
32        adjudication,  of  a  crime  in  any  jurisdiction  which
33        directly  relates to the practice of public accounting or
34        the ability to practice public accounting.
 
SB713 Enrolled             -11-      LRB093 03166 AMC 03183 b
 1             (5)  Making or filing a report or record  which  the
 2        registrant knows to be false, willfully failing to file a
 3        report  or  record  required  by  state  or  federal law,
 4        willfully impeding or obstructing the filing, or inducing
 5        another person to impede or  obstruct  the  filing.   The
 6        reports  or  records  shall  include  only those that are
 7        signed in the capacity of  a  licensed  certified  public
 8        accountant.
 9             (6)  Conviction  in  this  or  another  State or the
10        District of Columbia, or any United States Territory,  of
11        any  crime  that  is  punishable  by  one year or more in
12        prison or conviction of a crime in a federal  court  that
13        is punishable by one year or more in prison.
14             (7)  Proof  that  the licensee is guilty of fraud or
15        deceit,  or  of  gross   negligence,   incompetency,   or
16        misconduct, in the practice of public accounting.
17             (8)  Violation of any rule adopted under this Act.
18             (9)  Practicing on a revoked, suspended, or inactive
19        license.
20             (10)  Suspension  or  revocation  of  the  right  to
21        practice before any state or federal agency.
22             (11)  Conviction  of any crime under the laws of the
23        United States or any state or  territory  of  the  United
24        States that is a felony or misdemeanor and has dishonesty
25        as an essential element, or of any crime that is directly
26        related to the practice of the profession.
27             (12)  Making  any  misrepresentation for the purpose
28        of obtaining  a  license,  or  material  misstatement  in
29        furnishing information to the Board.
30             (13)  Aiding   or   assisting   another   person  in
31        violating any provision of this Act or rules  promulgated
32        hereunder.
33             (14)  Engaging   in   dishonorable,   unethical,  or
34        unprofessional conduct of a character likely to  deceive,
 
SB713 Enrolled             -12-      LRB093 03166 AMC 03183 b
 1        defraud,  or  harm  the public and violating the rules of
 2        professional conduct adopted by the Board.
 3             (15)  Habitual or  excessive  use  or  addiction  to
 4        alcohol,  narcotics,  stimulants,  or  any other chemical
 5        agent or drug that results in the inability  to  practice
 6        with reasonable skill, judgment, or safety.
 7             (16)  Directly  or indirectly giving to or receiving
 8        from  any  person,  firm,  corporation,  partnership,  or
 9        association any fee, commission, rebate, or other form of
10        compensation for any professional  service  not  actually
11        rendered.
12             (17)  Physical   or   mental  disability,  including
13        deterioration  through  the  aging  process  or  loss  of
14        abilities and skills that results  in  the  inability  to
15        practice  the  profession with reasonable judgment, skill
16        or safety.
17             (18)  Solicitation of professional services by using
18        false or misleading advertising.
19             (19)  Failure to file a  return,  or  pay  the  tax,
20        penalty  or  interest  shown in a filed return, or to pay
21        any final assessment of  tax,  penalty  or  interest,  as
22        required  by  any  tax  Act  administered by the Illinois
23        Department of Revenue or  any  successor  agency  or  the
24        Internal Revenue Service or any successor agency.
25             (20)  Practicing  or  attempting to practice under a
26        name other than the full name as shown on the license  or
27        any other legally authorized name.
28             (21)  A finding by the Board that a licensee has not
29        complied  with  a provision of any lawful order issued by
30        the Board.
31             (22)  Making  a  false  statement   to   the   Board
32        regarding   compliance   with   continuing   professional
33        education requirements.
34             (23)  Failing  to  make  a substantive response to a
 
SB713 Enrolled             -13-      LRB093 03166 AMC 03183 b
 1        request for information by the Board within  30  days  of
 2        the request.
 3        (b)  (Blank).
 4        (c)  In  rendering  an  order,  the Board shall take into
 5    consideration the facts and circumstances involving the  type
 6    of  acts  or  omissions  in subsection (a) including, but not
 7    limited to:
 8             (1)  the extent to which public  confidence  in  the
 9        public accounting profession was, might have been, or may
10        be injured;
11             (2)  the  degree  of  trust and dependence among the
12        involved parties;
13             (3)  the  character  and  degree  of  financial   or
14        economic harm which did or might have resulted; and
15             (4)  the  intent  or  mental  state  of  the  person
16        charged at the time of the acts or omissions.
17        (d)  The  Board  shall reissue the license upon a showing
18    that the disciplined licensee has complied with  all  of  the
19    terms and conditions set forth in the final order.
20        (e)  The  Board  shall deny any application for a license
21    or renewal, without hearing, to any person who has  defaulted
22    on  an  educational  loan  guaranteed by the Illinois Student
23    Assistance Commission; however, the Board may issue a license
24    or renewal  if  the  person  in  default  has  established  a
25    satisfactory  repayment  record as determined by the Illinois
26    Student Assistance Commission.
27        (f)  The determination by a  court  that  a  licensee  is
28    subject  to  involuntary  admission  or judicial admission as
29    provided in the Mental Health and Developmental  Disabilities
30    Code  will  result  in the automatic suspension of his or her
31    license.  The suspension will end upon a finding by  a  court
32    that  the  licensee  is  no  longer  subject  to  involuntary
33    admission  or judicial admission and the issuance of an order
34    so finding and discharging the patient.
 
SB713 Enrolled             -14-      LRB093 03166 AMC 03183 b
 1    (Source: P.A. 92-457, eff. 7-1-04; revised 3-7-02.)

 2        Section 95.  No acceleration or delay.   Where  this  Act
 3    makes changes in a statute that is represented in this Act by
 4    text  that  is not yet or no longer in effect (for example, a
 5    Section represented by multiple versions), the  use  of  that
 6    text  does  not  accelerate or delay the taking effect of (i)
 7    the changes made by this Act or (ii) provisions derived  from
 8    any other Public Act.

 9        Section  99.  Effective date.  This Act takes effect upon
10    becoming law.