(815 ILCS 390/21) (from Ch. 21, par. 221)
Sec. 21.
Audits.
(a) The Comptroller may audit the records of any licensee with
respect to the trust funds created or pre-construction performance bonds
obtained pursuant to this Act as they pertain to the deposits to and
withdrawals from the trust fund and the maintenance of the required bond,
at reasonable times no more than annually unless there is reasonable cause
to suspect a deficiency. For that purpose, the Comptroller shall have free
access to the office and places of business of all licensees and all
trustees or depositories as it relates to the deposit, withdrawal and
investment of funds. The fee for
an initial audit shall be borne by the licensee
if it has $10,000 or more in trust funds; otherwise, by the Comptroller.
The fee charged by the Comptroller for such audit shall be paid by the
licensee and shall be based upon the total amount of pre-need sales made by
the licensee pursuant to this Act as of the end of the calendar or fiscal
year for which an annual report is required and shall be in accordance with
the following schedule:
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less than $10,000 . . . . . . . . . . . . . . . . . . . . .
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no charge |
$10,000 or more but less than $50,000 . . . . . . . .
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$10 |
$50,000 or more but less than $100,000 . . . . . . . .
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$40 |
$100,000 or more but less than $250,000 . . . . . . .
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$80 |
$250,000 or more . . . . . . . . . . . . . . . . . . . . . .
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$100 |
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(b) The Comptroller may order additional audits or examinations as he or
she
may deem necessary or advisable to ensure the safety and stability of the trust
funds and to ensure compliance with this Act. These additional audits or
examinations shall only be made after good cause is established by the
Comptroller in the written order. The grounds for ordering these additional
audits or examinations may include, but shall not be limited to:
(1) material and unverified changes or fluctuations
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(2) the licensee changing trustees more than twice in
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(3) any withdrawals or attempted withdrawals from the
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| trusts in violation of this Act; or
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(4) failure to maintain or produce documentation
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| required by this Act for deposits into trust accounts or trust investment activities.
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Prior to ordering an additional audit or examination, the Comptroller shall
request the licensee to respond and comment upon the factors identified by the
Comptroller as warranting the subsequent examination or audit. The licensee
shall have 30 days to provide a response to the Comptroller. If the
Comptroller decides to proceed with the additional examination or audit, the
licensee shall bear the full cost of that examination or audit up to a maximum
of $7,500. The
Comptroller may elect to pay for the examination or audit and receive
reimbursement from the licensee. Payment of the costs of the examination or
audit by a licensee shall be a condition of receiving or maintaining a license
under this Act. All moneys received by the Comptroller for examination or
audit fees shall be maintained in a separate account to be known as the
Comptroller's Administrative
Fund. This
Fund, subject to appropriation by the General Assembly, may
be utilized by the Comptroller for
enforcing this Act and other purposes that may be authorized by law.
(Source: P.A. 88-477; 89-615, eff. 8-9-96 .)
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