West Virginia Code 31A-8G-8 – Recordkeeping and reporting requirements; participant removal
(a) A regulatory sandbox participant shall retain records, documents, and data produced in the ordinary course of business regarding an innovative product or service tested in the regulatory sandbox program, and shall maintain comprehensive records for not less than five years after the conclusion of the regulatory sandbox testing period.
Terms Used In West Virginia Code 31A-8G-8
- division: means the Division of Banking of West Virginia. See West Virginia Code 31A-1-2
- Innovative product or service: means a financial product or service that includes an innovation. See West Virginia Code 31A-8G-2
- Joint committee: Committees including membership from both houses of teh legislature. Joint committees are usually established with narrow jurisdictions and normally lack authority to report legislation.
- Regulatory sandbox participant: means a person whose application to participate in the regulatory sandbox program is approved in accordance with the provisions of this article. See West Virginia Code 31A-8G-2
- Regulatory sandbox program: means the West Virginia FinTech Regulatory Sandbox Program created by this article, which allows a person to temporarily test an innovative product or service on a limited basis without otherwise being licensed or authorized to act under the laws of the state. See West Virginia Code 31A-8G-2
- Regulatory sandbox testing period: means a 24-month period beginning on the date an applicant is admitted to the regulatory sandbox program. See West Virginia Code 31A-8G-2
- State: when applied to a part of the United States and not restricted by the context, includes the District of Columbia and the several territories, and the words "United States" also include the said district and territories. See West Virginia Code 2-2-10
(b) If an innovative product or service fails before the conclusion of a regulatory sandbox testing period, the regulatory sandbox participant shall notify the Division of Financial Institutions and report on actions taken by the regulatory sandbox participant to ensure consumers have not been harmed as a result of the failure.
(c) The Division of Financial Institutions will collaborate with a regulatory sandbox participant to establish periodic and reasonable reporting requirements for the regulatory sandbox participant.
(d) The Division of Financial Institutions may request records, documents, and data from a regulatory sandbox participant, and, upon the division‘s request, a regulatory sandbox participant shall make such records, documents, and data available for inspection by the division.
(e) If the Division of Financial Institutions determines that a regulatory sandbox participant has engaged in, is engaging in, or is about to engage in any practice or transaction that is in violation of this chapter or that constitutes a violation of a state or federal criminal law, the Division of Financial Institutions may remove a regulatory sandbox participant from the regulatory sandbox program and may refer suspected violations of law relating to this act to appropriate state or federal agencies for investigation, prosecution, civil penalties, and other appropriate enforcement actions.
(f) On or before December 1 of each year, the Division of Financial Institutions shall provide an annual written report to the Joint Committee on Government and Finance that provides information regarding each regulatory sandbox participant and that provides recommendations regarding the effectiveness of the regulatory sandbox program. This report shall be made publicly available on the division’s website.