20 ILCS 205/205-410
2021 Illinois Compiled Statutes|Chapter 20 - EXECUTIVE BRANCH|20 ILCS 205/ - Civil Administrative Code of Illinois. (Department of Agriculture Law)|Article 205 - Department Of Agriculture

 (was 20 ILCS 205/40.23)Sec. 205-410.     Surety bonds; trust funds and accounts; bank accounts.(a) In this Section:"Claimant" means a person who is unable to secure satisfaction of financial  obligations due from a person subject to regulation by the Department, in  accordance with the applicable statute or regulation and the time limits  provided  for in that statute or regulation, if any, under any of the  following Acts:(1) The Illinois Egg and Egg Products Act.(2) The Personal Property Storage Act.(3) The Livestock Auction Market Law.(4) The Illinois Pesticide Act.(5) The Weights and Measures Act.(6) The Illinois Livestock Dealer Licensing Act.(7) The Slaughter Livestock Buyers Act.(8) The Illinois Feeder Swine Dealer Licensing Act."Failure"  under the Acts cited in the definition of "claimant" contained  in this Section means any of the following:(1) An inability to financially satisfy claimants in     accordance with the applicable statute or regulation and the time limits provided for in that statute or regulation, if any.(2) A public declaration of insolvency.(3) A revocation of a license and the leaving of an     outstanding indebtedness to claimants.(4) A failure to pay claimants in the ordinary course     of business and when a bonafide dispute does not exist between the licensee and the customer.(5) A failure to apply for renewal of a license.(6) A denial of a request for renewal of a license.(7) A voluntary surrendering of a license.(b) The  Department has the power to control surety bonds and trust funds  and to establish trust  accounts and bank accounts in adequately protected financial institutions,  to hold monies received by the Director of Agriculture when acting as trustee,  to protect the assets of licensees for the benefit of claimants, to accept  security from licensees to collateralize licensees' financial deficiencies  (and that security shall be secondary to surety bonds in the  collection process),  to accept collateral and security in lieu of or in addition to a commercial  surety bond, and to collect and disburse the proceeds of those  bonds and trust  funds when acting as trustee on behalf of claimants without responsibility  for the management and operation of discontinued or insolvent businesses,  those funds, or additions to those funds in  which the State of  Illinois has no right,  title, or interest.(c) The Department shall promulgate and file procedural rules and  regulations  to be followed concerning the establishment and segregation of trust accounts  and bank accounts and the holding of administrative hearings to identify  and verify claimants and claim amounts, to claim and collect the proceeds  of surety bonds and other assets, and to distribute monies in trust funds  and bank accounts to claimants. The trustee shall maintain  and retain records and make available for audit or review by any person,  firm, corporation, or government entity the trust accounts and  bank accounts,  check registers, cancelled claimants' checks, and records  accumulated and used by the Department to ascertain the claimants and claims  against surety bonds or trust funds.(d) The Department may use monies in the trust accounts that are  established  to hold monies received in trust for disbursement to claimants for the  benefit of claimants and for paying expenses incurred in pursuing those  assets.    (Source: P.A. 91-239, eff. 1-1-00.)