(a) Electronic Fund Transfers. Electronic fund transfers
(EFT) refers to the transfer of funds using a computer system, electronic
terminal, telephone, mobile phone, or other non-paper based method
that may be used for both credit transfers, such as deposits into
an account, and debit transfers, such as deposits into an account,
and debit transfers, such as payments from an account.
(b) Controls Over Electronic Fund Transfers.
(1) Licensed authorized organizations or units shall
use for all EFT transactions the same financial policies, procedures,
and controls that govern disbursement by check and the receipt of
funds into the bingo bank account. (See §2001.452 of the Bingo
Enabling Act and §402.505 of this chapter (relating to Permissible
Expense) and §402.506 of this chapter (relating to Disbursement
Records Requirements)).
(2) The licensed authorized organization or unit shall
implement the following controls for EFT transactions.
(A) Only authorized person(s) shall be allowed to execute
an EFT transaction on behalf of the organization or unit.
(B) The licensed authorized organization or unit shall
maintain documentation of approval of changes in the person(s) authorized
to execute electronic funds transfers. Documentation may include but
is not limited to: meeting minutes, bank account signature cards,
or copies of applications to the financial institution to authorize
individuals access to perform on-line banking in association with
the bingo bank account or unit bank account.
(3) The bingo chairperson, or in the case of an accounting
unit, the individual authorized in writing by each unit member's bingo
chairperson, and bookkeeper shall review accounting records and bank
statements to ensure that only authorized EFTs are executed. Each
EFT shall be accounted for when completing monthly bank reconciliations.
(c) Recordkeeping for Electronic Funds Transfers.
(1) EFT receipts into the bingo bank account shall
be recorded in the accounting records. At a minimum the organization
or unit must record the following information regarding EFT receipts:
(A) payer name;
(B) amount paid;
(C) date paid;
(D) purpose of the funds received; and
(E) the EFT confirmation receipt, if provided.
(2) The organization or unit shall maintain in its
accounting records a copy of each EFT payment transaction together
with the invoice or billing statement. The following information must
be maintained supporting the payment:
(A) payee name;
(B) amount paid;
(C) date paid;
(D) account number from which the transfer is made;
(E) nature of payment;
(F) the name of the person executing the EFT transaction
on behalf of the organization or unit; and
(G) the EFT confirmation receipt, if provided.
(3) All records relating to electronic fund transfers
into or out of the bingo checking account of a licensed authorized
organization or unit must be retained for a period of not less than
four years.
(d) Discrepancies or Misapplication of Electronic Fund
Transfers. The bingo chairperson or other person authorized to sign
on the bingo bank account shall notify the organization's financial
institution immediately to report problems or if it is suspected that
someone has access to the bingo bank account without authorization.
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