Laws and Regulations, United States Code
18 U.S.C. § 1960: Title 18, Part I, Chapter 95, Section 1960

§1960. Prohibition of unlicensed money transmitting businesses

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(a) Whoever knowingly conducts, controls, manages, supervises, directs, or owns all or part of an unlicensed money transmitting business, shall be fined in accordance with this title or imprisoned not more than 5 years, or both.

(b) As used in this section--

(1) the term "unlicensed money transmitting business" means a money transmitting business which affects interstate or foreign commerce in any manner or degree and--

(A) is operated without an appropriate money transmitting license in a State where such operation is punishable as a misdemeanor or a felony under State law, whether or not the defendant knew that the operation was required to be licensed or that the operation was so punishable;

(B) fails to comply with the money transmitting business registration requirements under section 5330 of title 31, United States Code, or regulations prescribed under such section; or

(C) otherwise involves the transportation or transmission of funds that are known to the defendant to have been derived from a criminal offense or are intended to be used to promote or support unlawful activity;

(2) the term "money transmitting" includes transferring funds on behalf of the public by any and all means including but not limited to transfers within this country or to locations abroad by wire, check, draft, facsimile, or courier; and

(3) the term "State" means any State of the United States, the District of Columbia, the Northern Mariana Islands, and any commonwealth, territory, or possession of the United States.

December 31, 2010 Edition Export XML
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Aaron Greenspan

Aaron Greenspan / June 6, 2012 at 4:21 PM DT

in any manner or degree

This part of the statute conflicts with the Commerce Clause of the United States Constitution insofar as it allows the states to regulate the internet, which has been found to be exclusively in the federal domain in several cases.

Think Computer Corp v. Venchiarutti et al


Aaron Greenspan

Aaron Greenspan / June 17, 2012 at 4:52 PM DT

by any and all means including but not limited to

This language dates back to October 28, 1992--three years before the commercialization of the internet. Therefore, Congress could not have believed that "any and all means" included internet-based transfers of money, let alone mobile payments.

Think Computer Corp v. Venchiarutti et al


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