1. A. All funds belonging to insurers, service warranty associations, or others received by a sales representative in transactions under his registration are trust funds so received by such agent in a fiduciary capacity; and the agent, in the applicable regular course of business, shall account for and pay such funds to the insurer, association, warranty holder, or other person entitled thereto.
2. B. Any sales representative who, not being entitled thereto, diverts or appropriates such funds or any portion thereof to his own use is guilty of the felony of embezzlement.

Added by Laws 1993, c. 108, § 21, eff. September 1, 1993; Amended by Laws 1997, c. 133, § 450 (effective date amended to July 1, 1999, by Laws 1998, 1st Extr. Sess., c. 2, §§ 23-26, eff. June 19, 1998) (superseded document available).