(a) When remittance is made by check to the Treasurer of State and the check is returned unpaid, the Treasurer of State shall make a duplicate of the check and carry it as a cash item, delivering the original to the Attorney General for collection after adding a penalty of twenty-five percent (25%) to the amount of the check.
(b) (1) The Attorney General shall take such action as deemed proper for the collection of a rejected check, together with twenty-five percent (25%) of the face amount of the check as penalty, for the punishment of the maker of that check under the criminal laws of this state.(2) The penalty shall be credited to the same fund as was the original amount of the check delivered to the Attorney General by the Treasurer of State pursuant to subsection (a) of this section.
(1) The Attorney General shall take such action as deemed proper for the collection of a rejected check, together with twenty-five percent (25%) of the face amount of the check as penalty, for the punishment of the maker of that check under the criminal laws of this state.
(2) The penalty shall be credited to the same fund as was the original amount of the check delivered to the Attorney General by the Treasurer of State pursuant to subsection (a) of this section.
(c) If for any reason the Attorney General is unable to collect either the principal or penalty on a rejected check, as contemplated by this section, then, as soon as that fact is ascertained, the Treasurer of State shall cancel the receipt for it, taking credit therefor, and notifying the Auditor of State of the cancellation. The Auditor of State shall likewise credit the Treasurer of State with it.
(d) A state official issuing a certificate of authority or making book entries affecting any transaction, payment for which was made with bad checks, shall cancel them upon receipt of the Attorney General's notice of inability to collect on such checks as specified in subsection (c) of this section.