DEFAC's May Budget Raises Unclaimed Property Collections Forecast

The Delaware Economic and Financial Advisory Committee ("DEFAC") has once again raised their projections for 2013 unclaimed or abandoned property collections. DEFAC now projects $561.5 in collections for 2013.

This trend is likely to continue so long as Delaware continues the use of aggressive collection tactics, including contingency fee audits. Many states, including Michigan, are considering a prohibition against such audits.

Further contributing to the increased estimated collections could be the recent regulations concerning lost shareholders that could result in automatically deposited dividend checks to fail to qualify as contact for escheatment purposes. The Security Transfer Association, Inc. voiced their displeasure in a letter to Delaware Governor Markel about the changes the regulation would cause.

DEFAC also moved two items planned for 2012 to 2013. These included a sale of securities and an expected $20 million collection due to an audit.

See Also:
DEFAC April's Forecast Called for $514 million in Abandoned Property Collections