Sec.7-169-27a. Bank accounts, expenses

(a) Special bingo bank account. Proceeds from authorized bingo games, including proceeds from authorized sealed ticket sales at bingo games, shall be kept in a separate special bingo bank account which shall be in the form of a checking account. All receipts from each bingo session less the amount awarded as cash prizes for that session shall be deposited in this special bingo account no later than three business days following the date of the bingo session. The comingling of any funds derived from the operation of bingo with any other funds, other than proceeds from sealed ticket sales, of the permitted organization is strictly prohibited. Money shall be withdrawn from this special bingo account for only the following purposes:

(1) Payment of expenses authorized pursuant to subsection (b) of this section.

(2) Disbursement from net proceeds for charitable, civic, educational, fraternal, veterans', religious, volunteer fire department or grange purposes.

(b) Payment of expenses. Money for reasonable and necessary expenses ordinarily incidental to the conduct of bingo games and sealed ticket sales at bingo games may be paid from the gross receipts only by checks having preprinted consecutive numbers drawn on the special bingo account established pursuant to subsection (a) of this section. Said checks must be payable to the specific person or organization providing the goods or rendering the services which gave rise to the expense item, and at no time may checks be payable to cash. Only those expenses which are reasonable and necessary and ordinarily incidental to the conduct of authorized bingo games and sealed ticket sales at bingo games may be paid from gross receipts.

(c) The requirement for a special bingo bank account, required pursuant to subsection (a) of this section, shall not need apply to an organization holding a "Class B" bingo permit issued pursuant to Section 7-169 (f) of the general statutes, provided an acceptable means of accounting for gross bingo game receipts, prizes, expenses, and disbursements for each session held is approved by the division of special revenue.

(Effective March 22, 1989)