reglab/statecodes huggingface dataset:
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle E - Other Financial Businesses › Chapter 152 - Regulation of Money Services Businesses › Subchapter C. Money Services Licenses › Section 152.108. Surrender of License

Sec. 152.108.  SURRENDER OF LICENSE.  (a)  A money services licensee may surrender the licensee's license by delivering the original license to the commissioner along with a written notice of surrender that includes the location at which the licensee's records will be stored and the name, address, telephone number, and other contact information for an individual who is authorized to provide access to the records.
(b)  A money services licensee shall surrender the licensee's license under this section if the licensee becomes ineligible for a license issued under this chapter.
(c)  The surrender of a license does not reduce or eliminate a money services licensee's civil or criminal liability arising from any acts or omissions before the surrender of the license, including any administrative action undertaken by the commissioner to revoke or suspend a license, assess an administrative penalty, order the payment of restitution, or exercise any other authority under this chapter.  Further, the surrender of a license does not release the security required of a licensee under Section 152.352 or 152.353.
Added by Acts 2023, 88th Leg., R.S., Ch. 277 (S.B. 895), Sec. 1.01, eff. September 1, 2023.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle E - Other Financial Businesses › Chapter 152 - Regulation of Money Services Businesses › Subchapter C. Money Services Licenses › Section 152.109. Refund of Fee or Cost Paid by Money Services Licensee

Sec. 152.109.  REFUND OF FEE OR COST PAID BY MONEY SERVICES LICENSEE.  A fee or cost paid by a money services licensee under this chapter is not refundable.
Added by Acts 2023, 88th Leg., R.S., Ch. 277 (S.B. 895), Sec. 1.01, eff. September 1, 2023.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle E - Other Financial Businesses › Chapter 152 - Regulation of Money Services Businesses › Subchapter D. Acquisition of Control and Change of Key Individual › Section 152.153. Notice and Information Requirements for Change of Key Individuals

Sec. 152.153.  NOTICE AND INFORMATION REQUIREMENTS FOR CHANGE OF KEY INDIVIDUALS.  (a)  A money services licensee adding or replacing a key individual shall provide:
(1)  notice in a manner prescribed by the commissioner not later than the 15th day after the effective date of the key individual's appointment; and
(2)  information as required by Section 152.105 not later than the 45th day after that effective date.
(b)  Not later than the 90th day after the date on which notice provided under Subsection (a) is determined to be complete, the commissioner may issue a notice of disapproval of a key individual if it would not be in the best interests of the public or the customers of the money services licensee to permit the individual to be a key individual of the licensee, considering the competence, experience, character, or integrity of the individual.
(c)  A notice of disapproval shall be sent to the money services licensee and the disapproved individual and must contain a statement of the basis for disapproval.  A money services licensee may appeal a notice of disapproval by filing a written request for a hearing with the commissioner not later than the 30th day after the date the notice is mailed.  A hearing on the denial must be held not later than the 45th day after the date the commissioner receives the written request unless the administrative law judge extends the period for good cause or the parties agree to a later hearing date.  The hearing is considered a contested case hearing and is subject to Section 152.451.
(d)  If the notice provided under Subsection (a) is not disapproved before the 91st day after the date on which the notice is determined to be complete, the key individual is considered approved.
(e)  If a multistate licensing process includes a key individual notice review and disapproval process under this section and the money services licensee participates in or is subject to the multistate licensing process:
(1)  the commissioner may accept the determination of another state if the investigating state has sufficient staffing, expertise, and minimum standards for the purposes of this section; or
(2)  if this state is a lead investigative state, the commissioner may investigate the applicant in the same manner as for a determination under Subsection (b) and in accordance with the time frames established by agreement through the multistate licensing process.
Added by Acts 2023, 88th Leg., R.S., Ch. 277 (S.B. 895), Sec. 1.01, eff. September 1, 2023.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle E - Other Financial Businesses › Chapter 152 - Regulation of Money Services Businesses › Subchapter E. Reporting and Records › Section 152.201. Money Transmission Report

Sec. 152.201.  MONEY TRANSMISSION REPORT.  (a)  Each money transmission licensee shall submit a report of condition not later than the 45th day after the end of the calendar quarter, or within an extended time as the commissioner may prescribe.
(b)  The report of condition must include:
(1)  the licensee's financial information;
(2)  nationwide and state-specific money transmission services transaction information in every jurisdiction in the United States where the licensee is licensed to engage in money transmission;
(3)  a report on the licensee's permissible investments;
(4)  transaction destination country reporting for money received for transmission, if applicable; and
(5)  any other information the commissioner reasonably requires with respect to the licensee.
(c)  The commissioner may:
(1)  use the NMLS for the submission of the report required by this section; and
(2)  change or update the requirements of this section as necessary to carry out the purposes of this chapter and maintain consistency with NMLS reporting.
(d)  The information required by Subsection (b)(4) may only be included in a report of condition submitted not later than the 45th day after the end of the fourth calendar quarter.
Added by Acts 2023, 88th Leg., R.S., Ch. 277 (S.B. 895), Sec. 1.01, eff. September 1, 2023.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle E - Other Financial Businesses › Chapter 152 - Regulation of Money Services Businesses › Subchapter E. Reporting and Records › Section 152.202. Currency Exchange Report

Sec. 152.202.  CURRENCY EXCHANGE REPORT.  (a)  A currency exchange licensee shall submit:
(1)  the annual report required by Section 152.107(d)(2), including a financial statement that may be audited or unaudited and that is dated as of the last day of the currency exchange licensee's fiscal year that ended in the immediately preceding calendar year;
(2)  a quarterly interim financial statement and transaction report that reflects the licensee's financial condition and currency exchange services business as of the last day of the calendar quarter to which the statement and report relate and that are prepared not later than the 45th day after the end of the calendar quarter; and
(3)  any other report required by rule of the commission or reasonably requested by the commissioner to determine compliance with this chapter.
(b)  A currency exchange licensee shall file the statements and reports required under this section with the commissioner as required by this chapter, by commission rule, or as requested by the commissioner.
(c)  On written application and for good cause shown, the commissioner may extend the time for preparing or filing a statement or report required under this section.
Added by Acts 2023, 88th Leg., R.S., Ch. 277 (S.B. 895), Sec. 1.01, eff. September 1, 2023.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle E - Other Financial Businesses › Chapter 152 - Regulation of Money Services Businesses › Subchapter E. Reporting and Records › Section 152.203. Financial Statements

Sec. 152.203.  FINANCIAL STATEMENTS.  (a)  A money services licensee shall, not later than the 90th day after the end of each fiscal year, or within an extended time prescribed by the commissioner, file with the commissioner:
(1)  for a money transmission licensee, an audited unconsolidated financial statement of the licensee for the fiscal year prepared in accordance with United States generally accepted accounting principles;
(2)  for a currency exchange licensee, a financial statement, audited or unaudited, dated as of the last day of the licensee's fiscal year that ended in the immediately preceding calendar year; and
(3)  any other information as the commissioner may reasonably require.
(b)  A financial statement required by Subsection (a)(1) must be prepared by an independent certified public accountant or independent public accountant who is satisfactory to the commissioner.
(c)  An audited financial statement required by Subsection (a) must include or be accompanied by a certificate of opinion of the independent certified public accountant or independent public accountant that is satisfactory in form and content to the commissioner.  If the certificate of opinion is qualified, the commissioner may order the money services licensee to take any action the commissioner finds necessary to enable the independent certified public accountant or independent public accountant to remove the qualification.
Added by Acts 2023, 88th Leg., R.S., Ch. 277 (S.B. 895), Sec. 1.01, eff. September 1, 2023.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle E - Other Financial Businesses › Chapter 152 - Regulation of Money Services Businesses › Subchapter E. Reporting and Records › Section 152.204. Authorized Delegate Reporting

Sec. 152.204.  AUTHORIZED DELEGATE REPORTING.  (a)  A money transmission licensee shall submit a report of authorized delegates not later than the 45th day after the end of each calendar quarter.  The commissioner may use the NMLS for the submission of the report required by this section if NMLS functionality is consistent with the requirements of this section.
(b)  The authorized delegate report must include for each authorized delegate:
(1)  the authorized delegate's legal name;
(2)  the authorized delegate's taxpayer employer identification number;
(3)  the authorized delegate's principal provider identifier;
(4)  the authorized delegate's physical address;
(5)  the authorized delegate's mailing address;
(6)  any business the authorized delegate conducts in other states;
(7)  any fictitious or trade name the authorized delegate uses;
(8)  a contact person name, phone number, and e-mail;
(9)  a start date as the money transmission licensee's authorized delegate;
(10)  an end date as the money transmission licensee's authorized delegate, if applicable; and
(11)  any other information the commissioner reasonably requires with respect to the authorized delegate.
Added by Acts 2023, 88th Leg., R.S., Ch. 277 (S.B. 895), Sec. 1.01, eff. September 1, 2023.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle E - Other Financial Businesses › Chapter 152 - Regulation of Money Services Businesses › Subchapter E. Reporting and Records › Section 152.205. Reports of Certain Events

Sec. 152.205.  REPORTS OF CERTAIN EVENTS.  (a)  A money services licensee shall file a report with the commissioner not later than the first business day after the licensee has reason to know of:
(1)  the filing of a petition by or against the licensee under the United States Bankruptcy Code (11 U.S.C. Sections 101-1532) for bankruptcy or reorganization;
(2)  the filing of a petition by or against the licensee for receivership, the commencement of any other judicial or administrative proceeding for the licensee's dissolution or reorganization, or the making of a general assignment for the benefit of the licensee's creditors; or
(3)  the commencement of a proceeding to revoke or suspend the licensee's license in a state or country in which the licensee engages in or is licensed to engage in money services business.
(b)  A money services licensee shall file a report with the commissioner not later than the third business day after the licensee has reason to know of the occurrence of a felony charge or conviction of:
(1)  the licensee or a key individual;
(2)  a person in control of the licensee; or
(3)  an authorized delegate.
Added by Acts 2023, 88th Leg., R.S., Ch. 277 (S.B. 895), Sec. 1.01, eff. September 1, 2023.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle E - Other Financial Businesses › Chapter 152 - Regulation of Money Services Businesses › Subchapter E. Reporting and Records › Section 152.206. Bank Secrecy Act Reports

Sec. 152.206.  BANK SECRECY ACT REPORTS.  A money services licensee and an authorized delegate shall file all reports required by federal currency reporting, record keeping, and suspicious activity reporting requirements as provided by the Bank Secrecy Act and other federal and state laws relating to money laundering.  The timely filing of a complete and accurate report required under this section with the appropriate federal agency is considered compliant with the requirements of this section.
Added by Acts 2023, 88th Leg., R.S., Ch. 277 (S.B. 895), Sec. 1.01, eff. September 1, 2023.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle E - Other Financial Businesses › Chapter 152 - Regulation of Money Services Businesses › Subchapter E. Reporting and Records › Section 152.207. Records

Sec. 152.207.  RECORDS.  (a)  A money services licensee shall maintain the following records for determining its compliance with this chapter for at least five years:
(1)  a general ledger posted at least monthly containing all asset, liability, capital, income, and expense accounts;
(2)  bank statements and bank reconciliation records;
(3)  for a money transmission licensee:
(A)  records of outstanding money transmission obligations;
(B)  records of each outstanding money transmission obligation paid within the five-year period;
(C)  records of each outstanding money transmission obligation sold; and
(D)  a list of the last known names and addresses of all of the licensee's authorized delegates;
(4)  for a currency exchange licensee, a record of each currency exchange transaction; and
(5)  any other records the commissioner reasonably requires by rule.
(b)  The records required to be maintained by Subsection (a)(3)(C) may be maintained in any form of record.
(c)  Records required to be maintained by Subsection (a) may be maintained outside this state if they are made accessible to the commissioner not later than the seventh business day after the commissioner sends notice in writing.
(d)  All records maintained by a money services licensee as required by this section are open to examination by the commissioner under Section 152.057(a).
Added by Acts 2023, 88th Leg., R.S., Ch. 277 (S.B. 895), Sec. 1.01, eff. September 1, 2023.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle E - Other Financial Businesses › Chapter 152 - Regulation of Money Services Businesses › Subchapter F. Authorized Delegates › Section 152.251. Liability of Money Transmission Licensee

Sec. 152.251.  LIABILITY OF MONEY TRANSMISSION LICENSEE.  A money transmission licensee is liable for the payment of all money or monetary value received for transmission directly or by an authorized delegate appointed under this subchapter.
Added by Acts 2023, 88th Leg., R.S., Ch. 277 (S.B. 895), Sec. 1.01, eff. September 1, 2023.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle E - Other Financial Businesses › Chapter 152 - Regulation of Money Services Businesses › Subchapter F. Authorized Delegates › Section 152.253. Disclosure Requirements

Sec. 152.253.  DISCLOSURE REQUIREMENTS.  (a)  A money transmission licensee's name and mailing address or telephone number must be provided to the purchaser in connection with each money transmission transaction conducted by the licensee directly or through an authorized delegate.
(b)  A money transmission licensee receiving currency or an instrument payable in currency for transmission shall comply with Chapter 278.
Added by Acts 2023, 88th Leg., R.S., Ch. 277 (S.B. 895), Sec. 1.01, eff. September 1, 2023.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle E - Other Financial Businesses › Chapter 152 - Regulation of Money Services Businesses › Subchapter F. Authorized Delegates › Section 152.254. Unauthorized Activities

Sec. 152.254.  UNAUTHORIZED ACTIVITIES.  A person may not engage in the business of money transmission on behalf of a person not licensed under this chapter or not exempt under Section 152.004.  A person who engages in unauthorized activity provides money transmission to the same extent as if the person were a money transmission licensee, and shall be jointly and severally liable with the unlicensed or nonexempt person.  Any business for which a license is required under this chapter that is conducted by an authorized delegate outside the scope of authority conferred in the contract between the authorized delegate and the licensee is unlicensed activity.
Added by Acts 2023, 88th Leg., R.S., Ch. 277 (S.B. 895), Sec. 1.01, eff. September 1, 2023.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle E - Other Financial Businesses › Chapter 152 - Regulation of Money Services Businesses › Subchapter G. Timely Transmission, Refunds, and Disclosures by Money Transmission Licensee › Section 152.301. Timely Transmission

Sec. 152.301.  TIMELY TRANSMISSION.  (a)  A money transmission licensee shall forward all money received for money transmission in accordance with the terms of the agreement between the licensee and the sender unless the licensee has a reasonable belief or a reasonable basis to believe that the sender may be a victim of fraud or that a crime or violation of law, rule, or regulation has occurred, is occurring, or may occur.
(b)  If a money transmission licensee fails to forward money received for money transmission in accordance with this section, the licensee must respond to inquiries by the sender with the reason for the failure unless providing a response would violate a state or federal law, rule, or regulation.
Added by Acts 2023, 88th Leg., R.S., Ch. 277 (S.B. 895), Sec. 1.01, eff. September 1, 2023.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle E - Other Financial Businesses › Chapter 152 - Regulation of Money Services Businesses › Subchapter G. Timely Transmission, Refunds, and Disclosures by Money Transmission Licensee › Section 152.302. Refunds

Sec. 152.302.  REFUNDS.  (a)  This section does not apply to money received for money transmission that is:
(1)  subject to the federal requirements for remittance transfers under 12 C.F.R. Part 1005, Subpart B; or
(2)  under a written agreement between a money transmission licensee and a payee to process payments for goods or services provided by the payee.
(b)  A money transmission licensee shall refund any and all money received for money transmission services to the sender not later than the 10th day after the date of receipt of the sender's written request for a refund unless:
(1)  the money has been forwarded not later than the 10th day after the date on which the money was received for transmission;
(2)  instructions have been given committing an equivalent amount of money to the person designated by the sender not later than the 10th day after the date on which the money was received for transmission;
(3)  an agreement between the licensee and the sender instructs the licensee to forward the money at a time that is later than the 10th day after the date on which the money was received for transmission;
(4)  the refund is requested for a transaction that the licensee has not completed based on a reasonable belief or a reasonable basis to believe that a crime or violation of law, rule, or regulation has occurred, is occurring, or may occur; or
(5)  the refund request does not enable a money transmission licensee to identify:
(A)  the sender's name and address or telephone number; or
(B)  the particular transaction to be refunded in the event the sender has multiple transactions outstanding.
(c)  If funds have not yet been forwarded in accordance with the terms of an agreement between a money transmission licensee and a sender under Subsection (b)(3), the licensee shall issue a refund in accordance with the other provisions of this section.
Added by Acts 2023, 88th Leg., R.S., Ch. 277 (S.B. 895), Sec. 1.01, eff. September 1, 2023.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle E - Other Financial Businesses › Chapter 152 - Regulation of Money Services Businesses › Subchapter G. Timely Transmission, Refunds, and Disclosures by Money Transmission Licensee › Section 152.303. Receipts

Sec. 152.303.  RECEIPTS.  (a)  This section does not apply to:
(1)  money received for money transmission subject to the federal requirements for remittance transfers under 12 C.F.R. Part 1005, Subpart B;
(2)  money received for money transmission that is not primarily for personal, family, or household purposes;
(3)  money received for money transmission under a written agreement between a money transmission licensee and a payee to process payments for goods or services provided by the payee; or
(4)  payroll processing services.
(b)  In this section, "receipt" means a paper receipt, electronic record, or other written confirmation.
(c)  For a transaction conducted in person, a receipt may be provided electronically if the sender requests or agrees to receive an electronic receipt.  For a transaction conducted electronically or by phone, a receipt may be provided electronically.  All electronic receipts shall be provided in a retainable form.
(d)  A money transmission licensee or the licensee's authorized delegate shall provide the sender a receipt for money received for money transmission services.
(e)  A receipt must contain, as applicable:
(1)  the name of the sender;
(2)  the name of the designated recipient;
(3)  the date of the transaction;
(4)  the unique transaction or identification number;
(5)  the name of the money transmission licensee, the licensee's NMLS Unique ID, the licensee's business address, and the licensee's customer service telephone number;
(6)  the amount of the transaction in United States dollars;
(7)  any fee charged by the money transmission licensee to the sender for the transaction; and
(8)  any taxes collected by the money transmission licensee from the sender for the transaction.
(f)  The receipt required by this section must be in English and in a language other than English if the money transmission licensee or authorized delegate principally uses that language to advertise, solicit, or negotiate, either orally or in writing, for a transaction conducted in person, electronically, or by phone.
Added by Acts 2023, 88th Leg., R.S., Ch. 277 (S.B. 895), Sec. 1.01, eff. September 1, 2023.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle E - Other Financial Businesses › Chapter 152 - Regulation of Money Services Businesses › Subchapter G. Timely Transmission, Refunds, and Disclosures by Money Transmission Licensee › Section 152.304. Disclosures for Payroll Processing Services

Sec. 152.304.  DISCLOSURES FOR PAYROLL PROCESSING SERVICES.  (a)  A money transmission licensee that provides payroll processing services shall:
(1)  issue reports to clients detailing client payroll obligations in advance of the payroll funds being deducted from an account; and
(2)  make available worker pay stubs or an equivalent statement to workers.
(b)  Subsection (a) does not apply to a money transmission licensee providing payroll processing services where the licensee's client designates the intended recipients to the licensee and is responsible for providing the disclosures required by Subsection (a)(2).
Added by Acts 2023, 88th Leg., R.S., Ch. 277 (S.B. 895), Sec. 1.01, eff. September 1, 2023.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle E - Other Financial Businesses › Chapter 152 - Regulation of Money Services Businesses › Subchapter H. Prudential Standards › Section 152.351. Net Worth of Money Transmission Licensee

Sec. 152.351.  NET WORTH OF MONEY TRANSMISSION LICENSEE.  (a)  A money transmission licensee under this chapter shall maintain at all times a tangible net worth in an amount not less than:
(1)  for a licensee with total assets in an amount not greater than $100 million, the greater of:
(A)  $100,000; or
(B)  3 percent of the value of the licensee's total assets;
(2)  for a licensee with total assets in an amount greater than $100 million and not greater than $1 billion, the sum of $3 million and 2 percent of the additional assets in excess of $100 million; and
(3)  for a licensee with total assets in an amount greater than $1 billion, the sum of $21 million and 0.5 percent of the additional assets in excess of $1 billion.
(b)  Tangible net worth under this section must be demonstrated at the initial application by the applicant's most recent audited or unaudited financial statements under Section 152.104(c)(6).
(c)  Notwithstanding other provisions of this section, the commissioner may, for good cause shown, exempt a money transmission licensee wholly or partly from the requirements of this section.
Added by Acts 2023, 88th Leg., R.S., Ch. 277 (S.B. 895), Sec. 1.01, eff. September 1, 2023.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle E - Other Financial Businesses › Chapter 152 - Regulation of Money Services Businesses › Subchapter H. Prudential Standards › Section 152.352. Security for Money Transmission Licensee

Sec. 152.352.  SECURITY FOR MONEY TRANSMISSION LICENSEE.  (a)  A money transmission licensee shall at all times maintain security consisting of a surety bond in a form satisfactory to the commissioner.  With the commissioner's approval, a money transmission licensee may maintain a deposit in lieu of a bond under this section.
(b)  The amount of the required security for a money transmission licensee under this section is:
(1)  for a licensee with a tangible net worth in an amount not greater than 10 percent of the licensee's total assets, the greater of:
(A)  $100,000; or
(B)  100 percent of the licensee's average daily money transmission liability in this state for the most recently completed three-month period, up to a maximum amount of $500,000; or
(2)  for a licensee with a tangible net worth in an amount greater than 10 percent of the licensee's total assets, $100,000.
(c)  A money transmission licensee that maintains a bond in the maximum amount provided for under Subsection (b) may not be required to calculate the licensee's average daily money transmission liability in this state for purposes of this section.
(d)  A money transmission licensee may exceed the maximum required bond amount under Section 152.356(a)(5).
Added by Acts 2023, 88th Leg., R.S., Ch. 277 (S.B. 895), Sec. 1.01, eff. September 1, 2023.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle E - Other Financial Businesses › Chapter 152 - Regulation of Money Services Businesses › Subchapter H. Prudential Standards › Section 152.353. Security for Currency Exchange Licensee

Sec. 152.353.  SECURITY FOR CURRENCY EXCHANGE LICENSEE.  (a)   A currency exchange licensee shall at all times maintain security in the amount applicable to the licensee under this section.  The security must satisfy the requirements of and is subject to Section 152.354.
(b)  A currency exchange licensee shall maintain security in the amount of $2,500 if the licensee conducts business with persons located in this state exclusively at one or more physical locations through in-person, contemporaneous transactions.
(c)  Except as provided by Subsection (e), if Subsection (b) does not apply to a currency exchange licensee, the licensee shall maintain security in an amount not less than the greater of:
(1)  $2,500; or
(2)  an amount equal to one percent of the licensee's total dollar volume of currency exchange business in this state for the preceding year.
(d)  For purposes of demonstrating prospective compliance with this section under Section 152.107(c), an applicant for a currency exchange license may use the applicant's projected total dollar volume of currency exchange business in this state for the first year of licensure to determine the amount under Subsection (c)(2).
(e)  The maximum amount of security that may be required under this section is $1 million.
Added by Acts 2023, 88th Leg., R.S., Ch. 277 (S.B. 895), Sec. 1.01, eff. September 1, 2023.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle E - Other Financial Businesses › Chapter 152 - Regulation of Money Services Businesses › Subchapter I. Enforcement › Section 152.401. Injunctive Relief

Sec. 152.401.  INJUNCTIVE RELIEF.  (a)  If a person appears to have violated, or if reasonable cause exists to believe that a person is likely to violate, this chapter or a rule adopted under this chapter, the following persons may bring an action for injunctive relief to enjoin the violation or enforce compliance with the provision:
(1)  the commissioner, through the attorney general;
(2)  the attorney general;
(3)  the district attorney of Travis County; or
(4)  the prosecuting attorney of the county in which the violation is alleged to have occurred.
(b)  In addition to the authority granted to the commissioner under Subsection (a), the commissioner, through the attorney general, may bring an action for injunctive relief if the commissioner has reason to believe that a person has violated or is likely to violate an order of the commissioner issued under this chapter.
(c)  An action for injunctive relief brought by the commissioner, the attorney general, or the district attorney of Travis County under Subsection (a), or brought by the commissioner under Subsection (b), must be brought in a district court in Travis County.  An action brought by a prosecuting attorney under Subsection (a)(4) must be brought in a district court in the county in which all or part of the violation is alleged to have occurred.
(d)  On a proper showing, the court may issue a restraining order, an order freezing assets, a preliminary or permanent injunction, or a writ of mandate, or may appoint a receiver for the defendant or the defendant's assets.
(e)  A receiver appointed by the court under Subsection (d) may, with approval of the court, exercise all of the powers of the defendant's directors, officers, partners, trustees, or persons who exercise similar powers and perform similar duties.
(f)  An action brought under this section may include a claim for ancillary relief, including a claim by the commissioner for costs or civil penalties authorized under this chapter, or for restitution or damages on behalf of the persons injured by the act constituting the subject matter of the action, and the court has jurisdiction to award that relief.
Added by Acts 2023, 88th Leg., R.S., Ch. 277 (S.B. 895), Sec. 1.01, eff. September 1, 2023.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle E - Other Financial Businesses › Chapter 152 - Regulation of Money Services Businesses › Subchapter I. Enforcement › Section 152.402. Cease and Desist Orders for Unlicensed Persons

Sec. 152.402.  CEASE AND DESIST ORDERS FOR UNLICENSED PERSONS.  (a)  If the commissioner has reason to believe that an unlicensed person has engaged or is likely to engage in an activity for which a license is required under this chapter, the commissioner may order the person to cease and desist from the violation until the person is issued a license under this chapter.  The commissioner's order is subject to Section 152.409, unless the order is issued as an emergency order.  The commissioner may issue an emergency cease and desist order under Section 152.410 if the commissioner finds that the person's violation or likely violation threatens immediate and irreparable harm to the public.
(b)  A cease and desist order under this section may require the unlicensed person to take affirmative action to correct any condition resulting from or contributing to the activity or violation, including the payment of restitution to each resident of this state damaged by the violation.
Added by Acts 2023, 88th Leg., R.S., Ch. 277 (S.B. 895), Sec. 1.01, eff. September 1, 2023.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle E - Other Financial Businesses › Chapter 152 - Regulation of Money Services Businesses › Subchapter I. Enforcement › Section 152.405. Cease and Desist Orders for Money Services Licensee or Authorized Delegate

Sec. 152.405.  CEASE AND DESIST ORDERS FOR MONEY SERVICES LICENSEE OR AUTHORIZED DELEGATE.  (a)  The commissioner may issue an order to cease and desist if the commissioner finds that:
(1)  an action, violation, or condition listed in Section 152.403 or 152.404 exists with respect to a money services licensee or authorized delegate; and
(2)  a cease and desist order is necessary to protect the interests of the money services licensee, the purchasers of the licensee's money services, or the public.
(b)  A cease and desist order may require a money services licensee or authorized delegate to cease and desist from the action or violation or to take affirmative action to correct any condition resulting from or contributing to the action or violation, and the requirements of the order may apply to a principal or responsible person of the licensee or authorized delegate.
(c)  The cease and desist order is subject to Section 152.409, unless the order is issued as an emergency order.  The commissioner may issue an emergency cease and desist order in accordance with Section 152.410 if the commissioner finds that the factors identified in Section 152.410(b) exist.
Added by Acts 2023, 88th Leg., R.S., Ch. 277 (S.B. 895), Sec. 1.01, eff. September 1, 2023.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle E - Other Financial Businesses › Chapter 152 - Regulation of Money Services Businesses › Subchapter I. Enforcement › Section 152.406. Consent Orders

Sec. 152.406.  CONSENT ORDERS.  (a)  The commissioner may enter into a consent order at any time with a person to resolve a matter arising under this chapter or a rule adopted or order issued under this chapter.
(b)  A consent order must be signed by the person to whom the order is issued or by the person's authorized representative and must indicate agreement with the terms contained in the order.  However, a consent order may provide that the order does not constitute an admission by a person that the person has violated this chapter or a rule adopted or order issued under this chapter.
(c)  A consent order is a final order and may not be appealed.
Added by Acts 2023, 88th Leg., R.S., Ch. 277 (S.B. 895), Sec. 1.01, eff. September 1, 2023.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle E - Other Financial Businesses › Chapter 152 - Regulation of Money Services Businesses › Subchapter I. Enforcement › Section 152.407. Administrative Penalty

Sec. 152.407.  ADMINISTRATIVE PENALTY.  (a)  After notice and hearing, the commissioner may assess an administrative penalty against a person who:
(1)  has violated this chapter or a rule adopted or order issued under this chapter and has failed to correct the violation not later than the 30th day after the date the department sends written notice of the violation to the person;
(2)  if the person is a money services licensee, has engaged in conduct described by Section 152.403;
(3)  has engaged in a pattern of violations; or
(4)  has demonstrated wilful disregard for the requirements of this chapter, the rules adopted under this chapter, or an order issued under this chapter.
(b)  A violation corrected after a person receives written notice from the department of the violation may be considered for purposes of determining whether a person has engaged in a pattern of violations under Subsection (a)(3) or demonstrated wilful disregard under Subsection (a)(4).
(c)  The amount of the penalty may not exceed $5,000 for each violation or, in the case of a continuing violation, $5,000 for each day that the violation continues.  Each transaction in violation of this chapter and each day that a violation continues is a separate violation.
(d)  In determining the amount of the penalty, the commissioner shall consider factors that include the seriousness of the violation, the person's compliance history, and the person's good faith in attempting to comply with this chapter, provided that if the person is found to have demonstrated wilful disregard under Subsection (a)(4), the trier of fact may recommend that the commissioner impose the maximum administrative penalty permitted under Subsection (c).
(e)  A hearing to assess an administrative penalty is considered a contested case hearing and is subject to Section 152.451.
(f)  An order imposing an administrative penalty after notice and hearing becomes effective and is final for purposes of collection and appeal immediately on issuance.
(g)  The commissioner may collect an administrative penalty assessed under this section:
(1)  in the same manner that a money judgment is enforced in court; or
(2)  if the penalty is imposed against a money services licensee or an authorized delegate, from the proceeds of the licensee's security in accordance with Section 152.354(c).
Added by Acts 2023, 88th Leg., R.S., Ch. 277 (S.B. 895), Sec. 1.01, eff. September 1, 2023.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle E - Other Financial Businesses › Chapter 152 - Regulation of Money Services Businesses › Subchapter I. Enforcement › Section 152.408. Criminal Penalty

Sec. 152.408.  CRIMINAL PENALTY.  (a)  A person commits an offense if the person:
(1)  intentionally makes a false statement, misrepresentation, or certification in a record or application filed with the department or required to be maintained under this chapter or a rule adopted or order issued under this chapter, or intentionally makes a false entry or omits a material entry in the record or application; or
(2)  knowingly engages in an activity for which a money services license is required under this chapter without being licensed under this chapter.
(b)  An offense under this section is a felony of the third degree.
(c)  An offense under this section may be prosecuted in Travis County or in the county in which the offense is alleged to have been committed.
(d)  Nothing in this section limits the power of the state to punish a person for an act that constitutes an offense under this or any other law.
Added by Acts 2023, 88th Leg., R.S., Ch. 277 (S.B. 895), Sec. 1.01, eff. September 1, 2023.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle E - Other Financial Businesses › Chapter 152 - Regulation of Money Services Businesses › Subchapter I. Enforcement › Section 152.409. Notice, Hearing, and Other Procedures for Nonemergency Orders

Sec. 152.409.  NOTICE, HEARING, AND OTHER PROCEDURES FOR NONEMERGENCY ORDERS.  (a)  This section applies to an order issued by the commissioner under this subchapter that is not an emergency order.
(b)  An order to which this section applies becomes effective only after notice and an opportunity for hearing.  The order must:
(1)  state the grounds on which the order is based;
(2)  to the extent applicable, state the action or violation from which the person subject to the order must cease and desist or the affirmative action the person must take to correct a condition resulting from the violation or that is otherwise appropriate;
(3)  be delivered by personal delivery or sent by certified mail, return receipt requested, to the person against whom the order is directed at the person's last known address;
(4)  state the effective date of the order, which may not be before the 21st day after the date the order is delivered or mailed; and
(5)  include a notice that a person may file a written request for a hearing on the order with the commissioner not later than the 20th day after the date the order is delivered or mailed.
(c)  Unless the commissioner receives a written request for a hearing from the person against whom the order is directed not later than the 20th day after the date the order is delivered or mailed, the order takes effect as stated in the order and is final against and non-appealable by that person from that date.
(d)  A hearing on the order must be held not later than the 45th day after the date the commissioner receives the written request for the hearing unless the administrative law judge extends the period for good cause or the parties agree to a later hearing date.
(e)  An order that has been affirmed or modified after a hearing becomes effective and is final for purposes of enforcement and appeal immediately on issuance.  The order may be appealed to the district court of Travis County as provided by Section 152.451(b).
Added by Acts 2023, 88th Leg., R.S., Ch. 277 (S.B. 895), Sec. 1.01, eff. September 1, 2023.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle E - Other Financial Businesses › Chapter 152 - Regulation of Money Services Businesses › Subchapter J. Miscellaneous Provisions › Section 152.451. Administrative Procedures

Sec. 152.451.  ADMINISTRATIVE PROCEDURES.  (a)  All administrative proceedings under this chapter must be conducted in accordance with Chapter 2001, Government Code, and Title 7, Chapter 9, Texas Administrative Code.
(b)  A person affected by a final order of the commissioner issued under this chapter after a hearing may appeal the order by filing a petition for judicial review in a district court of Travis County.  A petition for judicial review filed in the district court under this subsection does not stay or vacate the appealed order unless the court, after notice and hearing, specifically stays or vacates the order.
Added by Acts 2023, 88th Leg., R.S., Ch. 277 (S.B. 895), Sec. 1.01, eff. September 1, 2023.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle E - Other Financial Businesses › Chapter 154 - Prepaid Funeral Services › Subchapter A. General Provisions › Section 154.001. Purpose

Sec. 154.001.  PURPOSE.  The purposes of this chapter are to:
(1)  limit the manner in which a person may accept funds in prepayment of funeral services to be performed in the future;
(2)  provide a regulatory framework to give the public an opportunity to arrange and pay for funerals in advance of need;  and
(3)  provide all safeguards to protect the prepaid funds and to assure that the funds will be available to pay for prearranged funeral services.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle E - Other Financial Businesses › Chapter 154 - Prepaid Funeral Services › Subchapter A. General Provisions › Section 154.002. Definitions

Sec. 154.002.  DEFINITIONS.  In this chapter:
(1)  "Cash advance item" has the meaning assigned by  16 C.F.R. Section 453.1.
(1-a)  "Commission" means the Finance Commission of Texas.
(2)  "Commissioner" means the banking commissioner of Texas.
(3)  "Department" means the Texas Department of Banking.
(4)  "Earnings" means the amount in an account in excess of the amount paid by the purchaser of a prepaid funeral benefits contract that is deposited in the account as provided by Section 154.253, including accrued interest, accrued income, and enhanced or increased value.
(5)  "Financial institution" has the meaning assigned by Section 201.101.
(6)  "Funeral provider" means the person designated in a prepaid funeral benefits contract that has agreed to provide the specified prepaid funeral benefits.
(6-a)  "Insurance-funded contract" means an insurance-funded prepaid funeral benefits contract.
(7)  "Insurance policy" means a life insurance policy or annuity contract.
(8)  "Person" means an individual, firm, partnership, corporation, or association.
(9)  "Prepaid funeral benefits" means prearranged or prepaid funeral or cemetery services or funeral merchandise, including an alternative container, casket, or outer burial container.  The term does not include a grave, marker, monument, tombstone, crypt, niche, plot, or lawn crypt unless it is sold in contemplation of trade for a funeral service or funeral merchandise to which this chapter applies.
(10)  "Seller" means a person selling, accepting money or premiums for, or soliciting contracts for prepaid funeral benefits or contracts or insurance policies to fund prepaid funeral benefits in this state.
(11)  "Crypt," "grave," "lawn crypt," "niche," and "plot" have the meanings assigned by Section 711.001, Health and Safety Code.
(12)  "Funeral merchandise" or "merchandise" means goods sold or offered for sale on a preneed basis directly to the public for use in connection with funeral services.
(13)  "Funeral service" or "service" means a service sold or offered for sale on a preneed basis that may be used to:
(A)  care for and prepare a deceased human body for burial, cremation, or other final disposition;  and
(B)  arrange, supervise, or conduct a funeral ceremony or the final disposition of a deceased human body.
(14)  "Trust-funded contract" means a trust-funded prepaid funeral benefits contract.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.  Amended by Acts 1999, 76th Leg., ch. 62, Sec. 7.40(a), eff. Sept. 1, 1999;  Acts 1999, 76th Leg., ch. 344, Sec. 2.023, eff. Sept. 1, 1999;  Acts 2001, 77th Leg., ch. 867, Sec. 72, eff. Sept. 1, 2001.
Amended by:
Acts 2009, 81st Leg., R.S., Ch. 1190 (H.B. 3762), Sec. 1, eff. September 1, 2009.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle E - Other Financial Businesses › Chapter 154 - Prepaid Funeral Services › Subchapter A. General Provisions › Section 154.003. Effect on Insurance Laws

Sec. 154.003.  EFFECT ON INSURANCE LAWS.  Except as provided by Section 154.004, this chapter does not affect the Insurance Code.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 3 - Financial Institutions and Businesses › Subtitle E - Other Financial Businesses › Chapter 154 - Prepaid Funeral Services › Subchapter A. General Provisions › Section 154.004. Group Insurance Contracts

Sec. 154.004.  GROUP INSURANCE CONTRACTS.  (a)  A life insurance company authorized to engage in the business of life insurance in this state may issue a group contract of decreasing term life insurance to persons who purchase prepaid funeral benefits from the same seller.  The amount of life insurance for a purchaser must at all times approximate the future unpaid balance of the purchaser's contract for prepaid funeral benefits.
(b)  A seller has an insurable interest in the life of the purchaser of a prepaid funeral benefits contract to the extent of any unpaid balance of the contract.  The proceeds of a life insurance policy received by the seller on the life of the purchaser shall be applied to the unpaid balance.
(c)  This section does not affect the funding of prepaid funeral benefits by other insurance contracts as provided by Subchapter E.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.