AEZ C.S.H.B. 2435 75(R)BILL ANALYSIS CRIMINAL JURISPRUDENCE C.S.H.B. 2435 By: Keel 4-9-97 Committee Report (Substituted) BACKGROUND Currently, the Penal Code does not allow for aggregation of laundered funds. A criminal can launder criminal proceeds in several small increments and never commit an offense more serious than a third degree felony. PURPOSE CSHB 2435, as proposed, would allow for the aggregation of illegal proceeds. A prosecutor would be able to aggregate the total amount laundered in determining the seriousness of the offense. RULEMAKING AUTHORITY It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency or institution. SECTION BY SECTION ANALYSIS SECTION 1.Amends Section 34.01, Penal Code, Definitions, by adding to the definition of "proceeds", and adds a definition of "fraudulently structured". SECTION 2.Amends Section 34.02, Penal Code, Money Laundering, by adding subsection (f) which allows the aggregation of proceeds if they are from the same or similar source or are obtained as a result of one scheme or a continuing course of conduct. SECTION 3. Severability Clause. SECTION 4. Effective Date: September 1, 1997. SECTION 5. Emergency Clause. COMPARISON OF ORIGINAL TO SUBSTITUTE The substitute bill adds a definition of "fraudulently structure" to Sec. 34.01, Penal Code. The original bill did not. The original bill defined "proceeds" to include funds whose aggregate nature have been altered or concealed by criminal activity. The substitute changed that definition of "proceeds" to include funds that have been fraudulently structured.