By Olivo H.B. No. 2373
75R5695 DLF-F
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to notice of changes to the capital stock of an insurance
1-3 company.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Articles 8.13 and 8.23, Insurance Code, are
1-6 amended to read as follows:
1-7 Art. 8.13. INCREASE OF CAPITAL. Any such company may
1-8 increase its capital stock at any time after the intention to so
1-9 increase the capital stock shall have been ratified by a two-thirds
1-10 vote of the stockholders, and after notice of the purpose to so
1-11 increase the capital stock has been given by publication in some
1-12 newspaper of general circulation for five [four (4)] consecutive
1-13 days [weeks]. No increase of capital stock in less amount than
1-14 Fifty Thousand ($50,000.00) Dollars is hereby authorized.
1-15 Art. 8.23. DECREASE OF STOCK. Any such company may decrease
1-16 its capital stock at any time after the intention to so decrease
1-17 the capital stock shall have been ratified by a majority vote of
1-18 the stockholders, and after notice of such purpose has been
1-19 published in some newspaper of general circulation for a period of
1-20 five [four] consecutive days [weeks].
1-21 SECTION 2. This Act applies only to publication of notice of
1-22 an increase or decrease of the capital stock of an insurance
1-23 company the first publication date of which is on or after the
1-24 effective date of this Act. Publication of notice the first
2-1 publication date of which is before the effective date of this Act
2-2 is governed by the law as it existed immediately before the
2-3 effective date of this Act, and that law is continued in effect for
2-4 this purpose.
2-5 SECTION 3. This Act takes effect September 1, 1997.
2-6 SECTION 4. The importance of this legislation and the
2-7 crowded condition of the calendars in both houses create an
2-8 emergency and an imperative public necessity that the
2-9 constitutional rule requiring bills to be read on three several
2-10 days in each house be suspended, and this rule is hereby suspended.