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A BILL TO BE ENTITLED
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AN ACT
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relating to the power of the office of the attorney general to make |
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certain examinations and inquiries. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 12.151, Business Organizations Code, is |
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amended to read as follows: |
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Sec. 12.151. AUTHORITY OF ATTORNEY GENERAL TO EXAMINE BOOKS |
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AND RECORDS AND MAKE CERTAIN INQUIRIES. (a) Each filing entity and |
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foreign filing entity shall permit the attorney general to inspect, |
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examine, and make copies, as the attorney general considers |
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necessary in the performance of a power or duty of the attorney |
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general, of any record of the entity. A record of the entity |
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includes minutes and a book, account, letter, memorandum, e-mail, |
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document, check, voucher, telegram, constitution, and bylaw. |
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(b) If the attorney general has reason to believe that a |
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nonprofit entity with a charitable purpose is engaging in, has |
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engaged in, or is about to engage in an unlawful act or practice or |
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that it would be in the public interest to conduct an investigation |
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to ascertain whether the entity is engaging in, has engaged in, or |
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is about to engage in an unlawful act or practice, the attorney |
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general may: |
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(1) require an employee or agent of the entity to file |
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on forms prescribed by the attorney general a statement or report in |
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writing, under oath or otherwise, as to all the facts and |
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circumstances concerning the alleged unlawful act or practice and |
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other data and information the attorney general considers |
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necessary; and |
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(2) examine under oath any person in connection with |
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the alleged unlawful act or practice. |
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SECTION 2. The heading to Chapter 123, Property Code, is |
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amended to read as follows: |
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CHAPTER 123. ATTORNEY GENERAL PARTICIPATION IN PROCEEDINGS |
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INVOLVING AND INVESTIGATION OF MATTERS CONCERNING CHARITABLE |
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TRUSTS |
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SECTION 3. Chapter 123, Property Code, is amended by adding |
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Section 123.007 to read as follows: |
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Sec. 123.007. AUTHORITY OF ATTORNEY GENERAL TO EXAMINE |
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BOOKS AND RECORDS AND MAKE CERTAIN INQUIRIES. (a) Each charitable |
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entity or fiduciary or managerial agent of a charitable trust shall |
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permit the attorney general to inspect, examine, and make copies, |
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as the attorney general considers necessary in the performance of a |
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power or duty of the attorney general with respect to charitable |
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entities and trusts, of any record of the charitable entity or |
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trust. A record of the charitable entity or trust includes minutes |
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and a book, account, letter, memorandum, e-mail, document, check, |
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voucher, telegram, constitution, and bylaw. |
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(b) If the attorney general has reason to believe that a |
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person is engaging in, has engaged in, or is about to engage in an |
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unlawful act or practice with respect to a charitable trust or that |
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it would be in the public interest to conduct an investigation to |
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ascertain whether the person is engaging in, has engaged in, or is |
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about to engage in an unlawful act or practice with respect to a |
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charitable trust, the attorney general may: |
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(1) require the person to file on forms prescribed by |
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the attorney general a statement or report in writing, under oath or |
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otherwise, as to all the facts and circumstances concerning the |
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alleged unlawful act or practice and other data and information as |
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the attorney general considers necessary; and |
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(2) examine under oath any person in connection with |
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the alleged unlawful act or practice. |
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SECTION 4. This Act takes effect September 1, 2011. |