BILL ANALYSIS

S.B. 2798

By: Creighton

Criminal Jurisprudence

Committee Report (Unamended)

BACKGROUND AND PURPOSE

The bill sponsor has informed the committee that the nature of financial fraud makes detection inherently difficult, as perpetrators deliberately conceal their actions and victims often do not realize that they have been defrauded until well after the offense occurs. However, the statute of limitations period begins at the time of the fraudulent act, not when it is discovered, which can prevent prosecution due to the period expiring. The bill sponsor has also informed the committee that fraud investigations can be time-intensive, frequently requiring the acquisition and review of out-of-state banking and credit card records, with each round of analysis leading to possible new leads and additional victims, requiring further subpoenas and prolonging the process. S.B. 2798 seeks to protect citizens and financial institutions alike and give victims, law enforcement, and prosecutors ample time for these cases to be reported, investigated, and prosecuted by extending the statute of limitations period for most fraud offenses under the Penal Code to seven years.

CRIMINAL JUSTICE IMPACT

It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.

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.

ANALYSIS

S.B. 2798 amends the Code of Criminal Procedure to extend the statute of limitations period for any applicable fraud offense under the Penal Code to seven years from the date of the commission of the offense, except the offenses of forgery or the uttering, using, or passing of forged instruments, which have a statute of limitations period of ten years from the date of commission of the offense.

S.B. 2798 does not apply to an offense if the prosecution of that offense becomes barred by limitation before the bill's effective date. The prosecution of that offense remains barred as if the bill had not taken effect.

EFFECTIVE DATE

September 1, 2025.