Untitled Texas Attorney General Opinion

OFFICE OF THE ATTORNEY GENERAL OF TEXAS AUSTIN 246 248 243 251 Hon. L. S. Johnson - Page 10 Since the plan now under considerationdoes not "aome within the purview of Article 152&a*, in avower to your question (a) it is the opinion of this departmentthat certificatesof such types are not subject to the limitationeand restrict&onecontained in Article 152&a and need not be approved by the Banking Commissioner. Therefore, we answer question (a) in the affirmative. Article 696 provides as follows: "Each corporat!.an,oompang or inditidual,doing business in this State a&a bond invfbutment company, or company to place or sell bonds~ eertkkficatesor deben- tures on the part&al pa: nt or inet&Xment plan, eha.U depotit with the State rmasumr, &IIcash,or seauritiee approved by said Treasurer, the sum of five thousand doU.ars, and shaU deposit eea~%*annuaUyntth eaid Tmmsurer, in oaahor aeetMt&er, te be approved bysaid offiaer, ten p+w Oknt 0S all iibt rez&am mchved until the sulndepocritedBa#)antsto:ems %. mndmd thvusand d&lars." From whet we have .&Ld la &M$’ tiequ&;onn~~~~~~yr opinionthat it neeessar&ly poL10ws th& the Board Olr~iPboatsrn ,FCooparativv ths @thy QfbOSld8, certlfPcatesOF debentures as vo Sole 6%. On the contrary, it amvmta to c sale of instaxlwmz: pl‘&u%. Therefore, it is our epiai~onthat avmpany 18 not requ%red to au&a,the deposits set forth in 9n view 0S our bmnwx to que83,ion(a}j it guhrer question (c). We t%rkmm queatibn {d) Pn the Yours vvry JR:djm