Untitled Texas Attorney General Opinion

‘, THEATTORNEY GENERAL OF -rExAs GEFtALD c. MANN Aus~l~ll.T~xAe Honorable R. A. Barton County Attorney Calhoun County Port Lavaca, Texas Dear Sir: Opinion No. ad2980 Re: Can a contract as county depository be made with a bank In which the county judge of the county is a director or stock- holder? We have received your letter of recent date requesting our opinion on the above stated question. Your letter reads: "Can a contract as county depository be made to a bank in which the County Judge of the county Is a director or stockholder of the bank? "Regardlessof the fact'that Art. 373 Penal Code of Texas is indefinite in regard to the above question and in fact seems to deal with entirely different contractualmatters, in the year 1913, in Opinion No. 36 your department says among other things, 'A bank having as director one of the County Commissioners,la not eligible to bid for or become the.custodlatiof the county funds, and If It were to do so and the CommlsslonerstCourt awarded the funds to such a bank, It would be a violation of law and the parties subject to prosecutlont C.M. Cureton, 1st Asst. Atty. Gen. "In the next opinion which Is also weitten by Judge Cureton, Opinion No. 37,among other things the opinion says: 'Under no circumstances,so long as you are County Judge and at the same time a stockholder in the bank, can the Commis- sioners' Court name the bank as County Depository.' "I can find no court decisions on this matter and so far as I can determine your department has not passed on the question since the above said opinions were handed down, Will you please give me your opinion at,this time on this question at your earliest convenience? Honorable R. A. Barton, Page.2, O-2980 In the case of First National Rank v. Terry, et al, 83 So. 170, the Supreme Court of Alabama stated: "In common acceptance of that term, a depository Is a oontractee with ministerial duties, performance of which may be oompelled In proper oases by the writ of mandamus." The commlssloners~court is composed of the several commissioners of the county and the county judge, and the county judge when present, Is the presiding officer of said court. Article 2342, Vernon's Civil Statutes. * Article 2544 to Article 2558, lnclusfireVernon's Civil Statutes, as amended by House Bill No. 572, ch. 464, Regular Session, 45th Legislature,page 1298-1316, provides thatthe county commissioners% court of each county shall select, approve and supervise the county depository for such county. Article 373 of the Penal Code provides: "If any officer of any county, or of any city or town shall become In any manner pecuniarily Interested In any contracts made by such county, city or town, through Its agents, or otherwise, for the constructionor repair of any bridge, road, street, alley u?house, or any other work undertaken by such county, city or town, or shall become Interested Sn any bid or proposal for such work or in the purchase or sale of any- thing made for or on account of such county, city or town, or who shall contractfor or receive any money or property, or the representativeof either, or any emolument or advantage whatsoever in considerationof such bid, proposal, contract, purchase or sale, he shall be fined not less than Fifty nor more than Five Hundred Dollars." It Is to be noticed that Article 373, supra, does not refer to all types of contracts,in which the public officer may be Interested, but Is limited to "any contract * * * for the constructionor repair of any bridge, road, street, alley or house, or any other work * * l or any bid or #reposal for such work or in the purchase or sale of anything * + * . We are of the opinion that a contract with a bank to act as county.depositoryIs not such a contract as described In this Article. Article 373, supra, is a penal statute, and our courts have conslstently'heldthat penal statutes cannot be extended beyond their plain meanlpg. In the case of Ratcliff v. State, 106 Tex. Cr. R. 37, the following language is quoted from Lewis Sutherland Statutory Construction, sec. 520: Honorable R. A. Barton, Page 3, O-2980 “The oase must be a very strong one Indeed which would justify a court In departing from the plain meaning of the words, especially In a penal act, In search of an Intention whloh the words themselves did not suggest.” It is a well established rule, however, even In the absence of a statute, that one In his official capacity oannot deal with him- self In his lndldrrfdualcapacity; and it la well settled In Texas that If a public official, directly or lndlreotly,has a pecuniary Interest In a contract, no matter how honest he might be, and although he may not .be Influenced by the Interest, such a contr&t Is against public policy. Meyers, et al v. Walker, 276 S.W. 305; City of Edlnburg v. Ellis, 59 S.W. (2d) 99. Therefore, In view of the foregoing authorities, It Is our opinion, and you are so advised, (1) that Article 372 of the Penal Code Is not applicable to a contract with a bank to act as county depoeltory; (2) that a contract as county depository made with a bank In which the county judge of the county Is a director or stockholder,is void. For your Information,we are enclosing herewith a copy of Opinion No. o-2656,written upon a related question. In further support of our oonoluslon number two, In the para- graph above, we call your attention to that portion of Article 2340, Vernon’s Cltil Statutes, wherein It Is provided: “Before entering upon the duties of their offloe, the county &age and each oommlseioner shall take the offlo oath, and shall also take a written oath that he will not be directly or Indirectly Interested in any oontraot with, or claim against, the county In which he resides, except such warrants as may issue to him as fees of office. + l *.” Letter Opinion Nos. 36 and 37, written by C. M. Cureton, Assistant Attorney General during the Looney Administration, referred to by you and which may be found on pages 170 and 172 of the Attorney Generals’ Biennial Report for the year 1912-1914, likewise hold, In effect, that similar oontraots entered into between the oonunlsaloners~oourt and a depository bank are ab- solutely void. The above opinions do not, In any way, refer to Article 373 of the Penal Code, thererore we cannot take the position that these opinions passed upon the appllaatlon of said Article 373 to such a situation. Trusting that this answers your question, we remain Honorable R. A. Barton, P&se 4, O-2980 Yours very truly ATTORNEYGENERAL OFTJZXAS a/ B; Burle Davisa D.'Burle Davis8 Assistant APPROVED JAN 22, 191 s/ Gr6ver Sellers F&T km.s’EAN1: ATTORNEY GENERAL DBD:RS APPROVED OPINION COMMITTEE BY BWB, Chairman .