Untitled Texas Attorney General Opinion

OFFICE OF THE A-lYORNEY GENERAL OF TEXAS AUSTIN %z%%a~ oonrldorrd your oplnlon of thl, quota rrom your 135, Aots or tlr 46th k&lrlrtarr, oa'o Annotatrd Cl?11 Stetutrr) and artala rrsprotr with whlrh wo are not hew oonoarnod, ir I ocmprohradto rrgulrtory bill lb r r r iathr g rholr ilrld ot mutual lnsurmw. saotlon 600,rt1’L 5068-1, VWAOD’O AalI0t~t.aOlrll 8tetot88, pro- *teoh le8ool8tlon, not elrred~ rrqulrrd by rrlrtlly lewr to do 80, ehell pleoo with the Stete Trrerurer through the Board of fnrumnoo Coml8rlonor8 l deporit 8quel to thr lergoet rlrk reruau~d on my one llrr or parron, whioh ory k in aerh or in oontrrtlble rrourltl88 eub- Jeot to epprotrl by thr Board. Suoh doporltr ahall be liable for tha pefwnt of ell juQment8 - l66in8t thr rs8OOidiOn, end eubjeot to &emirh- unt lrt8r r im fadgnat lgcllnrt thr leeooI8- SlOll. X’h mluoh depO8it be0O8i.8 islpOUad86 Or drplrtad, it 8h81l at bOoa hs r8p18Bi8had by thr areooirtion, and if not replmiebrd larardlatrly on daarnd by thr &erd, thr l88OOirtlon mar br rr@rded (II inrolr8nt end drrlt with le herrln- lr tr rprovidrd. "when Qny 8aaOOiatiOllehall d88irO to 8t8t8 In ad+ortirra8nts, lottora, lltereturo or othor- wi8o, th8t it ha8 aad8 a deporlt with the BO8rd ,eo required by law, It mu8t also 8tsts in full the purposo of thr depmlt, th8 conditlone under whloh it 18 ma de, emount 8ll4 ohrr- ld bhe lx e o t lotar thareof." Smtlon 13 O? ArtlOlo 5068-1, 8upre, mad8 88 tol- 1OW81 'SIO. 13. It I8 tho prlmery purpo88 Of thl8 hot'to 8eoure to the aembors of thr lsrooietlon and their beaerioierloe ths fall and prompt payaont of all 0185JM aaoording to tha a81i~ b8Bdit pro- ridod in tb8ir orrtirloat88. It 18 thwerore r8- quired of all assooistions that al1 olelm undrr oertlrioatrr b8 paid in ruii wlthln rixty (60) day8 art,er rroript OS dur proor of rlaisr. lororabl* trrrr team - peuo 3 Wrlttsa sotloo or olala 6lren to the esso- detlon ‘hell be Iroua duo proof in tha sreat tk l88O~istiO fa a il8 Op OBr r Oa :pOt r B OtiOat0 furnish thr alelaaat, within rirtO0n (15) days, ssoh tortas aa em oraelly furnlrhod by it for iii* olelos. 'Aay s8sooletion wbloh rhell booon; aneblo to pay lta vdia llelu in r0ii within slrtf (60) arts lftw aor proof0 em rooelved, *bell ror the. purpore or this Aot be ro er a 0l 48 lneol+ent, ana dealt with a8 18 sore ful!y prOrid herelneitor.~ St rpprer8 fro8 the two pr8ordln(l prorlrionr or the 8tRtUtO thst lt wee..the 1r~lrletiTrinto&t that the oompenie8 oabrsord theroln rhould rt 811 tlmr ha?@ on de- pelt with the State Trrarurar e88et8 ramally oonvrrtlble Into oe8h. whlah ths rourt rradrrlsg judgplont sgelast saoh b,:o:lnt~ oom any al&t aromr robjrot to tho pa-t It wf 11 br notod thst Sootion 6, titlola 5068-1, rxprrssi, prorlaost ‘Suoh drpoaltr lbell bo lleblr tot tha pey8ont or a.11 the jUdfpOIIt8 againat th al88OQi@ tiOn, ana sobjoot to gernlehmnt 08 to final jod&arnts egelaet the 88100~8tiO~.' Ua 40 not ball~re that the bonds in qua8tlOn, by roe8on or tholr non-trerforebleend wltharenl meturlty ieeturas are 8uiflolentl~liquid wlthln ruoh reasonable time for the payment or jua&wnt as WL8 sntlolpete4 by the lo6189 lettare. Thwaron, we hold that thr bonds in quertlon oennot bo aeps8ltraunder lleotlon 6, Artlolo 5066-l. Trurtln8 that thr ioregol~ fully wmwer8 your in- quiry, ws era ,Yourr wry truly ATTORWBY OPNPRAL Of TBXAS Ar4rLl WllUeu A88irtaat .-- id (fgpy; -/