§ 37.006 — FINANCIAL MORATORIUM.

Texas § 37.006

• Jurisdiction: Texas
• Code FI: Finance Code

Text

Sec. 37.006. FINANCIAL MORATORIUM. (a) The banking commissioner, with the approval of a majority of the finance commission and the governor, may proclaim a financial moratorium for, and invoke a uniform limitation on, withdrawal of deposits of every character from all banks within this state. A bank refusing to comply with a written proclamation of the banking commissioner under this section, signed by a majority of the members of the finance commission and the governor:
(1) forfeits its charter if it is a state bank; or
(2) may not act as reserve agent for a state bank or as depository of state, county, municipal, or other public money if it is a national bank.
(b) On order of the banking commissioner after refusal of a national bank to comply with the proclamation, a depositor of public money with the bank:
(1) shall immediately withdraw the public money from the bank; and
(2) may not redeposit public money in the bank without the banking commissioner's prior written approval.

Legislative History

Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.