The commissioner may remove or bar certain money-services licensee personnel after a final felony conviction, and the affected person may request a hearing.
Sec. 152.412. REMOVAL OR PROHIBITION ORDERS IN RESPONSE TO CERTAIN CRIMINAL OFFENSES. (a) For purposes of this section, a person is considered to have been finally convicted of an offense if the person's case is not subject to further appellate review and: (1) a sentence was imposed on the person; (2) the person received probation or community supervision, including deferred adjudication community supervision; or (3) the court deferred final disposition of the person's case. (b) The commissioner may remove or prohibit a current or former key individual or employee of a money services licensee from office or employment in, or prohibit a control person or other person participating in the affairs of a money services licensee from further participation in the affairs of a money services licensee, or any other entity chartered, registered, permitted, or licensed by the commissioner if the person has been finally convicted of a felony offense involving: (1) a business engaged in money services; (2) dishonesty; or (3) breach of trust. (c) If the commissioner has grounds for action under Subsection (b), the commissioner may serve a removal or prohibition order, as appropriate, on the person who has been finally convicted of a felony offense. The commissioner shall also serve a copy of the order on any money services licensee that the person is affiliated with at the time of service of the order. (d) Notwithstanding Section 152.409, an order issued under this section becomes effective immediately on service and continues in effect unless the order is: (1) stayed or terminated by the commissioner; (2) set aside by the commissioner after a hearing; or (3) stayed or vacated on appeal. (e) Not later than the 30th day after the date an order is served under this section, the person against whom the order is issued may request in writing a hearing before the commissioner to show that the person's continued service to a money services licensee or participation in the affairs of a money services licensee does not, or is unlikely to, threaten the interests of the money services licensee, the money services licensee's customers, or the public confidence in the money services licensee. (f) Not later than the 30th day after the date the request for a hearing is received under this section, the commissioner shall hold the hearing, unless the party requesting the hearing requests a later date. At the hearing, the party requesting the hearing has the burden of proof. (g) After the hearing, the commissioner may affirm, modify, or set aside, in whole or in part, the order. An order affirming or modifying the order is immediately final for purposes of enforcement and appeal. The order may be appealed as provided by Section 152.409. Added by Acts 2025, 89th Leg., R.S., Ch. 447 (H.B. 3805), Sec. 1, eff. June 20, 2025.