Tex.
Ins. Code Section 228.302
Decertification of Certified Capital Company
(a)
A material violation of Section 228.105 (Continuation of Certification), 228.106 (Reports to Comptroller; Audited Financial Statement), 228.107 (Renewal Fee; Late Fee; Exception), 228.151 (Required Schedule of Investment), 228.152 (Investment in Early Stage Business Required), 228.153 (Investment in Strategic Investment Business Required), 228.154 (Certified Capital Not Invested in Qualified Investments), 228.155 (Computation of Amount of Investments), 228.156 (Limit on Qualified Investment), 228.202 (Relocation of Principal Business Operations), or 228.204 (Continuation of Classification as Qualified Business; Follow-on Investments Authorized) is grounds for decertification of a certified capital company.(b)
If the comptroller determines that a certified capital company is not in compliance with a law listed in Subsection (a), the comptroller shall notify the company’s officers in writing that the company may be subject to decertification after the 120th day after the date the notice is mailed unless the company:(1)
corrects the deficiencies; and(2)
returns to compliance with the law.(c)
The comptroller may decertify a certified capital company, after opportunity for hearing, if the comptroller finds that the company is not in compliance with a law listed in Subsection (a) at the end of the period established by Subsection (b).(c-1)
Notwithstanding any other provision of this section, the comptroller may decertify a certified capital company if the comptroller receives a request in writing from the certified capital company stating that the certified capital company has made qualified investments in an amount cumulatively equal to 100 percent of the company’s certified capital.(d)
Decertification under this section is effective on receipt of notice of decertification by the certified capital company.(e)
The comptroller shall notify any appropriate state agency of a decertification of a certified capital company.
Source:
Section 228.302 — Decertification of Certified Capital Company, https://statutes.capitol.texas.gov/Docs/IN/htm/IN.228.htm#228.302 (accessed Jun. 5, 2024).
