Tex.
Fin. Code Section 62.007
Decision on Application to Incorporate; Issuance of Certificate of Incorporation
(a)
The commissioner may approve an application to incorporate only if the commissioner finds that:(1)
the prerequisites to incorporation required by this chapter are satisfied;(2)
the character, responsibility, and general fitness of each person named in the articles of incorporation command confidence and warrant belief that:(A)
the business of the association will be honestly and efficiently conducted in accordance with the intent and purpose of this subtitle; and(B)
the association will have qualified full-time management;(3)
there is a public need for the association;(4)
the volume of business in the community in which the association will conduct its business indicates a profitable operation is probable; and(5)
the operation of the association will not unduly harm an existing association.(b)
On finding that the requirements of Subsection (a) are fulfilled, the commissioner shall:(1)
enter an order approving the application and stating the findings required by Subsection (a);(2)
issue under official seal a certificate of incorporation;(3)
deliver a copy of the approved articles of incorporation and bylaws to the incorporators; and(4)
permanently retain a copy of the articles and bylaws.(c)
On delivery of the certificate of incorporation to the incorporators, the association:(1)
is a corporate body with perpetual existence unless terminated by law; and(2)
may exercise the powers of an association beginning on the date the commissioner certifies receipt of satisfactory proof that the association has received in cash and free of encumbrance:(A)
the required amount of the capital stock and paid-in surplus if the association is a capital stock association; or(B)
the required amount of the savings liability and expense fund if the association is a mutual association.(d)
On denial of an application, the commissioner shall enter an order denying the application and include a written statement specifying the grounds for the denial. The commissioner shall deliver by certified mail a copy of the order to the designated representative of the incorporators.
Source:
Section 62.007 — Decision on Application to Incorporate; Issuance of Certificate of Incorporation, https://statutes.capitol.texas.gov/Docs/FI/htm/FI.62.htm#62.007 (accessed May 11, 2024).
