Texas 2025 - 89th Regular

Texas House Bill HB3110 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	89R8216 CJD-F
2	2	By: Perez of Harris H.B. No. 3110
3	3
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7	7	A BILL TO BE ENTITLED
8	8	AN ACT
9	9	relating to civil asset forfeiture of digital currency or other
10	10	similar property.
11	11	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
12	12	SECTION 1. Article 59.01, Code of Criminal Procedure, is
13	13	amended by amending Subdivisions (2), (7), and (9) and adding
14	14	Subdivision (3-a) to read as follows:
15	15	(2) "Contraband" means property of any nature,
16	16	including real, personal, tangible, or intangible, including a
17	17	digital currency, non-fungible token, or stablecoin, that is:
18	18	(A) used in the commission of:
19	19	(i) any first or second degree felony under
20	20	the Penal Code;
21	21	(ii) any felony under Section 15.031(b),
22	22	21.11, or 38.04 or Chapter 29, 30, 31, 32, 33, 33A, or 35, Penal
23	23	Code;
24	24	(iii) any felony under Chapter 43, Penal
25	25	Code, except as provided by Paragraph (B);
26	26	(iv) any felony under The Securities Act
27	27	(Title 12, Government Code); or
28	28	(v) any offense under Chapter 49, Penal
29	29	Code, that is punishable as a felony of the third degree or state
30	30	jail felony, if the defendant has been previously convicted three
31	31	times of an offense under that chapter;
32	32	(B) used or intended to be used in the commission
33	33	of:
34	34	(i) any felony under Chapter 481, Health
35	35	and Safety Code (Texas Controlled Substances Act);
36	36	(ii) any felony under Chapter 483, Health
37	37	and Safety Code;
38	38	(iii) a felony under Chapter 152, Finance
39	39	Code;
40	40	(iv) any felony under Chapter 20A or 34,
41	41	Penal Code;
42	42	(v) a Class A misdemeanor under Subchapter
43	43	B, Chapter 365, Health and Safety Code, if the defendant has been
44	44	previously convicted twice of an offense under that subchapter;
45	45	(vi) any felony under Chapter 32, Human
46	46	Resources Code, or Chapter 31, 32, 35A, or 37, Penal Code, that
47	47	involves a health care program, as defined by Section 35A.01, Penal
48	48	Code;
49	49	(vii) a Class B misdemeanor under Chapter
50	50	522, Business & Commerce Code;
51	51	(viii) a Class A misdemeanor under Section
52	52	306.051, Business & Commerce Code;
53	53	(ix) any offense under Section 42.10, Penal
54	54	Code;
55	55	(x) any offense under Section 46.06(a)(1)
56	56	or 46.14, Penal Code;
57	57	(xi) any offense under Chapter 71, Penal
58	58	Code;
59	59	(xii) any offense under Section 20.05,
60	60	20.06, 20.07, 43.04, or 43.05, Penal Code;
61	61	(xiii) an offense under Section 326.002,
62	62	Business & Commerce Code;
63	63	(xiv) any offense under Section 545.420,
64	64	Transportation Code; or
65	65	(xv) any offense punishable under Section
66	66	42.03(d) or (e), Penal Code;
67	67	(C) the proceeds gained from the commission of a
68	68	felony listed in Paragraph (A) or (B) of this subdivision, a
69	69	misdemeanor listed in Paragraph (B)(vii), (ix), (x), (xi), (xii),
70	70	(xiv), or (xv) of this subdivision, or a crime of violence;
71	71	(D) acquired with proceeds gained from the
72	72	commission of a felony listed in Paragraph (A) or (B) of this
73	73	subdivision, a misdemeanor listed in Paragraph (B)(vii), (ix), (x),
74	74	(xi), (xii), (xiv), or (xv) of this subdivision, or a crime of
75	75	violence;
76	76	(E) used to facilitate or intended to be used to
77	77	facilitate the commission of a felony under Section 15.031 or
78	78	Chapter 43, Penal Code; or
79	79	(F) used to facilitate or intended to be used to
80	80	facilitate the commission of an offense under Section 20.05, 20.06,
81	81	or 20.07 or Chapter 20A, Penal Code.
82	82	(3-a) "Digital currency" means a digital
83	83	representation of value recorded on a cryptographically secured
84	84	distributed ledger, including blockchain, or similar technology.
85	85	(7) "Proceeds" includes:
86	86	(A) income a person accused or convicted of a
87	87	crime or the person's representative or assignee receives from:
88	88	(i) [(A)] a movie, book, magazine article,
89	89	tape recording, phonographic record, radio or television
90	90	presentation, telephone service, electronic media format,
91	91	including an Internet website, or live entertainment in which the
92	92	crime was reenacted; or
93	93	(ii) [(B)] the sale of tangible property
94	94	the value of which is increased by the notoriety gained from the
95	95	conviction of an offense by the person accused or convicted of the
96	96	crime; or
97	97	(B) with respect to digital currency gained from
98	98	the commission of an offense, any increase in value of the digital
99	99	currency between the date of acquisition and the forfeiture of the
100	100	digital currency.
101	101	(9) "Depository account" means the obligation of a
102	102	regulated financial institution to pay the account owner under a
103	103	written agreement, including a checking account, savings account,
104	104	money market account, time deposit, NOW account, [or] certificate
105	105	of deposit, or digital currency wallet, regardless of whether the
106	106	wallet is connected to an exchange or network.
107	107	SECTION 2. Article 59.023(a), Code of Criminal Procedure,
108	108	is amended to read as follows:
109	109	(a) A peace officer who identifies proceeds that are gained
110	110	from the commission of an offense listed in Article 59.01(2)(A) or
111	111	(B) shall provide the attorney representing the state with an
112	112	affidavit that identifies the amount of the proceeds and that
113	113	states probable cause that the proceeds are contraband subject to
114	114	forfeiture. On receiving the affidavit, the attorney representing
115	115	the state may file for a judgment in the amount of the proceeds in a
116	116	district court in:
117	117	(1) the county in which the proceeds were gained;
118	118	(2) the county in which any owner or possessor of the
119	119	property was prosecuted for an underlying offense for which the
120	120	property is subject to forfeiture;
121	121	(3) the county in which venue existed for prosecution
122	122	of an underlying offense for which the property is subject to
123	123	forfeiture;
124	124	(4) the county in which the proceeds were seized; [or]
125	125	(5) if the property is a digital currency,
126	126	non-fungible token, stablecoin, or wallet not connected to an
127	127	exchange or network, the county in which the law enforcement agency
128	128	that initiated the seizure of the property is located; or
129	129	(6) Travis County.
130	130	SECTION 3. Article 59.03(c), Code of Criminal Procedure, is
131	131	amended to read as follows:
132	132	(c) A peace officer who seizes property under this chapter
133	133	has custody of the property, subject only to replevy under Article
134	134	59.02 [of this code] or an order of a court. A peace officer who has
135	135	custody of property shall provide the attorney representing the
136	136	state with a sworn statement that contains a schedule of the
137	137	property seized, an acknowledgment that the officer has seized the
138	138	property, and a list of the officer's reasons for the seizure. Not
139	139	later than 72 hours after the seizure:
140	140	(1) [,] the peace officer shall:
141	141	(A) [(1)] place the property under seal;
142	142	(B) [(2)] remove the property to a place ordered
143	143	by the court; or
144	144	(C) [(3)] require a law enforcement agency of the
145	145	state or a political subdivision to take custody of the property and
146	146	move it to a proper location; or
147	147	(2) if the property seized is a digital currency,
148	148	non-fungible token, or stablecoin, the law enforcement agency
149	149	employing the peace officer shall transfer the property to a wallet
150	150	that is:
151	151	(A) not connected to an exchange or network; and
152	152	(B) only accessible by the law enforcement agency
153	153	or the attorney representing the state.
154	154	SECTION 4. Article 59.04(b), Code of Criminal Procedure, is
155	155	amended to read as follows:
156	156	(b) A forfeiture proceeding commences under this chapter
157	157	when the attorney representing the state files a notice of the
158	158	seizure and intended forfeiture in the name of the state with the
159	159	clerk of the district court in the county in which the seizure is
160	160	made or, if the property is a digital currency, non-fungible token,
161	161	stablecoin, or wallet not connected to an exchange or network, in
162	162	the county in which the law enforcement agency that initiated the
163	163	seizure of the property is located. The attorney representing the
164	164	state must attach to the notice the peace officer's sworn statement
165	165	under Article 59.03 [of this code] or, if the property has been
166	166	seized under Article 59.12(b), the statement of the terms and
167	167	amount of the depository account or inventory of assets provided by
168	168	the regulated financial institution to the peace officer executing
169	169	the warrant in the manner described by Article 59.12(b). Except as
170	170	provided by Subsection (c) of this article, the attorney
171	171	representing the state shall cause certified copies of the notice
172	172	to be served on the following persons in the same manner as provided
173	173	for the service of process by citation in civil cases:
174	174	(1) the owner of the property; and
175	175	(2) any interest holder in the property.
176	176	SECTION 5. Article 59.12(b), Code of Criminal Procedure, is
177	177	amended to read as follows:
178	178	(b) A regulated financial institution, at the time a seizure
179	179	warrant issued under Chapter 18 is served on the institution, may
180	180	either:
181	181	(1) pay an account or tender assets held as security
182	182	for an obligation owed to the institution at the time of the service
183	183	of the seizure warrant; [or]
184	184	(2) transfer the depository account or assets to a
185	185	segregated interest-bearing account in the name of the attorney
186	186	representing the state as trustee, to remain in the account until
187	187	the time has expired for an appeal from a decision of the court
188	188	relating to the forfeiture of accounts or assets under Article
189	189	59.05; or
190	190	(3) transfer any digital currency, non-fungible
191	191	token, or stablecoin held by the institution to a secure wallet that
192	192	is:
193	193	(A) not connected to an exchange or network; and
194	194	(B) in the possession of a law enforcement agency
195	195	or an attorney representing the state.
196	196	SECTION 6. The changes in law made by this Act apply only to
197	197	property or proceeds seized on or after the effective date of this
198	198	Act. Property or proceeds seized before the effective date of this
199	199	Act are governed by the law in effect on the date the property or
200	200	proceeds were seized, and the former law is continued in effect for
201	201	that purpose. For purposes of this section, property or proceeds
202	202	were seized before the effective date of this Act if any portion of
203	203	the property or proceeds was seized before that date.
204	204	SECTION 7. This Act takes effect September 1, 2025.