Texas Statutes
Subchapter C. Procedures for Approval of Stock Exchange
Section 4005.102. Approval of Stock Exchange

Sec. 4005.102. APPROVAL OF STOCK EXCHANGE. The commissioner may approve a stock exchange only if the commissioner finds that the facts and data provided with the application establish that:
(1) the requirements for the listing of securities on the exchange seeking approval provide reasonable protection to the public; and
(2) the governing constitution, bylaws, or regulations of the exchange require:
(A) an adequate examination into the affairs of the issuer of the securities to be listed on the exchange before permitting trading on the exchange;
(B) that the issuer of the securities, while the securities are listed on the exchange, shall periodically prepare, make public, and provide promptly to the exchange appropriate income, profit and loss, and other financial statements;
(C) that securities listed and traded on the exchange be restricted to securities of ascertained, sound asset or income value; and
(D) a reasonable surveillance of the exchange's members, including a requirement for periodical financial statements, a determination of the members' financial responsibility, and the right and obligation of the exchange's governing body to suspend or expel any member found:
(i) to be financially embarrassed or irresponsible; or
(ii) guilty of misconduct in the member's business dealings or of conduct prejudicial to the rights and interests of the member's customers.
Added by Acts 2019, 86th Leg., R.S., Ch. 491 (H.B. 4171), Sec. 1.01, eff. January 1, 2022.