The bill, S.B. No. 3041, aims to increase the criminal penalties for insider trading and the misuse of official information in Texas. It amends Section 39.06 of the Penal Code by modifying Subsection (e) and adding a new Subsection (g). Under the new provisions, if an offense results in a net pecuniary gain, the penalties are tiered based on the amount gained: a third-degree felony for gains under $150,000, a second-degree felony for gains between $150,000 and $300,000, and a first-degree felony for gains of $300,000 or more. Additionally, Subsection (f) is repealed, which previously defined the offense as a third-degree felony without the tiered penalties.

The changes in law will only apply to offenses committed on or after the effective date of the Act, which is set for September 1, 2025. Offenses occurring before this date will be governed by the previous law, ensuring that any elements of an offense that took place prior to the effective date are treated under the former legal framework.

Statutes affected:
Introduced: Penal Code 39.06 (Penal Code 39)