Texas bank leaders testify at financial crimes hearing

The Senate Criminal Justice Committee heard testimony on the financial crimes interim study charge championed by the Texas Bankers Association. Ray Vitulli, from Houston-based Stellar Bank and Chairman of TBA’s Regional Bankers Council; Hazel Davis, from San Antonio-based Jefferson Bank and Chair of TBA’s Texas Bankers Foundation; Twana Billeaudeau, from The Bank and Trust in Del Rio and past Chair of TBA Services Company, Inc., provided first-hand community banker testimony on how financial fraud is impacting the banking industry.

These three bankers did a fantastic job explaining to Senators the extent of fraud facing our banks and the tools and resources banks are using to combat the problem as best they can. They also emphasized the need for enhanced penalties, more prosecution, and increased support for the Financial Crimes Intelligence Center (FCIC) to aid with these crimes. Increasing the repercussions for the criminals perpetrating these crimes is key to stemming the wave of fraud that has hit our great state. As Davis testified, “We want to make sure Texas is open for business, not for crime.”

The Committee also heard testimony from Texas Department of Banking Commissioner Charles Cooper on the impact of this crime on community banks. Commissioner Cooper explained what a SAR is and when it must be filed and then shared the startling fact that check, ACH, credit/debit and wire fraud have increased by 43% since 2022.