Untitled Texas Attorney General Opinion

THE!AATTORNEYGICNERAI,
OF TEXAS
AURTIN. TEXAB 78711
November 29, 1974
The Honorable Joe Resweber Opinion No. H- 460
County Attorney
Harris County Courthouse Re: Inclusion of minors’
Houston, Texas 77002 trust funds invested in
savings institutions pur-
suant to court order in
the annual independent
Dear Mr. Resweber: audit of county funds.
You have requested an opinion as to whether minors’ trust funds
which have been invested in various sayings institutions pursuant to
district court orders under Article 1994, V. T. C. S., should be included
in the annual independent audit of county funds which is conducted pur-
suant to Article 1641d, V. T. C. S. We answer your question affirmatively.
The funds in question are those received upon collection of a judgment
in favor of a minor represented in district court by a “next friend. ” These
funds are placed in the Registry of the Court account which is kept pur-
suant to Article 2558a, V. T. C. S. After the initial deposit of the funds
in this account, the judge often orders the funds to be invested pursuant
to Article 1994, V. T. C. S. :
Minors, lunatics, idiots or non compos mentis
persons who have no legal guardian may sue and
be represented by ‘next friend’ under the following
rule 5:
. . .
2. The judge of the court in which the judgment
is rendered upon an application and hearing. in
termtime or vacation, may provide by decree for
an investment of the funds accruing under such judg-
ment. Such decree, if made in vacation, shall be
recorded in the minutes of the succeeding term of
the court.
p. 2112
The Honorable Joe Resweber, page 2 (H-460)
The records of the judgment, the initial deposit and the subsequent
investment should be kept by the District Clerk as provided under
Articles 1899, 2558a and 1994, V. T. C.S.
The records described above are included within the scope of the
audit requirement established by section 1 of Article 1641d. V. T. C. S.
In every county in the State of Texas having a
population of 350,000 inhabitants or more, according
to the last preceding Federal Census, an annual
independent audit shall be made of all books, records,
and accounts of the district, county, and precinct
officers, agents or employees, including regular
auditors of the counties and all governmental units
of the county hospitals, farms, and other institu-
tions of the county, and all matters pertaining to
the fiscal affairs of the county.
Since the District Clerk is a county officer under Article 3912d. V. T. C. S.,
his books, records and accounts are subject to the auditing requirement
of Article 1641d, V. T. C. S. --See also Attorney General Opinion WW-763
(1960). Thus the minors’ trust funds which are represented in the records
of the District Clerk must be audited to verify the accuracy of the records.
SUMMARY
Minors’ trust funds which have been invested
pursuant to district court orders under Article 1994,
V.T.C.S.. should be included in the annual independ-
ent audit of county funds conducted under Article 1641d.
V. T. C. S.
Very truly yours,
Attorney General of Texas
po 2113
The Honorable Joe Resweber, page 3 (H-460)
APPROVED:
DAVID M. KENDALL, Chairman
Opinion Co-ittee
p. 2114