Summary:

 House Bill 62 (HB 62) creates a uniform investigative demand procedure and amends and repeals current sections of law that reference an investigative demand procedure.  

Legislation Overview:

 House Bill 62 (HB 62) enacts a new section of law that provides a standard procedure the attorney general must follow in serving a person a civil investigative demand.  In doing so, the bill then amends and repeals current sections of law that reference an investigative demand procedure. An attorney general may serve a written “civil investigative demand” on a person before initiating a civil (not criminal) proceeding.  This requires the person to answer questions under oath or produce documents or objects for inspection and copying.     
HB 62 requires that each CID state the general subject matter of the investigation, describe the classes of material to be produced, give a deadline for producing the material (no earlier than ten days after date of service), and identify the member of the attorney general’s staff to send the material.  The bill provides that a CID is not a matter of public record.  
The bill provides the procedure for serving the CID on the person, such as in-person, to the business, or by registered or certified mail.  Before the deadline to return the demand, a person may file a petition in district court in Santa Fe to set aside or modify the demand, or extend the return date.  If a person does not comply with a demand, the attorney general may ask the court to enforce the demand, and the court can require a person to appear and produce the requested material, and may punish the person for contempt. 
HB 62 provides that a CID cannot: contain a requirement that would be unreasonable or improper if contained in court-issued subpoena issued by a court or require the disclosure of testimony or material that is privileged or otherwise not be required in a court-issued subpoena.  The bill also requires that documentary material requested of a person must be produced for inspection and copying during normal business hours at the main office of the person served, or at other times and places as agreed upon.  
Only authorized employees of the attorney general can handle information received from the CID unless ordered by a court or upon agreement between the parties.  The contents of documentary material or answers cannot be disclosed to anyone other than the attorney general office, authorized employees of any state or federal law enforcement agency or in a court in an action relating to a violation of state law. 
The bill removes the current civil investigative demand procedures in the following sections to conform to the new CID procedure: Section 6-4-22 (Tobacco Escrow Fund), Section 6-27-9 (Affordable Housing Act violations); Section 57-22-9.1 (Charitable Solicitations Act).  
HB 62 repeals five sections of law to conform with the bill’s standard civil investigative demand procedure: Sections 47-6-25.1 (civil investigative demand for alleged violation of New Mexico Subdivision Act), 57-1-5 (civil investigative demand for alleged violation of Antitrust Act), 57-12-12 (civil investigative demand for alleged violation of Unfair Practices Act), 57-13-9 (civil investigative demand for alleged violation of Pyramid Promotional Schemes Act), and 57-15-6 (civil investigative demand for alleged false advertising).   

Amendments:

 On February 19, 2025, the House Government, Elections and Indian Affairs Committee amendment made four changes to HB 62: 
•	Requires the attorney general to have a court approve a civil investigative demand before serving it on a person. The attorney general must apply to the district court in Santa Fe for approval to issue the demand, which will be approved if there is a basis for the demand and reason to believe the person has information, documents or objects relevant to the investigation.  Then, the attorney general can serve the demand on a person.  Court approval to issue this demand extends to all demands to the person within the scope of the same investigation. 
•	Adds that the following are not public records and cannot be published by the attorney general except by court order: all court records, including dockets, applications, petitions, motions and other papers filed pursuant to the civil investigative demand.  
•	Increases the time to respond to a civil investigative demand, from ten to fifteen days.
•	Clarifies that a demand cannot require the disclosure of material that would be privileged (not just testimony or documentary material).