SB1536 creates a new state-law framework aimed at investigating and penalizing entities that allegedly use fraudulent charitable solicitations to benefit foreign terrorist organizations. It defines key terms such as “entity,” “foreign terrorist organization,” “material support or resources,” and “Muslim Brotherhood,” and authorizes the Attorney General to use existing civil investigative powers, including civil investigative demands, subpoenas, forensic accounting, data analytics, and open-source intelligence, when there is reasonable cause to suspect illicit activity. The bill also directs the Attorney General to establish internal guidelines for these investigations and requires district attorneys to collaborate when appropriate on related criminal matters.
If the Attorney General concludes that an entity knowingly provided material support to a foreign terrorist organization, encouraged violence, or engaged in fraudulent solicitation or misrepresentation, the bill requires notice to the Governor and public designation of the entity as a “Designated Terrorist Support Entity.” The Attorney General may then seek injunctive relief, restitution, and civil penalties under consumer fraud statutes. After a final judicial determination, the designated entity would be barred from receiving state funds, and state agencies, universities, community colleges, and school districts would be prohibited from knowingly providing grants, contracts, loans, tax credits, tax exemptions, or other financial benefits to that entity, subject to exceptions for compliance with federal law or court orders and for protected expressive activity.
The bill also requires an annual public report from the Attorney General to the Governor and Legislature summarizing investigations, designations, court actions, and recovered or prevented funds. In addition, the Department of Public Safety must develop a training module for peace officers on foreign terrorist organizations, including Muslim Brotherhood networks, and how such groups allegedly exploit charitable privileges; all certified peace officers and reserve officers would have to complete the training at least once every three years. The measure includes appropriations of $1 million to the Attorney General’s office and $250,000 to the Governor’s office, and it is drafted as an emergency measure with an effective date of July 1, 2026.
The bill’s impact on state law would be substantial in the areas of consumer protection, charitable solicitation oversight, state contracting and funding eligibility, and law-enforcement training. It would expand the Attorney General’s authority to investigate and publicly designate certain organizations, create a new state-level funding prohibition tied to that designation, and impose new reporting and training obligations on state agencies and peace officers. It also appears to create a new statutory mechanism for coordinating civil and criminal responses to alleged support for foreign terrorist organizations.
Because there are no committee transcripts or recorded votes provided, the available context does not show formal debate or a measured vote history. Based on the bill text alone, the measure appears to be framed as a public-safety and anti-fraud initiative, but it also contains politically and legally sensitive references to the Muslim Brotherhood and to charitable organizations, which are likely to be the main sources of controversy. The most notable points of contention are likely to be the breadth of the Attorney General’s investigative authority, the use of a state designation that can cut off funding, and concerns about First Amendment protections, due process, and whether the bill could affect legitimate charities or advocacy groups.
SB1536 would add a new section to Title 74 of the Oklahoma Statutes authorizing the Attorney General to investigate entities suspected of fraudulent charitable solicitation, material support for foreign terrorist organizations, or related misrepresentation, and to coordinate with district attorneys in appropriate cases. It would also create a state-level designation process for “Designated Terrorist Support Entities,” require notice to the Governor and state agencies, and bar such entities from receiving state funds or other state financial benefits after a final judicial determination. The bill further mandates annual reporting and law-enforcement training, and appropriates funds to the Attorney General and Governor to implement the new duties.
No committee transcript or vote record is provided, so there is no documented floor or committee sentiment to summarize. From the bill text, the measure is presented in a strongly security-focused and anti-fraud posture, suggesting support from sponsors and proponents who view it as a tool to prevent terrorist financing and deceptive charity practices. At the same time, the inclusion of broad investigative powers and references to the Muslim Brotherhood suggests the bill is likely to draw scrutiny from civil-liberties advocates, charitable organizations, and others concerned about overreach.
The main points of contention are likely to be the scope of the Attorney General’s authority, the evidentiary threshold for investigations and designation, and the potential for the bill to affect legitimate charitable, religious, or advocacy organizations. Critics may question the bill’s reference to the Muslim Brotherhood, the use of open-source intelligence and other advanced investigative tools, and the possibility that a state designation could chill protected speech or association. Supporters are likely to emphasize consumer protection, anti-terror financing, and the need to prevent state funds from reaching entities tied to violence or foreign extremist networks.