Okla. Stat. tit. 70, § 70-4306

related foundation funds.

A. All state higher educational institutions, constituent

agencies or other entities are hereby authorized to accept and

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receive any and all grants or contracts of all kinds, gifts, devises

and bequests of money or property, either real or personal, which

may be, or which may heretofore have been tendered to them by grant

or contract, will or gift, conditionally or unconditionally; and the

Board of Regents of said institutions, constituent agencies or other

entities are hereby directed, authorized and empowered to hold such

funds or property in trust, or invest or sell them and use either

principal or interest or the proceeds of sale for the benefit of

such institutions or entities or the students or others for whose

benefit such institutions or entities are conducted; all in any

manner which is consistent with the terms of the gift as stipulated

by the donor and with the provisions of any applicable laws. Money

donated to a college- or university-related foundation for student

scholarships or grants to students of an institution of The Oklahoma

State System of Higher Education shall not be loaned or given to any

regent, officer, director, or employee of such foundation or

institution or to any relative of such person within the third

degree of affinity or consanguinity. The following, however, shall

not be prohibited:

1. Students in the employ of such foundation or institution may

be given scholarships; and

2. Scholarships may be awarded to an otherwise disqualified

relative of any faculty member, staff employee, foundation or

institution officer or maintenance worker of such foundation or

institution if such relative is meritoriously qualified.

B. Any person willfully violating the prohibitions of

subsection A of this section shall be guilty of a Class D1 felony

offense punishable by imprisonment as provided for in subsections B

through F of Section 20N of Title 21 of the Oklahoma Statutes, or by

a fine of not more than Twenty Thousand Dollars ($20,000.00), or by

both such fine and imprisonment. Any person found guilty of said

violations shall also be subject to immediate removal from office or

employment where applicable.

C. The Oklahoma State Regents for Higher Education, any

institution or agency of The Oklahoma State System of Higher

Education or the regents or governing board of such institution or

agency shall not directly or indirectly transfer any funds to any

college- or university-related foundation or render services or

provide any thing of value to any such foundation without receiving

documented adequate payment or reimbursement therefor according to

written contract; provided, nothing herein shall be construed as

prohibiting payment by the institution or agency of claims for

expenses of fund raising for the benefit of the institution or

agency by state employees if such fund raising activities are

approved in advance by the governing board of regents responsible

for such institution or agency and made a part of the minutes of the

meeting of the board.

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D. Neither the Oklahoma State Regents for Higher Education nor

any institution or agency of The Oklahoma State System of Higher

Education shall receive any funds, services, or thing of value from

any college- or university-related foundation which has any officers

or employees who are officers or employees of any institution or

agency of the State System or State Regents unless such foundation

makes all its financial records and documents, including work

papers, except for names of donors, available to auditors who are

performing audits of the institution or agency.