S.Amdt. 3994

SA 3994. Mr. SPECTER submitted an amendment intended to be proposed
to amendment SA 3739 proposed by Mr. Reid (for Mr. Dodd (for himself
and Mrs. Lincoln)) to the bill S. 3217, to promote the financial
stability of the United States by improving accountability and
transparency in the financial system, to end ``too big to fail'', to
protect the American taxpayer by ending bailouts, to protect consumers
from abusive financial services practices, and for other purposes;
which was ordered to lie on the table; as follows:

On page 1004, line 11, strike the period at the end and
insert the following: ``.

SEC. 929D. PRIVATE CIVIL ACTION FOR AIDING AND ABETTING.

Section 20(e) of the Securities Exchange Act of 1934 (15
U.S.C. 78t(e)) is amended--
(1) in the subsection heading, by striking ``Prosecution
of'' and inserting ``Actions Against'';
(2) by striking ``For purposes'' and inserting the
following:
``(1) Actions brought by commission.--For purposes''; and
(3) by adding at the end the following:
``(2) Private civil actions.--For purposes of any private
civil action implied under this title, any person that
knowingly provides substantial assistance to another person
in violation of this title, or of any rule or regulation
issued under this title, shall be deemed to be in violation
of this title to the same extent as the person to whom such
assistance is provided. For purposes of this paragraph, a
person acts knowingly only if the person has actual knowledge
of the improper conduct underlying the violation described in
the preceding sentence and the role of the person in
assisting such conduct.''.
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