H.R. 2623 – Reading Mode

IIB

111th CONGRESS

1st Session

H. R. 2623

IN THE SENATE OF THE UNITED STATES

July 30, 2009

Received; read twice and referred to the Committee on Banking, Housing, and Urban Affairs

AN ACT

To amend the Federal securities laws to clarify and expand the definition of certain persons under those laws.

Formerly associated persons

(a)

Member or employee of the municipal securities rulemaking board

Section 15B(c)(8) of the Securities Exchange Act of 1934 (15 U.S.C. 78o–4(c)(8)) is amended by striking any member or employee and inserting any person who is, or at the time of the alleged misconduct was, a member or employee.

(b)

Person associated with a government securities broker or dealer

Section 15C of the Securities Exchange Act of 1934 (15 U.S.C. 78o–5) is amended—

(1)

in subsection (c)(1)(C), by striking or seeking to become associated, and inserting seeking to become associated, or, at the time of the alleged misconduct, associated or seeking to become associated;

(2)

in subsection (c)(2)(A), by inserting , seeking to become associated, or, at the time of the alleged misconduct, associated or seeking to become associated after any person associated; and

(3)

in subsection (c)(2)(B), by inserting , seeking to become associated, or, at the time of the alleged misconduct, associated or seeking to become associated after any person associated.

(c)

Person associated with a member of a national securities exchange or registered securities association

Section 21(a)(1) of the Securities Exchange Act of 1934 (15 U.S.C. 78u(a)(1)) is amended by inserting , or, as to any act or practice, or omission to act, while associated with a member, formerly associated after member or a person associated.

(d)

Participant of a registered clearing agency

Section 21(a)(1) of the Securities Exchange Act of 1934 (15 U.S.C. 78u(a)(1)) is amended by inserting or, as to any act or practice, or omission to act, while a participant, was a participant, after in which such person is a participant,.

(e)

Officer or director of a self-regulatory organization

Section 19(h)(4) of the Securities Exchange Act of 1934 (15 U.S.C. 78s(h)(4)) is amended—

(1)

by striking any officer or director and inserting any person who is, or at the time of the alleged misconduct was, an officer or director; and

(2)

by striking such officer or director and inserting such person.

(f)

Officer or director of an investment company

Section 36(a) of the Investment Company Act of 1940 (15 U.S.C. 80a–35(a)) is amended—

(1)

by striking a person serving or acting and inserting a person who is, or at the time of the alleged misconduct was, serving or acting; and

(2)

by striking such person so serves or acts and inserting such person so serves or acts, or at the time of the alleged misconduct, so served or acted.

Passed the House of Representatives July 29, 2009.

Lorraine C. Miller,

Clerk.