I 

118TH CONGRESS 

2D SESSION H. R. 8933 

To amend the Securities Act of 1933 to require covered issuers to carry 

out a racial equity audit every 2 years, to require atonement for the 

descendants of enslaved persons, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

JULY 5, 2024 

Mr. GREEN of Texas (for himself, Mrs. BEATTY, Ms. CLARKE of New York, 

Ms. TLAIB, Ms. GARCIA of Texas, Mr. JACKSON of Illinois, Ms. LEE of 

California, Ms. JACKSON LEE, Mr. EVANS, and Ms. SCHAKOWSKY) introduced the following bill; which was referred to the Committee on Financial Services 

A BILL 

To amend the Securities Act of 1933 to require covered 

issuers to carry out a racial equity audit every 2 years, 

to require atonement for the descendants of enslaved 

persons, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Original Securities and 

5 Exchange Atonement Act of 2024’’. 


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1 SEC. 2. RACIAL EQUITY AUDIT. 

2 (a) IN GENERAL.—The Securities Act of 1933 is 

3 amended by inserting after section 4A (15 U.S.C. 77d– 

4 1) the following: 

5 ‘‘SEC. 4B. RACIAL EQUITY AUDIT. 

6 ‘‘(a) IN GENERAL.—Not later than the end of the 

7 6-month period beginning on the date of enactment of this 

8 section, and every 2 years thereafter, each covered issuer 

9 shall— 

10 ‘‘(1) conduct an independent audit to assess 

11 within each line of business— 

12 ‘‘(A) the issuer’s policies and practices on 

13 civil rights, equity, diversity, and inclusion; 

14 ‘‘(B) how such policies and practices affect 

15 the issuer’s business; and 

16 ‘‘(C) whether the issuer, any predecessor 

17 institution of the issuer, or any affiliate of the 

18 issuer had direct or indirect ties to or profited 

19 from the institution of slavery; 

20 ‘‘(2) issue a report to the Commission con21 taining— 

22 ‘‘(A) in the case of— 

23 ‘‘(i) the initial report or any subse24 quent report for which the covered issuer 

25 determines material changes have occurred 

26 since the previous report, all findings and 


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1 determinations made in carrying out the 

2 assessments required under paragraph (1); 

3 or 

4 ‘‘(ii) a subsequent report for which 

5 the covered issuer determines no material 

6 changes have occurred since the previous 

7 report, an attestation that no material 

8 changes were found under the assessments 

9 required under paragraph (1); 

10 ‘‘(B) to the extent the issuer identifies ties 

11 to or profits from the institution of slavery, a 

12 disclosure of the steps the issuer has taken to 

13 reconcile such ties or profits; and 

14 ‘‘(C) to the extent the issuer identifies ties 

15 to or profits from the institution of slavery and 

16 has not taken steps to reconcile such ties or 

17 profits, a disclosure of the steps to reconcile 

18 such ties or profits the issuer plans to take, 

19 which may include— 

20 ‘‘(i) startup capital and funded sav21 ings programs in low to moderate income 

22 communities for low to moderate income 

23 individuals residing in such communities; 


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1 ‘‘(ii) grants or contributions to his2 torically black colleges and universities; 

3 and 

4 ‘‘(iii) grants or contributions to his5 torically black organizations exempt from 

6 taxation as described in paragraph (3) or 

7 (4) section 501(c) of the Internal Revenue 

8 Code of 1986 and exempt from taxation 

9 under section 501(a) of such Code; and 

10 ‘‘(3) make the report described under para11 graph (2) available to the public, including on a 

12 website of the issuer and a website of the Commis13 sion. 

14 ‘‘(b) FAILURE TO ISSUE REPORT.— 

15 ‘‘(1) ENFORCEMENT BY COMMISSION.— 

16 ‘‘(A) COVERED ISSUER FINES.—Any cov17 ered issuer that fails to issue a report required 

18 under subsection (a)(2), or that reports false, 

19 misleading, or inaccurate information in such a 

20 report, shall be fined by the Commission in an 

21 amount of $20,000 per day until the report is 

22 issued, or until the report is corrected to not be 

23 false, misleading, or inaccurate, as applicable. 

24 ‘‘(B) EMPLOYEE FINES.—Any employee or 

25 officer of a covered issuer who intentionally 


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1 fails to issue a report required under subsection 

2 (a)(2) or that reports false, misleading, or inac3 curate information in such report, shall be fined 

4 by the Commission in an amount of $2,000 per 

5 day until the report is issued, or until the re6 port is corrected to not be false, misleading, or 

7 inaccurate, as applicable. 

8 ‘‘(C) TRANSFER OF AMOUNTS.—The Com9 mission shall transfer— 

10 ‘‘(i) 50 percent of the fines collected 

11 pursuant to subparagraphs (A) and (B) to 

12 the Secretary of the Treasury, and the 

13 Secretary of the Treasury shall, without 

14 further appropriation, use such funds to 

15 carry out the duties of the Office of Minor16 ity Low to Moderate Income Programs; 

17 and 

18 ‘‘(ii) 50 percent of the fines collected 

19 pursuant to subparagraphs (A) and (B) to 

20 the Secretary of Housing and Urban De21 velopment, and the Secretary of Housing 

22 and Urban Development shall, without fur23 ther appropriation, use such funds to carry 

24 out— 


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1 ‘‘(I) a program to provide hous2 ing counseling and homebuyer assist3 ance, including downpayments, closing 

4 costs, and interest rate buydowns, to 

5 first-time, first-generation minority 

6 low to moderate income homebuyers; 

7 ‘‘(II) eviction and foreclosure as8 sistance to minority low to moderate 

9 income renters and homebuyers; 

10 ‘‘(III) affordable housing produc11 tion under the Housing Trust Fund 

12 established under section 1338 of the 

13 Federal Housing Enterprises Finan14 cial Safety and Soundness act of 1992 

15 (12 U.S.C. 4568), including perma16 nent supportive housing for people ex17 periencing homelessness; 

18 ‘‘(IV) rental assistance to eligible 

19 low income households under the 

20 Housing Choice Voucher Program 

21 under section 8(o) of the United 

22 States Housing Act of 1937 (42 

23 U.S.C. 1437f(o)); and 

24 ‘‘(V) formula grants to partici25 pating jurisdictions to conduct Equity 


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1 Plans under the rule of the Secretary 

2 of Housing and Urban Development 

3 implementing the requirement under 

4 the Fair Housing Act (42 U.S.C. 

5 3601) to affirmatively further fair 

6 housing. 

7 ‘‘(2) PRIVATE RIGHT OF ACTION.—A person 

8 that holds the securities of a covered issuer and suf9 fers harm as a result of the failure of such covered 

10 issuer to issue a report required under subsection 

11 (a)(2), may bring an action against the covered 

12 issuer in the appropriate district court of the United 

13 States. 

14 ‘‘(3) WHISTLEBLOWER AWARDS.— 

15 ‘‘(A) IN GENERAL.—The Commission shall 

16 pay an award or awards to 1 or more individ17 uals who voluntarily provided original informa18 tion to the Commission that led to the success19 ful enforcement of the fines required under sub20 paragraph (A) or (B) of paragraph (1) in the 

21 case of the failure of a covered issuer to issue 

22 a report required under subsection (a)(2) or 

23 that reports false, misleading, or inaccurate in24 formation in such a report. 


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1 ‘‘(B) AMOUNT.—The amount of an award 

2 under subparagraph (A) shall— 

3 ‘‘(i) be established by the Commission 

4 by rule in an amount that the Commission 

5 determines is sufficient to create incentive 

6 for individuals to voluntarily provide origi7 nal information and deter noncompliance 

8 with subsection (a); and 

9 ‘‘(ii) not be less than $20,000. 

10 ‘‘(C) ORIGINAL INFORMATION DEFINED.— 

11 In this paragraph, the term ‘original informa12 tion’ means information that— 

13 ‘‘(i) is derived from the independent 

14 knowledge or analysis of an individual who 

15 voluntarily provides the information to the 

16 Commission; 

17 ‘‘(ii) is not known to the Commission 

18 from any other source, unless the whistle19 blower is the original source of the infor20 mation; and 

21 ‘‘(iii) is not exclusively derived from 

22 an allegation made in a judicial or admin23 istrative hearing, in a governmental report, 

24 hearing, audit, or investigation, or from 


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1 the news media, unless the whistleblower is 

2 a source of the information. 

3 ‘‘(c) DEFINITIONS.—In this section: 

4 ‘‘(1) AREA MEDIAN INCOME.—With respect to 

5 an individual, the term ‘area median income’ means 

6 the median income for the area in which the indi7 vidual lives, as determined by the Secretary of Hous8 ing and Urban Development for purposes of the 

9 United States Housing Act of 1937 (42 U.S.C. 1437 

10 et seq.). 

11 ‘‘(2) COVERED ISSUER.—The term ‘covered 

12 issuer’ means an issuer that— 

13 ‘‘(A) makes use of the mails or any means 

14 or instrumentality of interstate commerce; and 

15 ‘‘(B) has— 

16 ‘‘(i) more than 100 employees; or 

17 ‘‘(ii) a capitalization of greater than 

18 or equal to $300,000,000. 

19 ‘‘(3) LOW TO MODERATE INCOME.—With re20 spect to an individual, the term ‘low to moderate in21 come’ means the individual has earnings of less than 

22 80 percent of the area median income. 

23 ‘‘(4) MINORITY.—The term ‘minority’ means 

24 racial and ethnic populations that are underrepVerDate Sep 11 2014 01:00 Aug 10, 2024 Jkt 049200 PO 00000 Frm 00009 Fmt 6652 Sfmt 6201 E:\BILLS\H8933.IH H8933

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1 resented in the general population relative to the 

2 number of persons in the total population. 

3 ‘‘(5) RECONCILE.—The term ‘reconcile’ means 

4 to account for and balance in an equitable manner.’’. 

5 (b) OFFICE OF MINORITY LOW TO MODERATE IN6 COME PROGRAMS.—Chapter 3 of title 31, United States 

7 Code, is amended— 

8 (1) in subchapter I, by adding at the end the 

9 following: 

10 ‘‘§ 317. Office of Minority Low to Moderate Income 

11 Programs 

12 ‘‘(a) ESTABLISHMENT.—There is established, within 

13 the Department of the Treasury, an Office of Minority 

14 Low to Moderate Income Programs. 

15 ‘‘(b) DUTIES.—The Office of Minority Low to Mod16 erate Income Programs shall provide grants for— 

17 ‘‘(1) startup capital and funded savings pro18 grams in low to moderate income minority commu19 nities for low to moderate income minority individ20 uals residing in such communities; and 

21 ‘‘(2) such other programs determined appro22 priate by the Secretary in furtherance of atonement 

23 for descendants of enslaved persons. 

24 ‘‘(c) FUNDING.— 


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1 ‘‘(1) AUTHORIZATION OF APPROPRIATIONS.— 

2 There is authorized to be appropriated to the Sec3 retary of the Treasury $3,000,000,000 to carry out 

4 this section. 

5 ‘‘(2) ADMINISTRATIVE COSTS.—The Secretary 

6 of the Treasury may use 2 percent of amounts ap7 propriated to carry out this section for administra8 tive expenses related to carrying out the duties of 

9 the Office of Minority Low to Moderate Income Pro10 grams. 

11 ‘‘(d) DEFINITIONS.—In this section: 

12 ‘‘(1) AREA MEDIAN INCOME.—With respect to a 

13 community, the term ‘area median income’ means 

14 the median income for the area in which the commu15 nity is located, as determined by the Secretary of 

16 Housing and Urban Development for purposes of 

17 the United States Housing Act of 1937 (42 U.S.C. 

18 1437 et seq.). 

19 ‘‘(2) LOW TO MODERATE INCOME COMMU20 NITY.—The term ‘low to moderate income commu21 nity’ means a census tract in which 51 percent or 

22 more of the households located in the census tract 

23 earn less than 80 percent of the area median in24 come.’’; and 


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1 (2) in the table of contents for such chapter, by 

2 inserting after the item relating to section 316 the 

3 following: 

‘‘317. Office of Minority Low to Moderate Income Programs.’’. 

Æ 


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