II 

112TH CONGRESS 

2D SESSION S. 3416 

To enhance civil penalties under the Federal securities laws, and for other 

purposes. 

IN THE SENATE OF THE UNITED STATES 

JULY 23, 2012 

Mr. REED (for himself and Mr. GRASSLEY) introduced the following bill; 

which was read twice and referred to the Committee on Banking, Housing, and Urban Affairs 

A BILL 

To enhance civil penalties under the Federal securities laws, 

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 ‘‘Stronger Enforcement 

5 of Civil Penalties Act of 2012’’. 

6 SEC. 2. UPDATED CIVIL MONEY PENALTIES FOR SECURI7 TIES LAWS VIOLATIONS. 

8 (a) SECURITIES ACT OF 1933.— 


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1 (1) MONEY PENALTIES IN ADMINISTRATIVE AC2 TIONS.—Section 8A(g)(2) of the Securities Act of 

3 1933 (15 U.S.C. 77h–1(g)(2)) is amended— 

4 (A) in subparagraph (A)— 

5 (i) by striking ‘‘$7,500’’ and inserting 

6 ‘‘$10,000’’; and 

7 (ii) by striking ‘‘$75,000’’ and insert8 ing ‘‘$100,000’’; 

9 (B) in subparagraph (B)— 

10 (i) by striking ‘‘$75,000’’ and insert11 ing ‘‘$100,000’’; and 

12 (ii) by striking ‘‘$375,000’’ and in13 serting ‘‘$500,000’’; and 

14 (C) by amending subparagraph (C) to read 

15 as follows: 

16 ‘‘(C) THIRD TIER.—Notwithstanding sub17 paragraphs (A) and (B), the amount of penalty 

18 for each such act or omission shall not exceed 

19 the greater of— 

20 ‘‘(i) $1,000,000 for a natural person 

21 or $10,000,000 for any other person; 

22 ‘‘(ii) 3 times the gross amount of pe23 cuniary gain to the person who committed 

24 the act or omission; or 


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1 ‘‘(iii) the amount of losses incurred by 

2 victims as a result of the act or omission, 

3 if— 

4 ‘‘(I) the act or omission described 

5 in paragraph (1) involved fraud, de6 ceit, manipulation, or deliberate or 

7 reckless disregard of a regulatory re8 quirement; and 

9 ‘‘(II) such act or omission di10 rectly or indirectly resulted in— 

11 ‘‘(aa) substantial losses or 

12 created a significant risk of sub13 stantial losses to other persons; 

14 or 

15 ‘‘(bb) substantial pecuniary 

16 gain to the person who com17 mitted the act or omission.’’. 

18 (2) MONEY PENALTIES IN CIVIL ACTIONS.— 

19 Section 20(d)(2) of the Securities Act of 1933 (15 

20 U.S.C. 77t(d)(2)) is amended— 

21 (A) in subparagraph (A)— 

22 (i) by striking ‘‘$5,000’’ and inserting 

23 ‘‘$10,000’’; and 

24 (ii) by striking ‘‘$50,000’’ and insert25 ing ‘‘$100,000’’; 


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1 (B) in subparagraph (B)— 

2 (i) by striking ‘‘$50,000’’ and insert3 ing ‘‘$100,000’’; and 

4 (ii) by striking ‘‘$250,000’’ and in5 serting ‘‘$500,000’’; and 

6 (C) in subparagraph (C), by striking 

7 ‘‘greater of (i) $100,000 for a natural person or 

8 $500,000 for any other person, or (ii) the gross 

9 amount of pecuniary gain to such defendant as 

10 a result of the violation’’ and inserting the fol11 lowing: ‘‘greater of— 

12 ‘‘(i) $1,000,000 for a natural person 

13 or $10,000,000 for any other person; 

14 ‘‘(ii) 3 times the gross amount of pe15 cuniary gain to such defendant as a result 

16 of the violation; or 

17 ‘‘(iii) the amount of losses incurred by 

18 victims as a result of the violation’’. 

19 (b) SECURITIES EXCHANGE ACT OF 1934.— 

20 (1) MONEY PENALTIES IN CIVIL ACTIONS.— 

21 Section 21(d)(3)(B) of the Securities Exchange Act 

22 of 1934 (15 U.S.C. 78u(d)(3)(B)) is amended— 

23 (A) in clause (i)— 

24 (i) by striking ‘‘$5,000’’ and inserting 

25 ‘‘$10,000’’; and 


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1 (ii) by striking ‘‘$50,000’’ and insert2 ing ‘‘$100,000’’; 

3 (B) in clause (ii)— 

4 (i) by striking ‘‘$50,000’’ and insert5 ing ‘‘$100,000’’; and 

6 (ii) by striking ‘‘$250,000’’ and in7 serting ‘‘$500,000’’; and 

8 (C) in clause (iii), by striking ‘‘greater of 

9 (I) $100,000 for a natural person or $500,000 

10 for any other person, or (II) the gross amount 

11 of pecuniary gain to such defendant as a result 

12 of the violation’’ and inserting the following: 

13 ‘‘greater of— 

14 ‘‘(I) $1,000,000 for a natural 

15 person or $10,000,000 for any other 

16 person; 

17 ‘‘(II) 3 times the gross amount of 

18 pecuniary gain to such defendant as a 

19 result of the violation; or 

20 ‘‘(III) the amount of losses in21 curred by victims as a result of the 

22 violation’’. 

23 (2) MONEY PENALTIES IN ADMINISTRATIVE AC24 TIONS.—Section 21B(b) of the Securities Exchange 

25 Act of 1934 (15 U.S.C. 78u–2(b)) is amended— 


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1 (A) in paragraph (1)— 

2 (i) by striking ‘‘$5,000’’ and inserting 

3 ‘‘$10,000’’; and 

4 (ii) by striking ‘‘$50,000’’ and insert5 ing ‘‘$100,000’’; 

6 (B) in paragraph (2)— 

7 (i) by striking ‘‘$50,000’’ and insert8 ing ‘‘$100,000’’; and 

9 (ii) by striking ‘‘$250,000’’ and in10 serting ‘‘$500,000’’; and 

11 (C) by amending paragraph (3) to read as 

12 follows: 

13 ‘‘(3) THIRD TIER.—Notwithstanding para14 graphs (1) and (2), the amount of penalty for each 

15 such act or omission shall not exceed the greater 

16 of— 

17 ‘‘(A) $1,000,000 for a natural person or 

18 $10,000,000 for any other person; 

19 ‘‘(B) 3 times the gross amount of pecu20 niary gain to the person who committed the act 

21 or omission; or 

22 ‘‘(C) the amount of losses incurred by vic23 tims as a result of the act or omission, if— 

24 ‘‘(i) the act or omission described in 

25 subsection (a) involved fraud, deceit, maVerDate Mar 15 2010 23:39 Jul 23, 2012 Jkt 019200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6201 E:\BILLS\S3416.IS S3416

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1 nipulation, or deliberate or reckless dis2 regard of a regulatory requirement; and 

3 ‘‘(ii) such act or omission directly or 

4 indirectly resulted in substantial losses or 

5 created a significant risk of substantial 

6 losses to other persons or resulted in sub7 stantial pecuniary gain to the person who 

8 committed the act or omission.’’. 

9 (c) INVESTMENT COMPANY ACT OF 1940.— 

10 (1) MONEY PENALTIES IN ADMINISTRATIVE AC11 TIONS.—Section 9(d)(2) of the Investment Company 

12 Act of 1940 (15 U.S.C. 80a–9(d)(2)) is amended— 

13 (A) in subparagraph (A)— 

14 (i) by striking ‘‘$5,000’’ and inserting 

15 ‘‘$10,000’’; and 

16 (ii) by striking ‘‘$50,000’’ and insert17 ing ‘‘$100,000’’; 

18 (B) in subparagraph (B)— 

19 (i) by striking ‘‘$50,000’’ and insert20 ing ‘‘$100,000’’; and 

21 (ii) by striking ‘‘$250,000’’ and in22 serting ‘‘$500,000’’; and 

23 (C) by amending subparagraph (C) to read 

24 as follows: 


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1 ‘‘(C) THIRD TIER.—Notwithstanding sub2 paragraphs (A) and (B), the amount of penalty 

3 for each such act or omission shall not exceed 

4 the greater of— 

5 ‘‘(i) $1,000,000 for a natural person 

6 or $10,000,000 for any other person; 

7 ‘‘(ii) 3 times the gross amount of pe8 cuniary gain to the person who committed 

9 the act or omission; or 

10 ‘‘(iii) the amount of losses incurred by 

11 victims as a result of the act or omission, 

12 if— 

13 ‘‘(I) the act or omission described 

14 in paragraph (1) involved fraud, de15 ceit, manipulation, or deliberate or 

16 reckless disregard of a regulatory re17 quirement; and 

18 ‘‘(II) such act or omission di19 rectly or indirectly resulted in sub20 stantial losses or created a significant 

21 risk of substantial losses to other per22 sons or resulted in substantial pecu23 niary gain to the person who com24 mitted the act or omission.’’. 


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1 (2) MONEY PENALTIES IN CIVIL ACTIONS.— 

2 Section 42(e)(2) of the Investment Company Act of 

3 1940 (15 U.S.C. 80a–41(e)(2)) is amended— 

4 (A) in subparagraph (A)— 

5 (i) by striking ‘‘$5,000’’ and inserting 

6 ‘‘$10,000’’; and 

7 (ii) by striking ‘‘$50,000’’ and insert8 ing ‘‘$100,000’’; 

9 (B) in subparagraph (B)— 

10 (i) by striking ‘‘$50,000’’ and insert11 ing ‘‘$100,000’’; and 

12 (ii) by striking ‘‘$250,000’’ and in13 serting ‘‘$500,000’’; and 

14 (C) in subparagraph (C), by striking 

15 ‘‘greater of (i) $100,000 for a natural person or 

16 $500,000 for any other person, or (ii) the gross 

17 amount of pecuniary gain to such defendant as 

18 a result of the violation’’ and inserting the fol19 lowing: ‘‘greater of— 

20 ‘‘(i) $1,000,000 for a natural person 

21 or $10,000,000 for any other person; 

22 ‘‘(ii) 3 times the gross amount of pe23 cuniary gain to such defendant as a result 

24 of the violation; or 


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1 ‘‘(iii) the amount of losses incurred by 

2 victims as a result of the violation’’. 

3 (d) INVESTMENT ADVISERS ACT OF 1940.— 

4 (1) MONEY PENALTIES IN ADMINISTRATIVE AC5 TIONS.—Section 203(i)(2) of the Investment Advis6 ers Act of 1940 (15 U.S.C. 80b–3(i)(2)) is amend7 ed— 

8 (A) in subparagraph (A)— 

9 (i) by striking ‘‘$5,000’’ and inserting 

10 ‘‘$10,000’’; and 

11 (ii) by striking ‘‘$50,000’’ and insert12 ing ‘‘$100,000’’; 

13 (B) in subparagraph (B)— 

14 (i) by striking ‘‘$50,000’’ and insert15 ing ‘‘$100,000’’; and 

16 (ii) by striking ‘‘$250,000’’ and in17 serting ‘‘$500,000’’; and 

18 (C) by amending subparagraph (C) to read 

19 as follows: 

20 ‘‘(C) THIRD TIER.—Notwithstanding sub21 paragraphs (A) and (B), the amount of penalty 

22 for each such act or omission shall not exceed 

23 the greater of— 

24 ‘‘(i) $1,000,000 for a natural person 

25 or $10,000,000 for any other person; 


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1 ‘‘(ii) 3 times the gross amount of pe2 cuniary gain to the person who committed 

3 the act or omission; or 

4 ‘‘(iii) the amount of losses incurred by 

5 victims as a result of the act or omission, 

6 if— 

7 ‘‘(I) the act or omission described 

8 in paragraph (1) involved fraud, de9 ceit, manipulation, or deliberate or 

10 reckless disregard of a regulatory re11 quirement; and 

12 ‘‘(II) such act or omission di13 rectly or indirectly resulted in sub14 stantial losses or created a significant 

15 risk of substantial losses to other per16 sons or resulted in substantial pecu17 niary gain to the person who com18 mitted the act or omission.’’. 

19 (2) MONEY PENALTIES IN CIVIL ACTIONS.— 

20 Section 209(e)(2) of the Investment Advisers Act of 

21 1940 (15 U.S.C. 80b–9(e)(2)) is amended— 

22 (A) in subparagraph (A)— 

23 (i) by striking ‘‘$5,000’’ and inserting 

24 ‘‘$10,000’’; and 


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1 (ii) by striking ‘‘$50,000’’ and insert2 ing ‘‘$100,000’’; 

3 (B) in subparagraph (B)— 

4 (i) by striking ‘‘$50,000’’ and insert5 ing ‘‘$100,000’’; and 

6 (ii) by striking ‘‘$250,000’’ and in7 serting ‘‘$500,000’’; and 

8 (C) in subparagraph (C), by striking 

9 ‘‘greater of (i) $100,000 for a natural person or 

10 $500,000 for any other person, or (ii) the gross 

11 amount of pecuniary gain to such defendant as 

12 a result of the violation’’ and inserting the fol13 lowing: ‘‘greater of— 

14 ‘‘(i) $1,000,000 for a natural person 

15 or $10,000,000 for any other person; 

16 ‘‘(ii) 3 times the gross amount of pe17 cuniary gain to such defendant as a result 

18 of the violation; or 

19 ‘‘(iii) the amount of losses incurred by 

20 victims as a result of the violation’’. 

21 SEC. 3. PENALTIES FOR RECIDIVISTS. 

22 (a) SECURITIES ACT OF 1933.— 

23 (1) CEASE-AND-DESIST PROCEEDINGS.—Section 

24 8A(g)(2) of the Securities Act of 1933 (15 U.S.C. 


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1 77h–1(g)(2)) is amended by adding at the end the 

2 following: 

3 ‘‘(D) FOURTH TIER.—Notwithstanding 

4 subparagraphs (A), (B), and (C), the maximum 

5 amount of penalty for each such act or omission 

6 shall be 3 times the otherwise applicable 

7 amount in such subparagraphs if, within the 5- 

8 year period preceding such act or omission, the 

9 person who committed the act or omission was 

10 criminally convicted for securities fraud or be11 came subject to a judgment or order imposing 

12 monetary, equitable, or administrative relief in 

13 any Commission action alleging fraud by that 

14 person.’’. 

15 (2) INJUNCTIONS AND PROSECUTION OF OF16 FENSES.—Section 20(d)(2) of the Securities Act of 

17 1933 (15 U.S.C. 77t(d)(2)) is amended by adding at 

18 the end the following: 

19 ‘‘(D) FOURTH TIER.—Notwithstanding 

20 subparagraphs (A), (B), and (C), the maximum 

21 amount of penalty for each such violation shall 

22 be 3 times the otherwise applicable amount in 

23 such subparagraphs if, within the 5-year period 

24 preceding such violation, the defendant was 

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1 came subject to a judgment or order imposing 

2 monetary, equitable, or administrative relief in 

3 any Commission action alleging fraud by that 

4 defendant.’’. 

5 (b) SECURITIES EXCHANGE ACT OF 1934.— 

6 (1) CIVIL ACTIONS.—Section 21(d)(3)(B) of the 

7 Securities Exchange Act of 1934 (15 U.S.C. 

8 78u(d)(3)(B)) is amended by adding at the end the 

9 following: 

10 ‘‘(iv) FOURTH TIER.—Notwith11 standing clauses (i), (ii), and (iii), the 

12 maximum amount of penalty for each such 

13 violation shall be 3 times the otherwise ap14 plicable amount in such clauses if, within 

15 the 5-year period preceding such violation, 

16 the defendant was criminally convicted for 

17 securities fraud or became subject to a 

18 judgment or order imposing monetary, eq19 uitable, or administrative relief in any 

20 Commission action alleging fraud by that 

21 defendant.’’. 

22 (2) ADMINISTRATIVE PROCEEDINGS.—Section 

23 21B(b) of the Securities Exchange Act of 1934 (15 

24 U.S.C. 78u–2(b)) is amended by adding at the end 

25 the following: 


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1 ‘‘(4) FOURTH TIER.—Notwithstanding para2 graphs (1), (2), and (3), the maximum amount of 

3 penalty for each such act or omission shall be 3 

4 times the otherwise applicable amount in such para5 graphs if, within the 5-year period preceding such 

6 act or omission, the person who committed the act 

7 or omission was criminally convicted for securities 

8 fraud or became subject to a judgment or order im9 posing monetary, equitable, or administrative relief 

10 in any Commission action alleging fraud by that per11 son.’’. 

12 (c) INVESTMENT COMPANY ACT OF 1940.— 

13 (1) INELIGIBILITY OF CERTAIN UNDERWRITERS

14 AND AFFILIATES.—Section 9(d)(2) of the Invest15 ment Company Act of 1940 (15 U.S.C. 80a–9(d)(2)) 

16 is amended by adding at the end the following: 

17 ‘‘(D) FOURTH TIER.—Notwithstanding 

18 subparagraphs (A), (B), and (C), the maximum 

19 amount of penalty for each such act or omission 

20 shall be 3 times the otherwise applicable 

21 amount in such subparagraphs if, within the 5- 

22 year period preceding such act or omission, the 

23 person who committed the act or omission was 

24 criminally convicted for securities fraud or be25 came subject to a judgment or order imposing 


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1 monetary, equitable, or administrative relief in 

2 any Commission action alleging fraud by that 

3 person.’’. 

4 (2) ENFORCEMENT.—Section 42(e)(2) of the 

5 Investment Company Act of 1940 (15 U.S.C. 80a– 

6 41(e)(2)) is amended by adding at the end the fol7 lowing: 

8 ‘‘(D) FOURTH TIER.—Notwithstanding 

9 subparagraphs (A), (B), and (C), the maximum 

10 amount of penalty for each such violation shall 

11 be 3 times the otherwise applicable amount in 

12 such subparagraphs if, within the 5-year period 

13 preceding such violation, the defendant was 

14 criminally convicted for securities fraud or be15 came subject to a judgment or order imposing 

16 monetary, equitable, or administrative relief in 

17 any Commission action alleging fraud by that 

18 defendant.’’. 

19 (d) INVESTMENT ADVISERS ACT OF 1940.—The In20 vestment Advisers Act of 1940 (15 U.S.C. 80b–1 et seq.) 

21 is amended— 

22 (1) in section 203(i)(2) (15 U.S.C. 80b– 

23 3(i)(2)), by adding at the end the following: 

24 ‘‘(D) FOURTH TIER.—Notwithstanding 

25 subparagraphs (A), (B), and (C), the maximum 


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1 amount of penalty for each such act or omission 

2 shall be 3 times the otherwise applicable 

3 amount in such subparagraphs if, within the 5- 

4 year period preceding such act or omission, the 

5 person who committed the act or omission was 

6 criminally convicted for securities fraud or be7 came subject to a judgment or order imposing 

8 monetary, equitable, or administrative relief in 

9 any Commission action alleging fraud by that 

10 person.’’; and 

11 (2) in section 209(e)(2) (15 U.S.C. 80b– 

12 9(e)(2)) by adding at the end the following: 

13 ‘‘(D) FOURTH TIER.—Notwithstanding 

14 subparagraphs (A), (B), and (C), the maximum 

15 amount of penalty for each such violation shall 

16 be 3 times the otherwise applicable amount in 

17 such subparagraphs if, within the 5-year period 

18 preceding such violation, the defendant was 

19 criminally convicted for securities fraud or be20 came subject to a judgment or order imposing 

21 monetary, equitable, or administrative relief in 

22 any Commission action alleging fraud by that 

23 defendant.’’. 


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1 SEC. 4. VIOLATIONS OF INJUNCTIONS AND BARS. 

2 (a) SECURITIES ACT OF 1933.—Section 20(d) of the 

3 Securities Act of 1933 (15 U.S.C. 77t(d)) is amended— 

4 (1) in paragraph (1), by inserting after ‘‘the 

5 rules or regulations thereunder,’’ the following: ‘‘a 

6 Federal court injunction or a bar obtained or en7 tered by the Commission under this title,’’; and 

8 (2) by amending paragraph (4) to read as fol9 lows: 

10 ‘‘(4) SPECIAL PROVISIONS RELATING TO A VIO11 LATION OF AN INJUNCTION OR CERTAIN ORDERS.— 

12 ‘‘(A) IN GENERAL.—Each separate viola13 tion of an injunction or order described in sub14 paragraph (B) shall be a separate offense, ex15 cept that in the case of a violation through a 

16 continuing failure to comply with such injunc17 tion or order, each day of the failure to comply 

18 with the injunction or order shall be deemed a 

19 separate offense. 

20 ‘‘(B) INJUNCTIONS AND ORDERS.—Sub21 paragraph (A) shall apply with respect to any 

22 action to enforce— 

23 ‘‘(i) a Federal court injunction ob24 tained pursuant to this title; 

25 ‘‘(ii) an order entered or obtained by 

26 the Commission pursuant to this title that 


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1 bars, suspends, places limitations on the 

2 activities or functions of, or prohibits the 

3 activities of, a person; or 

4 ‘‘(iii) a cease-and-desist order entered 

5 by the Commission pursuant to section 

6 8A.’’. 

7 (b) SECURITIES EXCHANGE ACT OF 1934.—Section 

8 21(d)(3) of the Securities Exchange Act of 1934 (15 

9 U.S.C. 78u(d)(3)) is amended— 

10 (1) in subparagraph (A), by inserting after ‘‘the 

11 rules or regulations thereunder,’’ the following: ‘‘a 

12 Federal court injunction or a bar obtained or en13 tered by the Commission under this title,’’; and 

14 (2) by amending subparagraph (D) to read as 

15 follows: 

16 ‘‘(D) SPECIAL PROVISIONS RELATING TO A

17 VIOLATION OF AN INJUNCTION OR CERTAIN OR18 DERS.— 

19 ‘‘(i) IN GENERAL.—Each separate vio20 lation of an injunction or order described 

21 in clause (ii) shall be a separate offense, 

22 except that in the case of a violation 

23 through a continuing failure to comply 

24 with such injunction or order, each day of 


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1 the failure to comply with the injunction or 

2 order shall be deemed a separate offense. 

3 ‘‘(ii) INJUNCTIONS AND ORDERS.— 

4 Clause (i) shall apply with respect to an 

5 action to enforce— 

6 ‘‘(I) a Federal court injunction 

7 obtained pursuant to this title; 

8 ‘‘(II) an order entered or ob9 tained by the Commission pursuant to 

10 this title that bars, suspends, places 

11 limitations on the activities or func12 tions of, or prohibits the activities of, 

13 a person; or 

14 ‘‘(III) a cease-and-desist order 

15 entered by the Commission pursuant 

16 to section 21C.’’. 

17 (c) INVESTMENT COMPANY ACT OF 1940.—Section 

18 42(e) of the Investment Company Act of 1940 (15 U.S.C. 

19 80a–41(e)) is amended— 

20 (1) in paragraph (1), by inserting after ‘‘the 

21 rules or regulations thereunder,’’ the following: ‘‘a 

22 Federal court injunction or a bar obtained or en23 tered by the Commission under this title,’’; and 

24 (2) by amending paragraph (4) to read as fol25 lows: 


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1 ‘‘(4) SPECIAL PROVISIONS RELATING TO A VIO2 LATION OF AN INJUNCTION OR CERTAIN ORDERS.— 

3 ‘‘(A) IN GENERAL.—Each separate viola4 tion of an injunction or order described in sub5 paragraph (B) shall be a separate offense, ex6 cept that in the case of a violation through a 

7 continuing failure to comply with such injunc8 tion or order, each day of the failure to comply 

9 with the injunction or order shall be deemed a 

10 separate offense. 

11 ‘‘(B) INJUNCTIONS AND ORDERS.—Sub12 paragraph (A) shall apply with respect to any 

13 action to enforce— 

14 ‘‘(i) a Federal court injunction ob15 tained pursuant to this title; 

16 ‘‘(ii) an order entered or obtained by 

17 the Commission pursuant to this title that 

18 bars, suspends, places limitations on the 

19 activities or functions of, or prohibits the 

20 activities of, a person; or 

21 ‘‘(iii) a cease-and-desist order entered 

22 by the Commission pursuant to section 

23 9(f).’’. 


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1 (d) INVESTMENT ADVISERS ACT OF 1940.—Section 

2 209(e) of the Investment Advisers Act of 1940 (15 U.S.C. 

3 80b–9(e)) is amended— 

4 (1) in paragraph (1), by inserting after ‘‘the 

5 rules or regulations thereunder,’’ the following: ‘‘a 

6 Federal court injunction or a bar obtained or en7 tered by the Commission under this title,’’; and 

8 (2) by amending paragraph (4) to read as fol9 lows: 

10 ‘‘(4) SPECIAL PROVISIONS RELATING TO A VIO11 LATION OF AN INJUNCTION OR CERTAIN ORDERS.— 

12 ‘‘(A) IN GENERAL.—Each separate viola13 tion of an injunction or order described in sub14 paragraph (B) shall be a separate offense, ex15 cept that in the case of a violation through a 

16 continuing failure to comply with such injunc17 tion or order, each day of the failure to comply 

18 with the injunction or order shall be deemed a 

19 separate offense. 

20 ‘‘(B) INJUNCTIONS AND ORDERS.—Sub21 paragraph (A) shall apply with respect to any 

22 action to enforce— 

23 ‘‘(i) a Federal court injunction ob24 tained pursuant to this title; 


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1 ‘‘(ii) an order entered or obtained by 

2 the Commission pursuant to this title that 

3 bars, suspends, places limitations on the 

4 activities or functions of, or prohibits the 

5 activities of, a person; or 

6 ‘‘(iii) a cease-and-desist order entered 

7 by the Commission pursuant to section 

8 203(k).’’. 

Æ 


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