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. 

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


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HR 2623 RFS 

1 SECTION 1. FORMERLY ASSOCIATED PERSONS. 

2 (a) MEMBER OR EMPLOYEE OF THE MUNICIPAL SE3 CURITIES RULEMAKING BOARD.—Section 15B(c)(8) of 

4 the Securities Exchange Act of 1934 (15 U.S.C. 78o– 

5 4(c)(8)) is amended by striking ‘‘any member or em6 ployee’’ and inserting ‘‘any person who is, or at the time 

7 of the alleged misconduct was, a member or employee’’. 

8 (b) PERSON ASSOCIATED WITH A GOVERNMENT SE9 CURITIES BROKER OR DEALER.—Section 15C of the Se10 curities Exchange Act of 1934 (15 U.S.C. 78o–5) is 

11 amended— 

12 (1) in subsection (c)(1)(C), by striking ‘‘or 

13 seeking to become associated,’’ and inserting ‘‘seek14 ing to become associated, or, at the time of the al15 leged misconduct, associated or seeking to become 

16 associated’’; 

17 (2) in subsection (c)(2)(A), by inserting ‘‘, seek18 ing to become associated, or, at the time of the al19 leged misconduct, associated or seeking to become 

20 associated’’ after ‘‘any person associated’’; and 

21 (3) in subsection (c)(2)(B), by inserting ‘‘, 

22 seeking to become associated, or, at the time of the 

23 alleged misconduct, associated or seeking to become 

24 associated’’ after ‘‘any person associated’’. 

25 (c) PERSON ASSOCIATED WITH A MEMBER OF A NA26 TIONAL SECURITIES EXCHANGE OR REGISTERED SECURIVerDate Nov 24 2008 07:57 Jul 31, 2009 Jkt 079200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H2623.RFS H2623

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HR 2623 RFS 

1 TIES ASSOCIATION.—Section 21(a)(1) of the Securities 

2 Exchange Act of 1934 (15 U.S.C. 78u(a)(1)) is amended 

3 by inserting ‘‘, or, as to any act or practice, or omission 

4 to act, while associated with a member, formerly associ5 ated’’ after ‘‘member or a person associated’’. 

6 (d) PARTICIPANT OF A REGISTERED CLEARING

7 AGENCY.—Section 21(a)(1) of the Securities Exchange 

8 Act of 1934 (15 U.S.C. 78u(a)(1)) is amended by insert9 ing ‘‘or, as to any act or practice, or omission to act, while 

10 a participant, was a participant,’’ after ‘‘in which such 

11 person is a participant,’’. 

12 (e) OFFICER OR DIRECTOR OF A SELF-REGULATORY

13 ORGANIZATION.—Section 19(h)(4) of the Securities Ex14 change Act of 1934 (15 U.S.C. 78s(h)(4)) is amended— 

15 (1) by striking ‘‘any officer or director’’ and in16 serting ‘‘any person who is, or at the time of the al17 leged misconduct was, an officer or director’’; and 

18 (2) by striking ‘‘such officer or director’’ and 

19 inserting ‘‘such person’’. 

20 (f) OFFICER OR DIRECTOR OF AN INVESTMENT COM21 PANY.—Section 36(a) of the Investment Company Act of 

22 1940 (15 U.S.C. 80a–35(a)) is amended— 

23 (1) by striking ‘‘a person serving or acting’’ and 

24 inserting ‘‘a person who is, or at the time of the al25 leged misconduct was, serving or acting’’; and 


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HR 2623 RFS 

1 (2) by striking ‘‘such person so serves or acts’’ 

2 and inserting ‘‘such person so serves or acts, or at 

3 the time of the alleged misconduct, so served or 

4 acted’’. 

Passed the House of Representatives July 29, 2009. 

Attest: LORRAINE C. MILLER, 

Clerk. 


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