(1) assess a civil money penalty against the
APIC or a manager in any amount;
(2) require the APIC to divest any interest in an
investment, on such terms and conditions as the Sec-
retary may impose; or
(3) revoke the APIC’s license.
(d) EFFECTIVE DATE OF PENALTIES.—
(1) PRIOR
NOTICE
REQUIREMENT.—Except as
provided in paragraph (2) of this subsection, a pen-
alty under subsection (b) or (c) shall not be due and
payable and shall not otherwise take effect or be sub-
ject to enforcement by an order of a court, before no-
tice of the penalty is published in the Federal Reg-
ister.
(2) CEASE-AND-DESIST
ORDERS
AND
SUSPEN-
SION OR CONDITIONING OF LICENSE.—In the case of
a cease-and-desist order under subsection (b)(2) or the
suspension or conditioning of an APIC’s license under
subsection (b)(3), the following procedures shall apply:
(A) ACTION
WITHOUT
PUBLISHED
NO-
TICE.—The Secretary may order an APIC or
manager to cease and desist from an action,
practice, or failure to act or may suspend or
condition an APIC’s license, for not more than
45 days without prior publication of notice in
the Federal Register, but such cease-and-desist
order or suspension or conditioning shall take ef-
fect only after the Secretary has issued a written
notice (which may include a writing in elec-
tronic form) of such action to the APIC. Not-
withstanding subsection (b), such written notice
shall be effective without regard to whether the
APIC has been accorded an opportunity to re-
spond. Upon such notice, such cease-and-desist
order or suspension or conditioning shall be sub-
ject to enforcement by an order of a court.
(B) PUBLICATION OF NOTICE OF SUSPEN-
SION OR CONDITIONING OF LICENSE.—Upon a
suspension or conditioning of a license taking ef-
fect pursuant to subparagraph (A), the Secretary
shall promptly cause a notice of suspension or
conditioning of such license for a period of not
more than 90 days to be published in the Federal
Register. The Secretary shall provide the APIC
an opportunity to respond to such notice. For
purposes of the determining the duration of the
period of any suspension or conditioning under
this subparagraph, the first day of such period
shall be the day of issuance of the written notice
under this paragraph of the suspension or condi-
tioning.
(C) REVOCATION OF LICENSE.—During the
period of the suspension or conditioning of an
APIC’s license, the Secretary may take action
under subsection (c)(3) to revoke the license of
the APIC, in accordance with the procedures ap-
plicable to such subsection. Notwithstanding any
other provision of this section, if the Secretary
takes such action, the Secretary may extend the
suspension or conditioning of the APIC’s license,
for one or more periods of not more than 90 days
each, by causing notice of such action to be pub-
lished in the Federal Register—
(i) for the first such extension, before
the expiration of the period under subpara-
graph (B); and
(ii) for any subsequent extension, be-
fore the expiration of the preceding exten-
sion period under this subparagraph.
(D) TERM OF EFFECTIVENESS.—A cease-and-de-
sist order or the suspension or conditioning of an
APIC’s license by the Secretary under this paragraph
shall remain in effect in accordance with the terms of
the order, suspension, or conditioning until final ad-
judication in any action undertaken to challenge the
order, or the suspension or conditioning, or the rev-
ocation, of an APIC’s license.
SEC. 11. EFFECTIVE DATE.
(a) IN GENERAL.—Except as provided in subsection
(b), this Act shall take effect upon the expiration of the 6-
month period beginning on the date of the enactment of this
Act.
(b) ISSUANCE OF REGULATIONS AND GUIDELINES.—
Any authority under this Act of the Secretary, the Adminis-
trator, and the Secretary of the Treasury to issue regula-
tions, standards, guidelines, or licensing requirements, and
any authority of such officials to consult or enter into agree-
ments or memoranda of understanding regarding such
issuance, shall take effect on the date of the enactment of
this Act.
SEC. 12. SUNSET.
After the expiration of the 5-year period beginning
upon the date that the Secretary awards the first license
for an APIC under this Act—
(1) the Secretary may not license any APIC; and
(2) no amount may be appropriated for the costs
(as such term is defined in section 502 of the Federal
Credit Reform Act of 1990 (2 U.S.C. 661c)) of any
guarantee under this Act for any debenture issued by
an APIC.
This section may not be construed to prohibit, limit, or af-
fect the award, allocation, or use of any budget authority
for the costs of such guarantees that is appropriated before
the expiration of such period.
Union Calendar No. 351
106TH CONGRESS
2D SESSION
H. R. 2764
[Report No. 106–638]
A BILL
To license America’s Private Investment Companies
and provide enhanced credit to stimulate private
investment in low-income communities, and for
other purposes.
MAY 23, 2000
Reported with an amendment, committed to the Com-
mittee of the Whole House on the State of the Union,
and ordered to be printed