Securities and Exchange Commission Authorization Act of 1987
PL 100-181 (S.1452), enacted 12/04/1987

PUBLIC LAW 100-181—DEC. 4, 1987 
101 STAT. 1249 
Public Law 100-
100th Congress 
181 
An Act 
To extend and amend the authorization of appropriations for the Securities and 
Exchange Commission, and for other purposes. 
Be it enacted by the Senate and House of Respresentatives of the 
United States of America in Congress assembled. 
SECTION 1. This Act may be cited as the "Securities and Exchange 
Commission Authorization Act of 1987". 
TITLE I—AUTHORIZATION 
SEC. 101. Section 35 of the Securities Exchange Act of 1934 (15 
U.S.C. 78kk) is amended to read as follows: 
"AUTHORIZATION OF APPROPRIATIONS 
"SEC. 35. (a) There are authorized to be appropriated to carry out 
the functions, powers, and duties of the Commission— 
"(1) $158,600,000 for fiscal year 1988; and 
"(2) $172,200,000 for fiscal year 1989. 
"Ot)) Of the amounts authorized by subsection (a), the amount 
which may, subject to section 35A, be obligated or expended by the 
Commission for the purpose of funding a contract for the establish-
ment and operation of the electronic data gathering, analysis, and 
retrieval ('EDGAR') system shall not exceed— 
"(1) $15,000,000 for fiscal year 1988; and 
"(2) $20,000,000 for fiscal year 1989.". 
SEC. 102. The Securities Exchange Act of 1934 is amended by 
inserting after section 35 the following new section: 
"REQUIREMENTS FOR THE EDGAR SYSTEM 
Dec. 4, 1987 
[S. 1452] 
Securities and 
Exchange 
Commission 
Authorization 
Act of 1987. 
15 u s e 78a note. 
Contracts. 
15 u s e 1811. 
"SEC. 35A. (aXD Of the funds appropriated to the Commission 
pursuant to section 35 of this title for fiscal year 1988 which are 
available pursuant to section 350t)) for establishment or operation of 
the electronic data gathering, analysis, and retrieval ('EDGAR') 
system, the Commission may not obligate or expend more than 
$5,000,000 for the establishment or operation of the EDGAR system 
unless the Commission has made the certification required by 
subsection (c) of this section. 
"(2) Notwithstanding section 350t)), no funds appropriated for 
fiscal year 1989 may be obligated or expended for the establishment 
or operation of the EDGAR system, unless the Commission has— 
"(A) filed each report required during fiscal year 1988 by Reports. 
subsection (b) of this section; and 
"(B) made the certification required by subsection (c) of this 
section. 
"(3) Amounts which are available to the Commission under sec-
tion 350t)) for the EDGAR contract shall be the exclusive source of 
funds for the procurement and operation of the systems created 
101 STAT. 1250 
PUBLIC LAW 100-181—DEC. 4, 1987 
under that contract by or on behalf of the Securities and Exchange 
Commission— 
"(A) for the receipt of filings under Federal securities laws, 
and 
"(B) for the automated acceptance and review of the filings 
^ 
and information derived from such filings. 
Reports. 
"(b) The Commission shall submit a report to the Committees on 
Banking, Housing, and Urban Affairs and Governmental Affairs of 
the Senate and the Committees on Energy and Commerce and 
Government Operations of the House of Representatives on the 
status of EDGAR development, implementation, and progress at six-
month intervals beginning December 31, 1987, and ending at the 
, 
close of 1990 (unless otherwise extended by the Congress). Such 
report shall include the following: 
"(1) The overall progress and status of the project, including 
achievement of significant milestones and current project 
schedule. 
"(2) The results of Commission efforts to test new or revised 
technical solutions for key EDGAR functions. In particular, the 
Jjft 
following functions shall be addressed and the indicated 
information provided: 
"(A) Automating receipt and acceptance processing, 
including— 
"(i) development and testing progress and results; 
"(ii) actual versus estimated development cost; and 
"(iii) actual effect of this function on Commission 
& 
staff needs to assist filers. 
"(B) Data tagging (identifying financial data for analysis 
by EDGAR), including— 
"(i) description of the approach selected, identifying 
- d '
> 
the types of financial data to be tagged and the calcula-
tions to be performed; 
"(ii) comments by the filer population on the ap-
. .
< 
proach selected; 
"(iii) the results of testing this approach, including 
.&: .
< 
*. 
information on the number of filers taking part in the 
test and their representativeness of the overall filer 
population; 
(iv) actual versus estimated development cost; and 
"(v) effect of implementing this function on EDGAR 
benefits. 
i 
^ "(C) Searching text for keywords, including— 
"(i) the technical approach adopted for this function; 
"(ii) development and testing progress and results; 
"(iii) data storage requirements and search response 
times as compared to EDGAR pilot system experience; 
I A* 
"(iv) actual versus estimated development cost; and 
"(v) effect of implementing this function on EDGAR 
»K;,- '
"
'
^
- •
• ' 
benefits. 
"(3) An update of cost information for the receipt, acceptance 
and review, and dissemination portions of the system including 
a comparison of actual costs with original estimated costs and 
revised estimates of total system cost and total funding needs 
for the contract. 
"(4) The status of Commission efforts to obtain and maintain 
staff with the proper contractual, managerial, and technical 
expertise to oversee the EDGAR project. 
PUBLIC LAW 100-181—DEC. 4, 1987 
101 STAT. 1251 
"(5) The fees, revenues, costs, and profits obtained or incurred 
by the contractor as a result of the required dissemination of 
information from the system to the public under the EDGAR 
contract, except that the information required under this para-
graph (A) need be obtained from the contractor no more fre-
quently than once each year, and (B) may be submitted to the 
Congress as a separate confidential document. 
"(6) Such other information or recommendations as the 
Commission considers appropriate. 
"(c) On or before the date the Commission enters into the contract 
for the EDGAR system, the Commission shall submit to the Commit-
tees on Banking, Housing, and Urban Affairs and Governmental 
Affairs of the Senate and the Committees on Energy and Commerce 
and Government Operations of the House of Representatives a 
certification by the Commission— 
"(1) of the total contract costs to the Federal Government of 
the EDGAR system for each of the 3 succeeding fiscal years; 
"(2) that the Commission has analyzed the quantitative and 
qualitative benefits to be obtained by the establishment and 
operation of the system and has determined that such benefits 
justify the costs certified pursuant to paragraph (1); 
"(3) that (A) the contract requires the contractor to establish a 
schedule for the implementation of the system; (B) the Commis-
sion has reviewed and approved that schedule; and (C) the 
contract contains adequate assurances of contractor compliance 
with that schedule; 
"(4) of the capabilities which the system is intended to provide 
and of the competence of the contractor and of Commission 
personnel to implement those capabilities; and 
"(5) that mandatory filings from a significant test group of 
registrants will be received and reviewed by the Commission for 
a period of at least six months before the adoption of any rule 
requiring mandatory filing by all registrants. 
"(d) The Commission, by rule or regulation— 
"(1) shall provide that any information in the EDGAR system 
that is required to be disseminated by the contractor— 
"(A) may be sold or disseminated by the contractor only 
is 
pursuant to a uniform schedule of fees prescribed by the 
Commission; 
A-rtT 
"(B) m£iy be obtained by a purchaser by direct inter- 
iO 
connection with the EDGAR system; 
II ,. • 
"(C) shall be equally available on equal terms to all 
persons; and 
"(D) may be used, resold, or redisseminated by any person 
who has lawfully obtained such information 
without 
.
*
» 
restriction and without payment of additional fees or royal-
ties; and 
"(2) shall require that persons, or clcusses of persons, required 
to make filings with the Commission submit such filings in a 
form and manner suitable for entry into the EDGAR system 
and shall specify the date that such requirement is effective 
with respect to that person or class; except that the Commission 
may exempt persons or classes of persons, or filings or classes of 
filings, from such rules or regulations in order to prevent 
hardships or to avoid imposing unreasonable burdens or as 
otherwise may be necessary or appropriate; and 
101 STAT. 1252 
PUBLIC LAW 100-181—DEC. 4, 1987 
Courts. 
^xJ 
^S 
"(3) shall require all persons who make any filing with the 
Commission, in addition to complying with such other rules 
concerning the form and manner of filing as the Commission 
may prescribe, to submit such filings in written or printed 
form— 
"(A) for a period of at least one year after the effective 
date specified for such person or class under paragraph (2); 
or 
"(B) for a shorter period if the Commission determines 
.., _
, 
that the EDGAR system (i) is reliable, (ii) provides a suit-
able alternative to such written and printed filings, and (iii) 
assures that the provision of information through the 
EDGAR system is as effective and efficient for filers, users, 
and disseminators as provision of such information in writ-
ten or printed form. 
"(e) For the purposes of carr3dng out its responsibilities under 
subsection (dX3) of this section, the Commission shall consult with 
representatives of persons filing, disseminating, and using informa-
tion contained in filings with the Commission.". 
TITLE II—AMENDMENTS TO THE SECURITIES ACT OF 1933 
SEC. 201. Section 2(5) of the Securities Act of 1933 (15 U.S.C. 77b(5)) 
is amended by striking out "Federal Trade Commission" and insert-
ing in lieu thereof "Securities and Exchange Commission". 
SEC. 202. Section 2(6) of the Securities Act of 1933 (15 U.S.C. 77b(6)) 
is amended by striking out "Canal Zone,". 
SEC. 203. Section 3(aXl) of the Securities Act of 1933 (15 U.S.C. 
77c(aXl)) is amended by striking all that appears therein and insert-
ing in lieu thereof "(1) Reserved.". 
SEC. 204. Section 3(aX5XA) of the Securities Act of 1933 (15 U.S.C. 
77c(aX5XA)) is amended by striking out ", except that the foregoing 
exemption shedl not apply with respect to any such security where 
the issuer takes from the total amount paid or deposited by the 
purchaser, by way of any fee, cash value or other device whatsoever, 
either upon termination of the investment at maturity or before 
maturity, an aggregate amount in excess of 3 per centum of the face 
value of such security". 
SEC. 205. Section 6(e) of the Securities Act of 1933 (15 U.S.C. 77f(e)) 
is repealed. 
SEC. 206. Section 9(a) of the Securities Act of 1933 (15 U.S.C. 77i(a)) 
is amended— 
(1) by striking out "Circuit Court of Appeals" and inserting in 
lieu thereof "court of appeals"; 
(2) by striking out "Court of Appeals of the District of Colum-
bia, by filing in such court" and inserting in lieu thereof 
"United States Court of Appeals for the District of Columbia, by 
filing in such Court"; and 
. ; 
(3) by striking out "sections 239 and 240 of the Judicial Code, 
as amended (U.S.C, title 28, sees. 346 and 347)" and inserting in 
lieu thereof "section 1254 of title 28, United States Code". 
SEC. 207. Section 19(c) of the Securities Act of 1933 (15 U.S.C. 
77s(c)) is amended by adding at the end thereof the following new 
paragraph: 
"(6) Notwithstanding any other provision of law, neither the 
Commission nor any other person shall be required to establish any 
procedures not specifically required by the securities laws, as that 
PUBLIC LAW 100-181—DEC. 4, 1987 
101 STAT. 1253 
term is defined in section 3(a)(47) of the Securities Exchange Act of 
1934, or by chapter 5 of title 5, United States Code, in connection 
with cooperation, coordination, or consultation with— 
"(A) any association referred to in paragraph (1) or (3) or any 
conference or meeting referred to in paragraph (4), while such 
association, conference, or meeting is carrying out activities in 
furtherance of the provisions of this subsection; or 
"(B) any forum, agency, or organization, or group referred to 
in section 503 of the Small Business Investment Incentive Act of 
1980, while such forum, agency, organization, or group is carry-
ing out activities in furtherance of the provisions of such section 
503. 
As used in this paragraph, the terms 'association', 'conference', 
'meeting', 'forum', 'agency', 'organization', and 'group' include any 
committee, subgroup, or representative of such entities.". 
SEC. 208. (a) Section 200)) of the Securities Act of 1933 (15 U.S.C. 
77t(b)) is amended by striking out the first sentence and inserting in 
lieu thereof the following: "Whenever it shall appear to the Commis-
sion that any person is engaged or about to engage in any acts or 
practices which constitute or will constitute a violation of the 
provisions of this title, or of any rule or regulation prescribed under 
authority thereof, the Commission may, in its discretion, bring an 
action in any district court of the United States, or United States 
court of any Territory, to enjoin such acts or practices, and upon a 
proper showing, a permanent or temporary injunction or restraining 
order shall be granted without bond.". 
(b) Section 20(c) of such Act (15 U.S.C. 77t(c)) is amended to read as 
follows: 
"(c) Upon application of the Commission, the district courts of the Courts. 
United States and the United States courts of any Territory shall 
have jurisdiction to issue writs of mandamus commanding any 
person to comply with the provisions of this title or any order of the 
Commission made in pursuance thereof.". 
SEC. 209. Section 22(a) of the Securities Act of 1933 (15 U.S.C. 
77v(a)) is amended— 
(1) by striking out "United States, the" in the first sentence 
and inserting in lieu thereof "United States and"; 
(2) by striking out ", and the United States District Court for 
the District of Columbia"; and 
(3) by striking out "sections 128 and 240 of the Judicial Code, 
as amended (U.S.C, title 28, sees. 225 and 347)" and inserting in 
lieu thereof "sections 1254, 1291, 1292, and 1294 of title 28, 
United States Code". 
TITLE III—AMENDMENTS TO THE SECURITIES EXCHANGE 
ACT OF 1934 
-M r-t 3 
SEC. 301. Section 3(a)(6)(C) of the Securities Exchange Act of 1934 
(15 U.S.C. 78c(a)(6)(C)) is amended by striking out "under section 
ll(k) of the Federal Reserve Act, as amended" and inserting in lieu 
thereof "under the authority of the Comptroller of the Currency 
pursuant to the first section of Public Law 87-722 (12 U.S.C. 92a)". 
SEC. 302. Section 3(a)(16) of the Securities Exchange Act of 1934 
(15 U.S.C. 78c(a)(16)) is amended by striking out "the Canal Zone,". 
SEC. 303. Section 3(a)(22)(B) of the Securities Exchange Act of 1934 
(15 U.S.C. 78c(aX22)(B)) is amended— 
101 STAT. 1254 
PUBLIC LAW 100-181—DEC. 4, 1987 
'• }'" 
(1) by striking out "association or any" and inserting in lieu 
^'*' 
thereof "association, or any"; and 
(2) by striking out "own behalf in" and inserting in lieu 
thereof "own behalf, in". 
SEC. 304. Section 3(a)(34)(C) of the Securities Exchange Act of 1934 
(15 U.S.C. 78c(a)(34)(C)) is amended by striking out "state" each 
place it appears and inserting in lieu thereof "State". 
SEC. 305. Section 3(a)(39)(B) of the Securities Exchange Act of 1934 
(15 U.S.C. 78c(a)(39)(B)) is amended— 
(1) by striking out "months, revoking" and inserting in lieu 
£. , thereof "months, or revoking"; and 
(2) by striking out "barring his" and inserting in lieu thereof 
"barring or suspending for a period not exceeding 12 months 
his". 
SEC. 306. Section 3(a) of the Securities Exchange Act of 1934 (15 
U.S.C. 78c(a)) is amended— 
(1) by inserting after paragraph (46) the following: 
"(47) The term 'securities laws' means the Securities Act of 
1933 (15 U.S.C. 77a et seq.), the Securities Exchange Act of 1934 
(15 U.S.C. 78a et seq.), the Public Utility Holding Company Act 
of 1935 (15 U.S.C. 79a et seq.), the Trust Indenture Act of 1939 
(15 U.S.C. 77aaa et seq.), the Investment Company Act of 1940 
(15 U.S.C. 80a-l et seq.), the Investment Advisers Act of 1940 (15 
i 
U.S.C. 80b et seq.), and the Securities Investor Protection Act of 
1970 (15 U.S.C. 78aaa et seq.)."; and 
(2) by adding at the end thereof the following: 
? 
"(49) The term 'person associated with a transfer agent' and 
'associated person of a transfer agent' mean any person (except 
,! : - 
an employee whose functions are solely clerical or ministerial) 
directly engaged in the management, direction, supervision, or 
performance of any of the transfer agent's activities with re-
. 
spect to transfer agent functions, and any person directly or 
indirectly controlling such activities or controlled by the trans-
fer agent in connection with such activities.". 
SEC. 307. Section 4 of the Securities Exchange Act of 1934 (15 
U.S.C. 78d) is amended by adding at the end thereof the following 
new subsection: 
"(e) Notwithstanding any other provision of law, whenever any fee 
is required to be paid to the Commission pursuant to any provision 
of the securities laws or anv other law, the Commission may provide 
by rule that such fee shall be paid in a manner other than in cash.". 
SEC. 308. (a) The Securities Exchange Act of 1934 is amended by 
inserting after section 4 (15 U.S.C. 78d) the following new sections: 
"DELEGATION OF FUNCTIONS BY COMMISSION 
15 use 78<i-l. 
"SEC. 4A. (a) In addition to its existing authority, the Securities 
and Exchange Commission shall have the authority to delegate, by 
published order or rule, any of its functions to a division of the 
Commission, an individual Commissioner, an administrative law 
judge, or an employee or employee board, including functions with 
respect to hearing, determining, ordering, certifying, reporting, or 
otherwise acting as to any work, business, or matter. Nothing in this 
section shall be deemed to supersede the provisions of section 556(b) 
of title 5, or to authorize the delegation of the function of rule-
making as defined in subchapter II of chapter 5 of title 5, United 
States Code, with reference to general rules as distinguished from 
PUBLIC LAW 100-181—DEC. 4, 1987 
101 STAT. 1255 
rules of particular applicability, or of the making of any rule 
pursuant to section 19(c) of this title. 
"(b) With respect to the delegation of any of its functions, as 
provided in subsection (a) of this section, the Commission shall 
retain a discretionary right to review the action of any such division 
of the Commission, individual Commissioner, administrative law 
judge, employee, or employee board, upon its own initiative or upon 
petition of a party to or intervenor in such action, within such time 
and in such manner as the Commission by rule shall prescribe. The 
vote of one member of the Commission shall be sufficient to bring 
any such action before the Commission for review. A person or party 
shall be entitled to review by the Commission if he or it is adversely 
affected by action at a delegated level which (1) denies any request 
for action pursuant to section 8(a) or section 8(c) of the Securities 
Act of 1933 or the first sentence of section 12(d) of this title; (2) 
suspends trading in a security pursuant to section 12(k) of this title; 
or (3) is pursuant to any provision of this title in a case of adjudica-
tion, as defined in section 551 of title 5, United States Code, not 
required by this title to be determined on the record after notice and 
opportunity for hearing (except to the extent there is involved a 
matter described in section 554(a) (1) through (6) of such title 5). 
"(c) If the right to exercise such review is declined, or if no such 
review is sought within the time stated in the rules promulgated by 
the (Commission, then the action of any such division of the Ck)mmis-
sion, individual (Dommissioner, administrative law judge, employee, 
or employee board, shall, for all purposes, including appeal or 
review thereof, be deemed the action of the C!ommission. 
"TRANSFER OF FUNCTIONS WITH RESPECT TO ASSIGNMENT OF 
PERSONNEL TO CHAIRMAN 
"SEC. 4B. In addition to the functions transferred by the provi- 15 use 78d-2. 
sions of Reorganization Plan Numbered 10 of 1950 (64 Stat. 1265), 
there are hereby transferred from the Commission to the Chairman 
of the Commission the functions of the Commission with respect to 
the assignment of Commission personnel, including Commissioners, 
to perform such functions as may have been delegated by the 
Commission to the (Commission personnel, including (Commissioners, 
pursuant to section 4A of this title.". 
(b) The Act of August 20,1962 (Public Law 87-592; 76 Stat. 394) is 15 use 78d-i, 
hereby repealed. 
78d-2. 
SEC. 309. The first sentence of section 6(cX2) of the Securities 
Exchange Act of 1934 (15 U.S.C. 78f(cX2)) is amended by striking out 
"protection shall" and inserting in lieu thereof "protection of inves-
t)OFS sll3.ll 
SEC. 310. Section 6(cX3XA) of the Securities Exchange Act of 1934 
(15 U.S.C. 78f(cX3XA)) is amended by striking out "association" and 
inserting in lieu thereof "associated". 
SEC. 311. Section 6(cX4) of the Securities Exchange Act of 1934 (15 
U.S.C. 78f(cX4)) is amended by striking out "may (A) limit" and 
inserting in lieu thereof "may limit (A)". 
SEC. 312. Section 6(e) of the Securities Exchange Act of 1934 (15 
U.S.C. 78f(e)) is amended— 
(1) by striking out "paragraph (4) of this section" in para-
graph (1) and inserting in lieu thereof "paragraph (3) of this 
subsection"; 
101 STAT. 1256 
PUBLIC LAW 100-181—DEC. 4, 1987 
(2) by striking out paragraph (3) thereof and by redesignating 
paragraph (4) as paragraph (3); and 
(3) in paragraph (3)(E) (as so redesignated)— 
(A) by striking out "fixes" and inserting in lieu thereof 
"fixing^; 
(B) by striking out "paragraph (4)(A)" and inserting in 
lieu thereof "subparagraph (A) of this paragraph"; and 
(C) by striking out "paragraph (4)(B)" and inserting in 
lieu thereof "subparagraph (B) of this paragraph". 
SEC. 313. Section llA of the Securities Exchange Act of 1934 (15 
U.S.C. 78k-l) is amended— 
(1) by striking out "transaction" in paragraph (2) of subsec-
tion (b) and inserting in lieu thereof "transactions"; and 
(2) by striking out everything after the first sentence in 
paragraph (4) of subsection (c). 
SEC. 314. Sections llA(e) and 12(m) of the Securities Exchange Act 
of 1934 (15 U.S.C. 78k-l(e) and 781(m)) are repealed. 
SEC. 315. Section 13(c) of the Securities Exchange Act of 1934 (15 
U.S.C. 78m(c)) is amended by striking out "thereof o f and inserting 
in lieu thereof "thereof. 
SEC. 316. Section 13(h) of the Securities Exchange Act of 1934 (15 
U.S.C. 78m(h)) is repealed. 
SEC. 317. Section 15(b) of the Securities Exchange Act of 1934 (15 
U.S.C. 780(b)) is amended— 
(1) by striking out "fiduciary, or any" in clause (ii) of subpara-
graph (B) of paragraph (4) and inserting in lieu thereof "fidu-
ciary, transfer agent, or"; 
(2) by striking out subparagraph (C) of paragraph (4) and 
inserting in lieu thereof the following: 
"(C) is permanently or temporarily enjoined by order, judg-
ment, or decree of any court of competent jurisdiction from 
acting as an investment adviser, underwriter, broker, dealer, 
municipal securities dealer, government securities broker, 
government securities dealer, transfer agent, or entity or person 
required to be registered under the Commodity Exchange Act, 
or as an affiliated person or employee of any investment com-
pany, bank, insurance company, or entity or person required to 
be registered under the Commodity Exchange Act, or from 
engaging in or continuing any conduct or practice in connection 
with any such activity, or in connection with the purchase or 
*
-
^ 
. , - 
sale of any security."; 
'' 
(3) by striking out "or seeking to become associated," in the 
first sentence of paragraph (6) and inserting in lieu thereof 
"seeking to become associated, or, at the time of the alleged 
misconduct, associated or seeking to become associated"; and 
(4) by striking out "17A(b)(4XB) in paragraph (10) and insert-
ing in lieu thereof "17 
A(bX4XA)". 
SEC. 318. Section 15B(bX2)(C) of the Securities Exchange Act of 
1934 (15 U.S.C. 78o-4(bX2XC)) is amended— 
(1) by striking out "security" and inserting in lieu thereof 
"securities"; 
(2) by striking out "or the securities"; and 
(3) by striking out "burden or competition" and inserting in 
lieu thereof "burden on competition". 
SEC. 319. Section 15B(cX4) of the Securities Exchange Act of 1934 
(15 U.S.C. 78o-4(cX4)) is amended by striking out the first sentence 
and inserting in lieu thereof the following: "The Commission, by 
PUBLIC LAW 100-181—DEC. 4, 1987 
101 STAT. 1257 
order, shall censure or place limitations on the activities or func-
tions of any person associated, seeking to become associated, or, at 
the time of the alleged misconduct, associated or seeking to become 
associated with a municipal securities dealer, or suspend for a 
period not exceeding twelve months or bar any such person from 
being associated with a municipal securities dealer, if the Commis-
sion finds, on the record after notice and opportunity for hearing, 
that such censure, placing of limitations, suspension, or bar is in the 
public interest and that such person has committed any act or 
omission enumerated in subparagraph (A), (D), or (E) of paragraph 
(4) of section 15(b) of this title, has been convicted by any offense 
specified in subparagraph (B) of such paragraph (4) within 10 years 
of the commencement of the proceedings under this paragraph, or is 
enjoined from any action, conduct, or practice specified in subpara-
graph (C) of such paragraph (4).". 
SEC. 320. Section 15B(c)(6)(A) of the Securities Exchange Act of 
1934 (15 U.S.C. 78o-4(c)(6XA)) is amended by striking out "board" 
and inserting in lieu thereof "Board". 
SEC. 321. Section 17 of the Securities Exchange Act of 1934 (15 
U.S.C. 78q) is amended— 
(1) by striking out subsection (cX2) and inserting in lieu 
thereof the following: 
"(2) The appropriate regulatory agency for a clearing agency, 
transfer agent, or municipal securities dealer for which the Commis-
sion is not the appropriate regulatory agency shall file with the 
Commission notice of the commencement of any proceeding and a 
copy of any order entered by such appropriate regulatory agency 
against any clearing agency, transfer agent, municipal securities 
dealer, or person associated with a transfer agent or municipal 
securities dealer, and the Commission shall file with such appro-
priate regulatory agency, if any, notice of the commencement of any 
proceeding and a copy of any order entered by the Commission 
against the clearing agency, transfer agent, or municipal securities 
dealer, or against any person associated with a transfer agent or 
municipal securities dealer for which the agency is the appropriate 
regulatory agency."; 
(2) by adding at the end of subsection (fX2) the following: 
"Notwithstanding any other provision of law, in providing 
identification and processing functions, the Attorney General 
shall provide the Commission and self-regulatory organizations 
designated by the Commission with access to all criminal his-
tory record information."; and 
(3) by striking out "paragraphs (1) and (2)" in subsection 
(f)(3XA) and inserting in lieu thereof "paragraph (1)". 
SEC. 322. Section 17A of the Securities Exchange Act of 1934 (15 
U.S.C. 78q-l) is amended— 
(1) by inserting after "concerning such transfer agent" in 
subsection (cX2) "and any persons associated with the transfer 
agent"; 
(2) by striking out "thirty" in subsection (cX2) and inserting in 
lieu thereof "45"; 
(3) by redesignating subparagraphs (B) and (C) of subsection 
(cX3) as subparagraphs (A) and (B), respectively, of new subsec-
. 
tion (cX4); 
- 
(4) by striking out subsection (cX3XA) and inserting in lieu 
thereof: 
101 STAT. 1258 
PUBLIC LAW 100-181—DEC. 4, 1987 
"(3) The appropriate regulatory agency for a transfer agent, by 
order, shall deny registration to, censure, place limitations on the 
activities, functions, or operations of, suspend for a period not 
exceeding 12 months, or revoke the registration of such transfer 
agent, if such appropriate regulatory agency finds, on the record 
after notice and opportunity for hearing, that such denial, censure, 
placing of limitations, suspension, or revocation is in the public 
interest and that such transfer agent, whether prior or subsequent 
to becoming such, or any person associated with such transfer agent, 
whether prior or subsequent to becoming so associated— 
"(A) has committed or omitted any act enumerated in 
subparagraph (A), (D), or (E) of paragraph (4) of section 15(b) of 
this title, has been convicted of any offense specified in subpara-
graph (B) of such paragraph (4) within ten years of the 
commencement of the proceedings under this paragraph, or is 
enjoined from any action, conduct, or practice specified in 
subparagraph (C) of such paragraph (4); or 
"(B) is subject to an order entered pursuant to subparagraph 
(C) of paragraph (4) of this subsection barring or suspending the 
right of such person to be associated with a transfer agent."; 
''' 
(5) by inserting after subsection (c)(4)(B) (as redesignated) the 
following new subparagraph: 
"(C) The appropriate regulatory agency for a transfer agent, by 
order, shall censure or place limitations on the activities or func-
tions of any person associated, seeking to become associated, or, at 
the time of the alleged misconduct, associated or seeking to become 
associated with the transfer agent, or suspend for a period not 
exceeding twelve months or bar any such person from being associ-
ated with the transfer agent, if the appropriate regulatory agency 
finds, on the record after notice and opportunity for hearing, that 
such censure, placing of limitations, suspension, or bar is in the 
public interest and that such person has committed or omitted any 
act enumerated in subparagraph (A), (D), or (E) or paragraph (4) of 
section 15(b) of this title, has been convicted of any offense specified 
in subparagraph (B) of such paragraph (4) within ten years of the 
commencement of the proceedings under this paragraph, or is en-
joined from any action, conduct, or practice specified in subpara-
graph (C) of such paragraph (4). It shall be unlawful for any person 
as to whom such an order suspending or barring him from being 
associated with a transfer agent is in effect willfully to become, or to 
be, associated with a transfer agent without the consent of the 
appropriate regulatory agency that entered the order and the appro-
priate regulatory agency for that transfer agent. It shall be unlawful 
for any transfer agent to permit such a person to become, or remain, 
a person associated with it without the consent of such appropriate 
regulatory agencies, if the transfer agent knew, or in the exercise of 
reasonable care should have known, of such order. The Commission 
may establish, by rule, procedures by which a transfer agent reason-
ably can determine whether a person associated or seeking to 
become associated with it is subject to any such order, and may 
require, by rule, that any transfer agent comply with such 
procedures."; 
(6) by striking out "clearing agency or transfer agent" in 
subsection (d)(3)(B) and inserting in lieu thereof "clearing 
agency, transfer agent, or person associated with a transfer 
agent'; and 
PUBLIC LAW 100-181—DEC. 4, 1987 
101 STAT. 1259 
(7) by striking out "or transfer agent" in subsection (dX4), and 
inserting in lieu thereof ", transfer agent, or person associated 
with a transfer agent,". 
SEC. 323. Section 21 of the Securities Exchange Act of 1934 (15 
U.S.C. 78u) is amended— 
(1) by striking out "Wherever" in subsection (d) and inserting 
in lieu thereof "Whenever"; 
(2) by striking out ", the United States District Court for the 
District of Columbia," in subsection (e); and 
(3) by striking out the second sentence of subsection (g). 
SEC. 324. Section 23(a) of the Securities Exchange Act of 1934 (15 
U.S.C. 78w(a)) is amended— 
(1) by inserting "or" before "any self-regulatory organization" 
in the last sentence of paragraph (1); and 
(2) by inserting "shall" after "section 19(b) of this title," in 
paragraph (3). 
SEC. 325. Section 23(b)(4)(F) of the Securities Exchange Act of 1934 
(15 U.S.C. 78w(b)(4)(F)) is amended by striking out "The" and insert-
ing in lieu thereof "the". 
SEC. 326. Section 27 of the Securities Exchange Act of 1934 (15 
U.S.C. 78aa) is amended— 
(1) by striking out ", the United States District Court for the 
District of Columbia,"; and 
(2) by striking out "sections 128 and 240 of the Judicial Code, 
as amended (U.S.C, title 28, sees. 225 and 347)" and inserting in 
lieu thereof "sections 1254, 1291, 1292, and 1294 of title 28, 
United States Code". 
SEC. '327. Section 28(c) of the Securities Exchange Act of 1934 (15 
U.S.C. 78bb(c)) is amended by striking out "self-regulatory organiza-
tion or a member thereof and inserting in lieu thereof "self-
regulatory organization on a member thereof. 
SEC. 328. Section 28(d) of the Securities Exchange Act of 1934 (15 
U.S.C. 78bb(d)) is amended by striking out "change is beneficial" and 
inserting in lieu thereof "change in beneficial". 
SEC. 329. Section 28(eXl) of the Securities Exchange Act of 1934 (15 
U.S.C. 78bb(e)(l)) is amended by striking out "Amendments in 1975" 
and inserting in lieu thereof "Amendments of 1975". 
SEC. 330. Section 211 of the Securities Exchange Act of 1934 (15 
U.S.C. 78jj) is hereby repealed. 
TITLE IV—AMENDMENTS TO THE PUBLIC UTILITY 
HOLDING COMPANY ACT OF 1935 
SEC. 401. Section 8 of the Public Utility Holding Company Act of 
1935 (15 U.S.C. 79h) is amended by striking out "otherwise, —" and 
inserting in lieu thereof "otherwise—". 
SEC. 402. Section 18 of the Public Utility Holding Company Act of 
1935 (15 U.S.C. 79r) is amended— 
(1) by redesignating subsections (f) and (g) as subsections (e) 
and (f), respectively; and 
(2) in subsections (e) and (f) (as so redesignated), by striking 
out ", the district court of the United States for the District of 
Columbia,". 
SEC. 403. Section 24 of the Public Utility Holding Company Act of 
1935 (15 U.S.C. 78x) is amended by striking out "sections 239 and 240 15 use 79x. 
of the Judicial Code, as amended (U.S.C, title 28, sees. 346 and 347)" 
101 STAT. 1260 
PUBLIC LAW 100-181—DEC. 4, 1987 
and inserting in lieu thereof "section 1254 of title 28, United States 
Code". 
SEC. 404. Section 25 of the Public Utility Holding Company Act of 
1935 (15 U.S.C. 79y) is amended— 
(1) by striking out ", the district court of the United States for 
the District of Columbia,"; and 
(2) by striking out "sections 128 and 240 of the Judicial Code, 
as amended (U.S.C, title 28, sees. 225 and 347), and section 7, as 
amended, of the Act entitled 'An Act to establish a court of 
appeals for the District of Columbia', approved February 9, 1893 
(D.C. Code, title 18, sec. 26)" and inserting in lieu thereof 
"sections 1254, 1291, 1292, and 1294 of title 28, United States 
Code". 
SEC. 405. Section 30 of the Public Utility Holding Company Act of 
1935 (15 U.S.C. 79z-4) is amended by striking out the last sentence 
thereof. 
TITLE V—AMENDMENTS TO THE TRUST INDENTURE ACT 
OF 1939 
SEC. 501. Section 303(4) of the Trust Indenture Act of 1939 (15 
U.S.C. 77ccc(4)) is amended by striking out "undertakng" and insert-
ing in lieu thereof "undertaking". 
SEC. 502. Section 303(12) of the Trust Indenture Act of 1939 (15 
U.S.C. 77ccc(12)) is amended by inserting "(including a guarantor)" 
after "person" each place it appears. 
TITLE VI—AMENDMENTS TO THE INVESTMENT COMPANY 
ACT OF 1940 
SEC. 601. Section 2(a)(19) of the Investment Company Act of 1940 
(15 U.S.C. 80a-2(a)(19)) is amended by inserting "completed" before 
"fiscal years" each place it appears. 
SEC. 602. Section 2(a)(39) of the Investment Company Act of 1940 
(15 U.S.C. 80a-2(a)(39)) is amended by striking out "the Canal 
Zone,". 
SEC. 603. Section 2(a)(48)(B) of the Investment Company Act of 
1940 (15 U.S.C. 80a-2(a)(48)(B)) is amended by striking out '^sections 
55(aXl) through (3)" and inserting in lieu thereof "paragraphs (1) 
through (3) of section 55(a)". 
SEC. 604. Section 3(cX3) of the Investment Company Act of 1940 (15 
U.S.C. 80a-3(cX3)) is amended— 
(1) by inserting "or" after "therefor;"; and 
(2) by inserting a period after "guardian" and striking out all 
that follows through "principal to another or others.". 
SEC. 605. Section 3(cX7) of the Investment Company Act of 1940 (15 
U.S.C. 80a-3(cX7)) is amended to read as follows: 
"(7) Reserved.". 
SEC. 606. Section 3(cXll) of the Investment Company Act of 1940 
(15 U.S.C. 80a-3(cXll)) is amended— 
(1) by striking out "Code of 1954" each place it appears and 
inserting in lieu thereof "Code of 1986"; 
(2) by striking out "or which holds only assets of govern-
mental plans" and inserting in lieu thereof "; or any govern-
mental plan"; and 
... 
^^1 
(3) by striking out "trusts;" and inserting in lieu thereof 
"trusts or governmental plans, or both;". 
PUBLIC LAW 100-181—DEC. 4, 1987 
101 STAT. 1261 
SEC. 607. Section 5(a)(2) of the Investment Company Act of 1940 
(15 U.S.C. 80a-5(a)(2)) is amended by striking out "Close-end" and 
inserting in lieu thereof "Closed-end'. 
SEC. 608. Section 6(a) of the Investment Company Act of 1940 (15 
U.S.C. 80a-6(a)) is amended— 
(1) by striking out "the Canal Zone," in parajgraph (1); and 
(2) by striking out paragraph (2) and redesignating para-
graphs (3), (4), and (5) as paragraphs (2), (3), and (4), respectively. 
SEC. 609. Section 9 of the Investment Company Act of 1940 (15 
U.S.C. 80a-9) is amended by striking out paragraphs (1) and (2) in 
subsection (a) and inserting in lieu thereof the following: 
"(1) any person who within 10 years has been convicted of any 
felony or misdemeanor involving the purchase or sale of any 
security or arising out of such person s conduct as an under-
writer, broker, dealer, investment adviser, municipal securities 
dealer, government securities broker, government securities 
dealer, transfer agent, or entity or person required to be reg-
istered under the Commodity Exchange Act, or as an affiliated 
person, salesman, or employee of any investment company, 
bank, insurance company, or entity or person required to be 
registered under the Commodity Exchange Act; 
'(2) any person who, by reason of any misconduct, is perma-
nently or temporarily enjoined by order, judgment, or decree of 
any court of competent jurisdiction from acting as an under-
writer, broker, dealer, investment adviser, municipal securities 
dealer, government securities broker, government securities 
dealer, transfer agent, or entity or person required to be reg-
istered under the Commodity Exchange Act, or as an affiliated 
person, salesman, or employee of any investment company, 
bank, insurance company, or entity or person required to be 
registered under the Commodity Exchange Act, or from engag-
ing in or continuing any conduct or practice in connection with 
any such activity or in connection with the purchase or sale of 
any security; or'. 
SEC. 610, Section 12 of the Investment Company Act of 1940 (15 
U.S.C. 80a-12) is amended— 
(1) by striking out "Treasury" in subsection (d)(l)(A)(iii) and 
inserting in lieu thereof "treasury"; 
(2) by striking out "it reasonably possible" in subsection 
(d)(1)(G) and inserting in lieu thereof "is reasonably possible"; 
and 
(3) by striking out "only thereof in subsection (f) and insert-
ing in lieu thereof "thereof only". 
SEC. 611. Section 15 of the Investment Company Act of 1940 (15 
U.S.C. 80a-15) is amended— 
(1) by striking out "(40)" in subsection (d) and inserting in lieu 
thereof "(42)"; and 
(2) by striking out the period at the end of subparagraph (B) of 
paragraph (3) of subsection (f) and inserting in lieu thereof a 
comma. 
SEC. 612. Section 17 of the Investment Company Act of 1940 (15 
U.S.C. 80a-17) is amended by striking out the second sentence of 
each of subsections (h) and (i). 
SEC. 613. Section 18(e) of the Investment Company Act of 1940 (15 
U.S.C. 80a-18(e)) is amended by striking out paragraph (1) and by 
redesignating paragraphs (2) and (3) as paragraphs (1) and (2), 
respectively. 
101 STAT. 1262 
PUBLIC LAW 100-181—DEC. 4, 1987 
SEC. 614. Section 20 of the Investment Company Act of 1940 (15 
U.S.C. 80a-20) is amended— 
(1) by striking out the second sentence of subsection (b); 
h\ 
(2) by striking out the first sentence of subsection (d); and 
(3) by striking out "at any time after the effective date of this 
title" in subsection (d). 
SEC. 615. Section 21(b) of the Investment Company Act of 1940 (15 
U.S.C. 80a-21(b)) is amended by striking out "to the extension or 
renewal of any such loan made prior to March 15, 1940, or". 
SEC. 616. Section 22 of the Investment Company Act of 1940 (15 
U.S.C. 80a-22) is amended— 
(1) by striking out "subsection Ot))(8)" in paragraph (1) of 
subsection (b) and inserting in lieu thereof "subsection (b)(6)"; 
(2) by striking out paragraph (2) of subsection (b) and re-
designating paragraphs (3) and (4) as paragraphs (2) and (3), 
respectively; 
(3) by striking out "section 15A(k)(2)" in subsection (b)(2) (as so 
redesignated) and inserting in lieu thereof "section 19(c)"; 
(4) by inserting in the first sentence of subsection (e) a comma 
after the word "redemption" where it first appears and where it 
appears for the third time; and 
(5) by striking out the last sentence of subsection (e). 
SEC. 617. Section 24(d) of the Investment Company Act of 1940 (15 
U.S.C. 80a-24(d)) is amended by inserting a period immediately after 
"is the issuer" in the second sentence thereof and by striking out all 
that follows in such sentence. 
SEC. 618. Section 260^) of the Investment Company Act of 1940 (15 
U.S.C. 80a-26(b)) is amended by striking out "intend" and inserting 
in lieu thereof "intended". 
SEC. 619. Section 26(c) of the Investment Company Act of 1940 (15 
U.S.C. 80a-26(c)) is amended by striking out "contract of agreement" 
and inserting in lieu thereof "contract or agreement". 
SEC. 620. Section 28(a)(2)(B) of the Investment Company Act of 
1940 (15 U.S.C. 80a-28(a)(2)(B)) is amended by striking out "subsec-
tion" and inserting in lieu thereof "paragraph". 
SEC. 621. Section 28(d)(2) of the Investment Company Act of 1940 
(15 U.S.C. 80a-28(d)(2)) is amended by inserting "of immediately 
before "subsection (a)". 
SEC. 622. Section 36 of the Investment Company Act of 1940 (15 
U.S.C. 80a-35) is amended— 
(1) by striking out "loans" in paragraph (4) of subsection O
t
>
) 
and inserting in lieu thereof "loads"; 
(2) by redesignating subsection (d) as subsection (c); and 
(3) in subsection (c) (as so redesignated), by striking out 
"through (c)" and inserting in lieu thereof "and (b)". 
SEC. 623. Section 42 of the Investment Company Act of 1940 (15 
U.S.C. 80a-41) is amended by redesignating subsection (e) as subsec-
tion (d). 
SEC. 624. Section 53 of the Investment Company Act of 1940 (15 
U.S.C. 80a-52) is amended by inserting a period in the first sentence 
thereof immediately after "1941" and by striking out everything 
that follows in such sentence. 
SEC. 625. Section 54(a) of the Investment Company Act of 1940 (15 
U.S.C. 80a-53(a)) is amended by striking out "defined in sections" 
and inserting in lieu thereof "defined in section". 
PUBLIC LAW 100-181—DEC. 4, 1987 
101 STAT. 1263 
SEC. 626. Section 55(a)(1)(B) of the Investment Company Act of 
1940 (15 U.S.C. 80a-54(a)(l)(B)) is amended by striking out "described 
in sections" and inserting in lieu thereof "described in section". 
SEC. 627. Section 57(i) of the Investment Company Act of 1940 (15 
U.S.C. 80a-56(i)) is amended by striking out "sections 17 (a) and (d)" 
each place it appears and inserting in lieu thereof "subsections (a) 
and (d) of section 17". 
TITLE VII—AMENDMENTS TO THE INVESTMENT ADVISERS 
ACT OF 1940 
SEC. 701. Section 202(a)(19) of the Investment Advisers Act of 1940 
(15 U.S.C. 80b-2(a)(19)) is amended by striking out "the Canal 
Zone,". 
SEC. 702. Section 203 of the Investment Advisers Act of 1940 (15 
U.S.C. 80b-3) is amended— 
(1) by inserting "transfer agent," after "fiduciary," in subsec-
tion (e)(2)(B); 
(2) by inserting "transfer agent," after "government securities 
dealer," in subsection (e)(3); 
(3) by striking out "or seeking to become associated" in the 
first sentence of subsection (f) and inserting in lieu thereof 
", seeking to become associated, or, at the time of the alleged 
misconduct, associated or seeking to become associated"; and 
(4) by striking out "subsection (d)" in subsection (g) and 
inserting in lieu thereof "subsection (c) or subsection (e)". 
SEC. 703. Section 205 of the Investment Advisers Act of 1940 (15 
U.S.C. 80b-5) is amended to read as follows: 
"INVESTMENT ADVISORY CONTRACTS 
"SEC. 205. (a) No investment adviser, unless exempt from registra-
tion pursuant to section 203(b), shall make use of the mails or any 
means or instrumentality of interstate commerce, directly or in-
directly, to enter into, extend, or renew any investment advisory 
contract, or in any way to perform any investment advisory contract 
entered into, extended, or renewed on or after the effective date of 
this title, if such contract— 
"(1) provides for compensation to the investment adviser on 
the basis of a share of capital gains upon or capital appreciation 
of the funds or any portion of the funds of the client; 
"(2) fails to provide, in substance, that no assignment of such 
contract shall be made by the investment adviser without the 
consent of the other party to the contract; or 
"(3) fails to provide, in substance, that the investment adviser, 
if a partnership, will notify the other party to the contract of 
any change in the membership of such partnership within a 
reasonable time after such change. 
"(b) Paragraph (1) of subsection (a) shall not— 
"(1) be construed to prohibit an investment advisory contract 
<
• 
which provides for compensation b£U3ed upon the total value of a 
fund averaged over a definite period, or as of definite dates, or 
taken as of a definite date; 
"(2) apply to an investment advisory contract with— 
"(A) an investment company registered under title I of 
this Act, or 
101 STAT. 1264 
PUBLIC LAW 100-181—DEC. 4, 1987 
; 
"(B) any other person (except a trust, governmental plan, 
collective trust fund, or separate account referred to in 
section 3(c)(ll) of title I of this Act), provided that the 
contract relates to the investment of assets in excess of $1 
million, 
if the contract provides for compensation based on the asset 
value of the company or fund under management averaged over 
a specified period and increasing and decreasing proportion-
ately with the investment performance of the company or fund 
over a specified period in relation to the investment record of an 
appropriate index of securities prices or such other measure of 
' " investment performance as the Commission by rule, regulation, 
or order may specify; or 
"(3) apply with respect to any investment advisory contract 
' ^ between an investment adviser and a business development 
company, as defined in this title, if (A) the compensation pro-
-
;
>
€
»
• vided for in such contract does not exceed 20 per centum of the 
realized capital gains upon the funds of the business develop-
ment company over a specified period or as of definite dates, 
computed net of all realized capital losses and unrealized capital 
depreciation, and the condition of section 61(a)(3)(B)(iii) of title I 
of this Act is satisfied, and (B) the business development com-
pany does not have outstanding any option, warrant, or right 
issued pursuant to section 61(aX3)(B) of title I of this Act and 
does not have a profit-sharing plan described in section 57(n) of 
titlelof this Act. 
"(c) For purposes of paragraph (2) of subsection (b), the point from 
which increases and decreases in compensation are measured shall 
be the fee which is paid or earned when the investment performance 
of such company or fund is equivalent to that of the index or other 
measure of performance, and an index of securities prices shall be 
deemed appropriate unless the Commission by order shall deter-
mine otherwise. 
"(d) As used in paragraphs (2) and (3) of subsection (a),'investment 
advisory contract' means any contract or agreement whereby a 
person agrees to act as investment adviser to or to manage any 
investment or trading account of another person other than an 
investment company registered under title I of this Act.". 
SEC. 704. Section 209 of the Investment Advisers Act of 1940 (15 
U.S.C. 80b-9) is amended by redesignating subsection (e) as subsec-
tion (d). 
SEC. 705. Section 2110)) of the Investment Advisers Act of 1940 (15 
U.S.C. 80b-llCb)) is amended by striking out "the Federal Register 
Act" and inserting in lieu thereof "chapter 15 of title 44, United 
States Code,". 
SEC. 706. Section 213(a) of the Investment Advisers Act of 1940 (15 
U.S.C. 80b-13(a)) is amended by striking out "sections 239 and 240 of 
the Judicial Code, as amended" and inserting in lieu thereof "sec-
tion 1254 of title 28, United States Code". 
SEC. 707. Section 214 of the Investment Advisers Act of 1940 (15 
U.S.C. 80b-14) is amended by striking out "sections 128 and 240 of 
the Judicial Code, as amended, and section 7, as amended, of the Act 
entitled, 'An Act to establish a court of appeals for the District of 
Columbia', approved February 9,1893", and inserting in lieu thereof 
"sections 1254, 1291, 1292, and 1294 of title 28, United States Code". 
PUBLIC LAW 100-181—DEC. 4, 1987 
101 STAT. 1265 
TITLE VIII—AMENDMENTS RELATING TO GOVERNMENT 
SECURITIES ACT OF 1986 
SEC. 801. (a) Section 15C(aXl)(B)(i) of the Securities Exchange Act 
of 1934 (15 U.S.C. 78o-4(a)(lXBXi)) is amended by striking out i5USC78o-5. 
"When" and inserting "When such". 
(b) Section 17(f)(lXA) of such Act (15 U.S.C. 78q(f)(lXA)) is amended 
by striking out "government securities," and inserting "securities 
issued pursuant to chapter 31 of title 31, United States Code,". 
,„>»..? 
SEC. 802. Section 16(12) of the Securities Investor Protection Act of 
1970 (15 U.S.C. 78111(12)) is amended by inserting before the period 15 use mil. 
at the end thereof the following: "other than a government securi-
ties broker or government securities dealer registered under section 
15C(aXl)(A) of the 1934 Act". 
•' •
;
> 
Approved December 4, 1987. 
i- 
y-t 
' '-' 
T'^ 
'• '-.'.i''^'dc 
. 
• . 
- 
.» 
'JM 
-3'' iL\ 
"< 
LEGISLATIVE HISTORY—S. 1452 (H.R. 2600): 
HOUSE REPORTS: No. 100-296 accompanying H.R. 2600 (Comm. on Energy and 
Commerce). 
SENATE REPORTS: No. 100-105 (Comm. on Banking, Housing, and Urban Affairs). 
CONGRESSIONAL RECORD, Vol. 133 (1987): 
July 10, considered and passed Senate. 
Sept. 10, H.R. 2600 considered and passed House; proceedings vacated and S. 
1452, amended, passed in lieu. 
Oct. 30, Senate concurred in House amendments with an amendment. 
Nov. 20, House concurred in Senate amendment.