Sec. 4. Amendments to the Securities Exchange Act of 1934
1,099 words·~5 min read·
/bill/114/hr/4619/ih/section-4A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
Section 21F(a) of the Securities Exchange Act of 1934 ( 15 U.S.C. 78u–6(a) ) is amended by striking paragraph (6). Section 21F(c)(1)(B) of the Securities Exchange Act of 1934 ( 15 U.S.C. 78u–6(c)(1)(B) ) is amended— in clause (i)(IV), by striking and at the end; and by adding at the end the following new clauses: shall not deny eligibility for an award that otherwise meets the requirements of this section if the information that forms the basis for the award is submitted within 90 days after knowledge of disclosed misconduct; and shall presume that reports are timely and not reduce the award due to delay, absent a finding of that disclosure was deliberately postponed ether because of culpability, interference with internal investigative processes, or attempts at self-enrichment. .
Section 21F(h)(1)(A) of the Securities Exchange Act of 1934 ( 15 U.S.C. 78u–6(h)(1)(A) ) is amended— in the matter preceding clause (i), by striking in the terms and conditions of employment because of any lawful act done by the whistleblower and inserting with respect to compensation, terms, conditions, or privileges of employment because of any lawful act done by the applicant, employee, or former employee or perceived to have been done by the applicant, employee, or former employee (or any person acting pursuant to the request of the applicant, employee, or former employee), whether at the initiative of the applicant, employee, or former employee or in the ordinary course of the duties of the applicant, employee, or former employee ; in clause
(ii)by striking ; or and inserting a semicolon; in clause
(iii)by striking the period at the end and inserting a semicolon; and by adding at the end the following new clauses: in objecting to, or refusing to participate in, any activity, policy, practice, or assigned task the applicant, employee, or former employee (or other such person) reasonably believed to be in violation of any law, rule, order, standard, or prohibition subject to the jurisdiction of, or enforceable by, the Commission; or in providing, preparing to provide, or assisting in the provision of information to the employer or a person with supervisory authority over the employee (or other such person working for the employer who has the authority to investigate, discover, or terminate misconduct) relating to any violation of, or any act or omission that the applicant, employee, or former employee believes to be a violation of, any provision of this title or any other provision of law that is subject to the jurisdiction of the Commission, or any rule, order, standard, or prohibition prescribed by the Commission. . Section 21F(h)(1)(B) of the Securities Exchange Act of 1934 ( 15 U.S.C. 78u–6(h)(1)(B) ) is amended by adding at the end the following new clause: Except as otherwise provided in this section, complaints for relief shall be governed by the procedures, evidentiary standards, and burdens of proof in section 1057 of the Dodd-Frank Wall Street Reform and Consumer Protection Act ( 12 U.S.C. 5567 ). . Section 21F(h)(1)(C) of the Securities Exchange Act of 1934 ( 15 U.S.C. 78u–6(h)(1)(C) ) is amended— in clause
(ii)by striking and ; in clause
(iii)by striking the period at the end and inserting a semicolon; and by adding at the end the following new clauses: compensatory damages; and punitive damages in an amount not to exceed $250,000. . Section 21F(h)(2) of the Securities Exchange Act of 1934 ( 15 U.S.C. 78u–6(h)(2) ) is amended by striking subparagraph
(A)and inserting the following: Except as provided in subparagraphs (B), (C), and
(D)of this subsection, the Commission and any officer or employee of the Commission may not disclose any identifying information about a whistleblower who has provided information to the Commission— unless the Commission has obtained the written consent of the whistleblower; except in accordance with the provisions of section 552a of title 5, United States Code; or unless required to be disclosed to a defendant or respondent in connection with a public proceeding instituted by the Commission. . Section 21F of the Securities Exchange Act of 1934 ( 15 U.S.C. 78u–6 ) is amended by adding at the end the following new subsections: An employer may not take any action to impede an individual who is about to or has assisted or engaged in activity protected by this section, including— issuing, proposing, initiating, enforcing, or threatening to enforce, a confidentiality agreement (other than agreements dealing with information covered by sections 240.21F–4(b)(4)(i) and 240.21F–4(b)(4)(ii) of title 17, Code of Federal Regulations, as in effect on the date of the enactment of this Act) with respect to such communications; initiating, enforcing, or threatening to enforce, any agreement, policy, form, or condition of employment, including by any predispute arbitration agreement, that waives the rights and remedies provided for in this section; requiring an individual to waive, release, or assign any monetary award such individual may receive from the Commission, or conditioning an individual’s right to receive any contractual or employment-related benefit on such a waiver, release, or assignment; requiring an individual to disclose to any private party whether such individual has, or in the future intends to, communicate with the Commission staff about a possible commodities law violation; conditioning an individual’s right to receive any contractual or employment-related benefit on a representation that such individual has not communicated with, or provided documents or other information, to the Commission staff; seeking civil or criminal liability for acquiring and communicating information to the Commission or other activity protected by this section; seeking professional discipline through loss of license, certification, or other disciplinary activities for engaging in activity protected by this Act; seeking professional discipline of attorneys for representation of activities protected by this Act, or other action that obstructs the whistleblower’s right to counsel; or engaging in any other discrimination that would chill the exercise of activity protected by this section. The Commission shall issue regulations requiring each employer— to have a procedure in place for an employee or former employee to report directly to the chief executive officer, a representative appointed by and reporting directly to the chief executive officer who is specifically designated to receive such a report, or through a hotline consistent with professional best practices to the audit committee of the board of directors, if such employee or former employee believes that violations of this section have occurred or are occurring at the place of employment or place of former employment; and to not discriminate against an employee or former employee for such reports. The protections provided by this section shall also apply to foreign nationals living outside the United States. .
Connectionstraces to 1
Traces to 1 document
U.S. Code
7 references not yet in our index
- 15 USC 78u–6(a)
- 15 USC 78u–6(c)(1)(B)
- 15 USC 78u–6(h)(1)(A)
- 15 USC 78u–6(h)(1)(B)
- 15 USC 78u–6(h)(1)(C)
- 15 USC 78u–6(h)(2)
- 15 USC 78u–6
Citation graph
cites case law
Sec. 4
Amendments to the Securities Exchange Act of 1934
Cite15 USC 78u–6(a)
Cite15 USC 78u–6(c)(1)(B)
Cite15 USC 78u–6(h)(1)(A)
Cite15 USC 78u–6(h)(1)(B)
Cite15 USC 78u–6(h)(1)(C)
Cites 8 · showing 6Cited by 0 across 0 sources