Public Law 622.
7,771 words·~35 min read·
/statutes-at-large/vol-49/public-law-622·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
(/us/pl/74/621).] *Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled*, That subsection
(f)Securities Exchange Act of 1934, amendments.Vol. 48, p. 894; [U. S. C., p. 536](/us/usc/536).Trading in unlisted securities upon national exchanges.Continuance of certain categories.Security admitted before March 1, 1934.of section 12 of the Securities Exchange Act of 1934 is amended to read as follows: " “(f) Notwithstanding the foregoing provisions of this section, any national securities exchange, upon application to and approval of such application by the Commission and subject to the terms and conditions hereinafter set forth,
(1)may continue unlisted trading privileges to which a security had been admitted on such exchange prior to March 1, 1934; or
(2)may extend unlisted trading privileges Listed and registered on another exchange.to any security duly listed and registered on any other national securities exchange, but such unlisted trading privileges shall continue in effect only so long as such security snail remain listed and registered on any other national securities exchange; or
(3)may Equivalent registration statement available.extend unlisted trading privileges to any security in respect of which there is available from a registration statement and periodic reports or other data filed pursuant to rules or regulations prescribed by the Commission under this title or the Securities Act of 1933, as amended, information substantially equivalent to that available pursuant to rules or regulations of the Commission in respect of a security duly listed and registered on a national securities exchange, but such unlisted trading privileges shall continue in effect only so long as such a registration statement remains effective and such periodic reports or other data continue to be so filed. “No application pursuant to this subsection shall be approved Conditional continuance of privileges.unless the Commission finds that the continuation or extension of unlisted trading privileges pursuant to such application is necessary or appropriate in the public interest or for the protection of investors. No application to extend unlisted trading privileges to Notice and hearing.any security pursuant to clause
(2)or
(3)of this subsection shall be approved except after appropriate notice and opportunity for hearing. No application to extend unlisted trading privileges to any Establishment to be in public interest.security pursuant to clause
(2)or
(3)of this subsection shall be approved unless the applicant exchange shall establish to the satisfaction of the Commission that there exists in the vicinity of such exchange sufficiently widespread public distribution of such security and sufficient public trading activity therein to render the extension of unlisted trading privileges on such exchange thereto necessary or appropriate in the public interest or for the protection of investors. No application to extend unlisted trading privileges to Obligations imposed. any security pursuant to clause
(3)of this subsection shall be approved except upon such terms and conditions as will subject the issuer thereof, the officers and directors of such issuer, and every beneficial owner of more than 10 per centum of such security to 1376duties substantially equivalent to the duties which would arise pursuant to this title if such security were duly listed and registered on a Exceptions.national securities exchange; except that such terms and conditions need not be imposed in any case or class of cases in which it shall appear to the Commission that the public interest and the protection of investors would nevertheless best be served by such extension of Publication of transactions or quotations; differentiation between listed and unlisted securities.unlisted trading privileges. In the publication or making available for publication by any national securities exchange, or by any person directly or indirectly controlled by such exchange, of quotations or transactions in securities made or effected upon such exchange, such exchange or controlled person shall clearly differentiate between quotations or transactions in listed securities, and quotations or transactions in securities for which unlisted trading privileges on such exchange have been continued or extended pursuant to this Other than by ticker.subsection. In the publication or making available for publication of such quotations or transactions otherwise than by ticker, such exchange or controlled person shall group under separate headings
(A)quotations or transactions in listed securities, and
(B)quotations or transactions in securities for which unlisted trading privileges on such exchange has been continued or extended pursuant to this subsection. Suspension of privileges when in public interest, etc.“The Commission shall by rules and regulations suspend unlisted trading privileges in whole or in part for any or all classes of securities for a period not exceeding twelve months, if it deems such suspension necessary or appropriate in the public interest or for the protection of investors or to prevent evasion of the purposes of this title. Termination of privileges; notice and hearing.Withdrawal of security by issuer; exception.“Unlisted trading privileges continued for any security pursuant to clause
(1)of this subsection shall be terminated by order, after appropriate notice and opportunity for hearing, if it appears at any time that such security has been withdrawn from listing on any exchange by the issuer thereof, unless it shall be established to the satisfaction of the Commission that such delisting was not designed to evade the purposes of this title or unless it shall appear to the Commission that, notwithstanding any such purpose of evasion, the continuation of such unlisted trading privileges nevertheless necessary or appropriate in the public interest or for the protection Inadequate distribution, trading activity, etc.of investors. On the application of the issuer of any security for which unlisted trading privileges on any exchange have been continued or extended pursuant to this subsection, or of any broker or dealer who makes or creates a market for such security, or of any other person having a bonafide interest, in the question of termination or suspension of such unlisted trading privileges, or on its own motion, the Commission shall by order terminate, or suspend for a period not exceeding twelve months, such unlisted trading privileges for such security if the Commission finds, after appropriate notice and opportunity for hearing, that by reason of inadequate public distribution of such security in the vicinity of said exchange, or by reason of inadequate public trading activity or of the character of trading therein on said exchange, such termination or suspension is necessary or appropriate in the public interest or for the protection of investors. Notice, hearing, etc..“In any proceeding under this subsection in which appropriate notice and opportunity for hearing are required, notice of not less than ten days to the applicant in such proceeding, to the issuer of the security involved, to the exchange which is seeking to continue or extend or has continued or extended unlisted trading privileges for such security, and to the exchange, if any, on which such security is listed and registered, shall be deemed adequate notice, and any broker or dealer who makes or creates a market for such security, 1377and any other person having a bonafide interest in such proceeding, shall upon application be entitled to be heard. “Any security for which unlisted trading privileges are continuedSecurities hereunder deemed registered. or extended pursuant to this subsection shall be deemed to be registered on a national securities exchange within the meaning of this title. The powers and duties of the Commission under subsection Commission’s powers extended.Vol. 48. p. 898.[U. S. C., p. 538](/us/usc/538).Exemptions permitted.(b) of section 19 of this title shall be applicable to the rules of an exchange in respect of any such security. The Commission may, by such rules and regulations as it deems necessary or appropriate in the public interest or for the protection of investors, either unconditionally or upon specified terms and conditions, or for stated periods, exempt such securities from the operation of any provision or section Vol. 48. pp. 894, 895, 896.13, 14, or 16 of this title.” " Sec. 2. Any application to continue unlisted trading privileges Applications to continue trading privileges for security heretofore approved.Vol. 48. p. 894.for any security heretofore filed by any exchange and approved by the Commission pursuant to clause
(1)of subsection
(f)of section 12 of the Securities Exchange Act of 1934 and rules and regulations thereunder shall be deemed to have been filed and approved pursuant to clause
(1)of said subsection
(f)as amended by section 1 of this Act. Sec. 3. Section 15 of the Securities Exchange Act of 1934 isOver-the-counter markets.Vol. 48, p. 895; [U. S. C., p. 536](/us/usc/536).Use of the mails, etc., by unregistered brokers, etc.amended to read as follows: " “Sec. 15.
(a)No broker or dealer (other than one whose business is exclusively intrastate) shall make use of the mails or of any means or instrumentality of interstate commerce to effect any transaction in, or to induce the purchase or sale of, any security (other than an exempted security or commercial paper, bankers’ acceptances, or commercial bills) otherwise than on a national securities exchange, unless such broker or dealer is registered in accordance with subsection
(b)of this section. “(b) A broker or dealer may be registered for the purposes of Applications for registration; contents.this section by filing with the Commission an application for registration, which shall contain such information in such detail as to such broker or dealer and any person directly or indirectly controlling or controlled by, or under direct or indirect common control with, such broker or dealer, as the Commission may by rules and regulations require as necessary or appropriate in the public interest or for the protection of investors. Except as hereinafter provided, Effective date.such registration shall become effective thirty days after the receipt of such application by the Commission or within such shorter period of time as the Commission may determine. “An application for registration of a broker or dealer to be formed Application by broker or dealer to be formed or organized; contents, etc.or organized may be made by a broker or dealer to which the broker or dealer to be formed or organized is to be the successor. Such application shall contain such information in such detail as to the applicant and as to the successor and any person directly or indirectly controlling or controlled by, or under direct or indirect common control with, the applicant or the successor, as the Commission may by rules and regulations require as necessary or appropriate in the public interest or for the protection of investors. Except as hereinafter Effective date.provided, such registration shall become effective thirty days after the receipt of such application by the Commission or within such shorter period of time as the Commission may determine. Such Adoption of application by successor.registration shall terminate on the forty-fifth day after the effective date thereof, unless prior thereto the successor shall, in accordance with such rules and regulations as the Commission may prescribe, adopt such application as its own. “If any amendment to any application for registration pursuant Amendments to applications.to this subsection is filed prior to the effective date thereof, such amendment shall be deemed to have been filed simultaneously with 1378Postponement of effective date by Commission.and as part of such application; except that the Commission may, if it appeals necessary or appropriate in the public interest or for the protection of investors, defer the effective date of any such registration as thus amended until the thirtieth day after the filing of such amendment. Registration; denial or revocation for specified causes. “The Commission shall, after appropriate notice and opportunity for hearing, by order deny registration to or revoke the registration of any broker or dealer if it finds that such denial or revocation is in the public interest and that
(1)such broker Misleading, etc., statements in application.or dealer whether prior or subsequent to becoming such, or
(2)any partner, officer, director, or branch manager of such broker or dealer (or any person occupying a similar status or performing similar functions), or any person directly or indirectly controlling or controlled by such broker or dealer, whether prior or subsequent to becoming such,
(A)has willfully made or caused to be made in any application for registration pursuant to this subsection or in any document supplemental thereto or in any proceeding before the Commission with respect to registration pursuant to this subsection any statement which was at the time and in the light of the circumstances under which it was Previous conviction.made false or misleading with respect to any material fact; or
(B)has been convicted within ten years preceding the filing of any such application or at any time thereafter of any felony or misdemeanor involving the purchase or sale of any security or arising out of the Subject to court injunction, etc.conduct of the business of a broker or dealer; or
(C)is permanently or temporarily enjoined by order, judgment, or decree of any court of competent jurisdiction from engaging in or continuing any conduct or practice in connection with the purchase or sale of any Willful violations of law, etc.security; or
(D)has willfully violated any provision of the Securities Act of 1933, as amended, or of this title, or of any rule or regulation Postponement of effective date of registration.thereunder. Pending final determination whether any such registration shall be denied, the Commission may by order postpone the effective date of such registration for a period not to exceed fifteen days, but if, after appropriate notice and opportunity for hearing, it shall appear to the Commission to be necessary or appropriate in the public interest or for the protection of investors to postpone the effective date of such registration until final determination, the Commission Suspension of registration.shall so order. Pending final determination whether any such registration shall be revoked, the Commission shall by order suspend such registration if, after appropriate notice and opportunity for hearing, such suspension shall appear to the Commission to be necessary or appropriate in the public interest or for the protection Withdrawal from registration by brokers, etc.of investors. Any registered broker or dealer may, upon such terms and conditions as the Commission may deem necessary in the public interest or for the protection of investors, withdraw from registration by filing a written notice of withdrawal with the Cancelation of registration or application by Commission.Commission. If the Commission finds that any registered broker or dealer, or any broker or dealer for whom an application for registration is pending, is no longer in existence or has ceased to do business as a broker or dealer, the Commission shall by order cancel the registration or application of such broker or dealer. “(c) Use of mails, etc., to induce purchase or sale by fraudulent, etc., device. No broker or dealer shall make use of the mails or of any means or instrumentality of interstate commerce to effect any transaction in, or to induce the purchase or sale of, any security (other than commercial paper, banker’s acceptances, or commercial bills) otherwise than on a national securities exchange, by means of any manipulative, deceptive, or other fraudulent device or contrivance. Definition by Commission.The Commission shall, for the purposes of this subsection, by rules and regulations define such devices or contrivances as are manipulative, deceptive, or otherwise fraudulent. 1379 “(d) Each registration statement hereafter filed pursuant to the Registration statement.Undertaking by issuer to furnish periodic information, etc.Securities Act of 1933, as amended, shall contain an undertaking by the issuer of the issue of securities to which the registration statement relates to file with the Commission, in accordance with such rules and regulations as the Commission may prescribe as necessary or appropriate in the public interest or for the protection of investors, such supplementary and periodic information, documents, and reports as may be required pursuant to section 13 of this title in Vol. 48, p. 894.respect of a security listed and registered on a national securities exchange; but such undertaking shall become operative only if the When operative.aggregate offering price of such issue of securities, plus the aggregate value of all other securities of such issuer of the same class (as hereinafter defined) outstanding, computed upon the basis of such offering price, amounts to $2,000,000 or more. The issuer shall file Duty to file information suspended under designated circumstances.such supplementary and periodic information, documents, and reports pursuant to such undertaking, except that the duty to file shall be automatically suspended if and so long as
(1)such issue of securities is listed and registered on a national securities exchange, or
(2)by reason of the listing and registration of any other security of such issuer on a national securities exchange, such issuer is required to file pursuant to section 13 of this title information, documents, and reports substantially equivalent to such as would be required if such issue of securities were listed and registered on a national securities exchange, or
(3)the aggregate value of all outstanding securities of the class to which such issue belongs is reduced to less than $1,000,000, computed upon the basis of the offering price “Class” construed.of the last issue of securities of said class offered to the public. For the purposes of this subsection, the term ‘class’ shall be construed to include all securities of an issuer which are of substantially similar character and the holders of which enjoy substantially similar rights and privileges. Nothing in this subsection shall apply to Securities of foreign governments.securities issued by a foreign government or political subdivision thereof or to any other security which the Commission may by rules Other exempted securities.and regulations exempt as not comprehended within the purposes of this subsection.” " Sec. 4. Subsection
(a)of section 17 of such Act is amended by Broker’s accounts and records.Vol. 48, p. 897.striking out “every broker or dealer making or creating a market for both the purchase and sale of securities through the use of the mails or of any means or instrumentality of interstate commerce”, and inserting in lieu thereof “every broker or dealer registered pursuant to section 15 of this title”. Sec. 5. Subsection
(a)of section 18 of such Act is amended by Misleading statements.Vol. 48, p. 897.inserting immediately before the comma following “any rule or regulation thereunder” the following: “or any undertaking contained in a registration statement as provided in subsection
(d)of section 15 of this title”. Sec. 6. Subsection
(c)of section 20 of such Act is amended byUnreasonably delaying, etc., reports.Vol. 48, p. 899 inserting immediately before the period the following: “or any undertaking contained in a registration statement as provided iii subsection
(d)of section 15 of this title”. Sec. 7. Subsection
(f)of section 21 of such Act is amended by Issuance of writs of mandamus.Vol. 48, p. 901.inserting immediately before the period the following: “or with any undertaking contained in a registration statement as provided in subsection
(d)of section 15 of this title”. Sec. 8. Subsection
(a)of section 23 of such Act is amended to read as follows: " “(a) The Commission and the Board of Governors of the Federal Rules and regulations. Vol. 48, p. 901.Reserve System shall each have power to make such rules and regulations as may be necessary for the execution of the functions vested 1380in them by this title, and may for such purpose classify issuers, securities, exchanges, and other persons or matters within their Acts done or omitted in good faith in conformity to regulations, etc.respective jurisdictions. No provision of this title imposing any liability shall apply to any act done, or omitted in good faith in conformity with any rule or regulation of the Commission or the Board of Governors of the Federal Reserve System, notwithstanding that such rule or regulation may, after such act or omission, be amended or rescinded or be determined by judicial or other authority to be invalid for any reason.” " Sec. 9.Penalties.Vol. 48, p. 904. Section 32 of such Act is amended by striking out “Sec 32.” and inserting in lieu thereof “Sec. 32. (a)”; by inserting immediately before the comma follow in the phrase “filed under this title or any rule or regulation thereunder” the following: “or any undertaking contained in a registration statement as provided in subsection
(d)of section 15 of this title”; and by adding thereto a new subsection
(b)to read as follows: " “(b) Failure to file required information, etc. Any issuer which fails to file information, documents, or reports pursuant to an undertaking contained in a registration statement as provided in subsection
(d)of section 15 of this title shall forfeit to the United States the sum of $100 for each and every day such failure to file shall continue. Such forfeiture, which shall be in lieu of any criminal penalty for such failure to file which might be deemed to arise under subsection
(a)of this section, shall be pay-able into the Treasury of the United States and shall be recoverable in a civil suit in the name of the United States.” " Sec. 10.Status of present registered brokers, etc. All brokers and dealers for whom registration is in effect on the date of enactment of this Act in accordance with rules and regulations of the Commission prescribed pursuant to section 15 Vol. 48, p. 895.*Ante*, p. 1377.of the Securities Exchange Act of 1934 shall be deemed to be registered pursuant to section 15 of such Act as amended by section 3 of this Act. Sec. 11.Prior liabilities. Nothing in this Act shall be deemed to extinguish any liability which may have arisen prior to the effective date of this Act by reason of any violation of section 15 of the Securities Exchange Act of 1934 or of any rule or regulation thereunder. Sec. 12. Effective dates. This Act shall become effective immediately upon the enactment thereof ; except that clause
(2)of subsection
(f)of section *Ante*, p. 1375.12 of the Securities Exchange Act of 1934, as amended by section 1 hereof, and subsections
(a)and
(d)of section 15 of such Act, as *Ante*, p. 1377.amended by section 3 hereof, shall become effective ninety days after the enactment of this Act, and that clause
(3)of said subsection (f), as amended by section 1 hereof, shall become effective six months after the enactment of this Act. Approved, May 27, 1936. To provide for a change in the designation of the Bureau of Navigation and Steamboat Inspection, to create a marine casualty investigation board and increase efficiency in administration of the steamboat inspection laws, and for other purposes. 1936-05-27 463 Chapter 49 Stat. 1380 74 2 United States Government Publishing Office text/xml EN Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain. Digitization Vendor 2025-01-07 public [CHAPTER 463.] AN ACT To provide for a change in the designation of the Bureau of Navigation and Steamboat Inspection, to create a marine casualty investigation board and increase efficiency in administration of the steamboat inspection laws, and for other purposes. May 27, 1936.[[H. R. 8599](/us/bill/74/hr/8599).][[Public, No. 622](/us/pl/74/622).] *Be it enacted by the Senate and Howe of Representatives of the United States of America in Congress assembled*, Department of Commerce.Bureau of Navigation and Steamboat Inspection.Change in designation of. That the Bureau of Navigation and Steamboat Inspection in the Department of Commerce shall hereafter be known as the “Bureau of Marine Inspection and Navigation.” 1381 Sec. 2. That section 4404 of the Revised Statutes is hereby amended [R. S., sec. 4404, p. 853](/us/rs/4404/853); [U. S. C., p. 2014](/us/usc/2014).to read as follows: " “Sec. 4404. There shall be seven supervising inspectors, who shall Supervising inspectors.Appointment; number.be appointed by the Secretary of Commerce. In the appointment of the supervising inspectors provided for by this section the Secretary of Commerce shall give due consideration to the reappointment of such of the present supervising inspectors as by their record of efficiency and experience have demonstrated their fitness for their positions. All vacancies occurring thereafter in the Board Filling vacancies.of Supervising Inspectors may be filled by selection from the principal traveling inspectors provided for by section 3 of this Act, or from the United States Local Inspectors. ’Each supervising inspector Salary and expenses.shall be entitled to a salary of not to exceed $6,000 per annum and his necessary traveling expenses while traveling on official business assigned him by competent authority, together with his actual and reasonable expenses for transportation of instruments, which shall be certified and sworn to under such instructions as shall be given by the Secretary of Commerce. “In the case of the absence of any such supervising inspector from Designation of acting supervising inspectors.his official station, the Secretary of Commerce may designate some officer of the Bureau of Marine Inspection and Navigation to perform the duties of such officer during his absence.” " Sec. 3. That there shall be in the field service of the Bureau of Field service.Principal traveling inspectors; number.Marine Inspection and Navigation in the Department of Commerce not to exceed ten principal traveling inspectors to be appointed by the Secretary of Commerce, the compensation of such principal Compensation and expenses.traveling inspectors to be fixed by the Secretary of Commerce at not to exceed $5,000 per annum. Each of said principal traveling inspectors shall be entitled to his necessary traveling expenses while traveling on official business. Such principal traveling inspectors Qualifications.shall be selected for their knowledge, skill, and practical experience in steam and motor power for navigation and shall be competent judges of the character and qualities of such vessels and of all parts of the machinery employed in such navigation. They also shall have full knowledge of the duties imposed by law on licensed officers and crews of vessels. Sec. 4. That section 4450 of the Revised Statutes is hereby amended [R. S., sec. 4450, p. 801](/us/rs/4450/801); [U. S. C., p. 2003](/us/usc/2003).so as to read: " Sec. 4450.
(a)The Secretary of Commerce shall prescribe rules and regulations Investigation of marine casualties.for the investigation of marine casualties involving loss of life in order to determine whether any incompetence, misconduct, unskillfulness or willful violation of law on the part of any licensed officer, pilot, seaman, employee, owner, or agent of such owner of any vessel involved in such casualty, or any inspector, officer of the Coast Guard, or other officer or employee of the United States, or any other person, caused, or contributed to the, cause of such casualty. For the purpose of investigating such a marine Marine casualty investigation boards; personnel, reports, etc.casualty, the Secretary of Commerce shall appoint a marine casualty investigation board or boards consisting of a chairman and two other members; the chairman shall be an officer or employee of the Department of Justice (learned in maritime laws) designated by the Attorney General; one member shall be a representative of the Bureau of Marine Inspection and Navigation designated by the Secretary of Commerce; and the other member shall be an officer of the United States Coast Guard designated by the Secretary of the Treasury. All reports shall be made to the Secretary of Commerce and such reports shall be public records and be open to inspection at reasonable times by any persons. Copies of such reporte shall be sent to the Attorney General and to the Secretary of the Treasury. 1382 “(b) Rules and regulations. The Secretary of Commerce shall establish rules and regulations for the investigation of marine casualties and accidents not involving loss of life, any act in violation of any of the provisions of this title or of any of the regulations issued thereunder, and all cases of acts of incompetency or misconduct committed by any licensed officer or holder of a certificate of service while acting under the authority of his license or certificate of service, whether or not any of such acts are committed in connection with any marine Classification of marine casualties, etc.casualty or accident. The Secretary of Commerce shall classify marine casualties and accidents not involving loss of life according to the gravity thereof and in making such classification the Secretary shall give consideration to the extent of injuries to persons, the extent of property damage, the dangers actual or potential which such marine casualties or accidents may create to the safety of navigation “Serious” casualties.or commerce. All such marine casualties or accidents classified as serious shall be investigated by a marine board appointed by the Secretary of Commerce consisting of two principal traveling inspectors and a supervising inspector of the Bureau of Marine “Les serious” casualtiesInspection and Navigation. Marine casualties or accidents classified as less serious shall be investigated by a marine board consisting of representatives of the Bureau of Marine Inspection and Navigation designated by the Director thereof. “(c)Other personal services. The said boards provided for in subsections
(a)and
(b)of this section shall, uponthe approval of the Director of the Bureau of Marine Inspection and Navigation, have authority to engage such other assistants, clerical or technical, as may be deemed necessary by the said Director. The members of said boards shall not receive any compensation in addition to that for their regular appointment but shall be entitled to their necessary traveling expenses while traveling on official business. “(d) Investigations of violations of Act or regulations.Incompetency or misconduct. All acts in violation of any of the provisions of this title or of any of the regulations issued thereunder, whether or not committed in connection with any marine casualty or accident, and all acts of incompetency or misconduct, whether or not committed in connection with any marine casualty or accident, committed by any licensed officer acting under authority of his license or by any chief or assistant steward, purser, radio operator, electrician, able seaman, or lifeboat man acting under authority of a certificate of service issued to him by the Bureau of Marine Inspection and Navigation, and all marine casualties and accidents and the attendant circumstances shall be immediately investigated by the appropriate board Scope of investigations.as provided in subsections
(a)and
(b)of this section. Such board shall determine, as far as possible, the cause of any such casualty or accident, the persons responsible therefor, and whether or not the United States Government employees charged with the inspection of the vessel or the vessels involved and with the examination and licensing of the officers thereof have properly performed their duties Rights of person subject to investigation.in connection with such inspection, examination and licensing. In all investigations conducted under the authority of this section, any owner, licensed officer, or any holder of a certificate of service, or any other person whose conduct is under investigation, or any other party in interest, shall be allowed to be represented by counsel, to cross-examine, witnesses, and to call witnesses in his own behalf, and a full and complete record of the facts and circumstances shall be submitted to the Director of the Bureau of Marine Inspection and Navigation. “(e) Securing evidence. In any investigation directed by this section a marine casualty investigation board or a marine board shall have power to summon before it witnesses and to require the production of books, papers, 1383documents, and any other evidence. Attendance of witnesses or Attendance, of witnesses, etc.the production of books, papers, documents, or any other evidence shall be compelled by a similar process as in the United States District Court. The chairman of each of said boards shall administer all necessary oaths to any witnesses summoned before said boards. “(f) Die disbursing clerk, Department of Commerce, shall pay, Fees allowed.on properly certified vouchers, such fees to any witness summoned under subsection
(e)of this section, for his actual travel and attendance, as shall be officially certified to by the chairman of the board conducting the investigation, not exceeding the rate allowed for fees and to witnesses for travel and attendance in any District Court of the United States. “(g) In any investigation of acts of incompetency or misconduct Notice to accused.or of any act in violation of the provisions of this title, or of any of the regulations issued thereunder, committed by any licensed officer or any holder of a certificate of service, the person whose conduct is under investigation shall be given reasonable notice of the time, place, and subject of such investigation and an opportunity to be heard in his own defense. The whole record of the testimony Determination of guilt by Director.received by the board conducting such investigation and the findings and recommendations of such board shall be forwarded to the Director of the Bureau of Marine Inspection and Navigation, and if that officer shall find that such licensed officer or holder of certificate of service is incompetent or has been guilty of misbehavior, negligence, or unskillfulness, or has endangered life, or has willfully violated any of the provisions of this title or any of the regulations Suspension or revocation of license.issued thereunder, he shall, in a written order reciting said findings, suspend or revoke the license or certificate Appeal to Secretary of Commerce.of service of such officer or holder of such certificate. The person whose license or certificate of service is revoked may within thirty days appeal from the order of the said Director to the Secretary of Commerce. On such appeal the appellant shall be allowed to be represented by counsel. The Powers of Secretary.Secretary of Commerce may alter or modify any finding of the. board which conducted the investigation or of the Director of the Bureau of Marine Inspection and Navigation, but the decision of the Secretary of Commerce shall be based solely on the testimony received by the said board and shall recite the findings of fact on which it is based. “(h) If the Director of the Bureau of Marine Inspection and Criminal liability.Finding, submission, to Secretary.Navigation shall find evidence of criminal liability on the part of any licensed officer or holder of a certificate of service, he shall submit such findings to the Secretary of Commerce who, if he be satisfied that such criminal liability exists, shall refer all of the Prosecution.evidence and the findings in such investigation to the Attorney General for investigation by and prosecution through the Federal district attorney of the district having jurisdiction, under the provisions of the Criminal Code. Nothing in this section shall be Investigations and prosecutions by Federal district attorneys.construed as prohibiting the Federal district attorney from conducting a criminal investigation or prosecution in connection with a shipping casualty. “(i) Any attempt to coerce any witnesses, or to induce them to Attempt to coerce, etc., witnesses; punishment.testify falsely in connection with a shipping casualty, or to induce them, to leave the jurisdiction of the United States, shall be Prosecution.punishable by a fine of $5,000 or imprisonment, for one year, or both such fine and imprisonment. Any person making such attempts shall be prosecuted by the Federal district attorney of the district having jurisdiction. “(j) The Secretary of Commerce shall make such regulations Administrative regulations.as may be necessary to secure the proper administration of this section.” 1384
(k)Effective date of section.Technical staff established.Personnel, qualifications. This section shall take effect ninety days from its enactment. " Sec. 5.
(a)That hereafter there shall be in the Bureau of Marine Inspection and Navigation a technical staff, consisting of the Director and technical members who shall be selected for their knowledge, skill, and practical experience in designing and supervising the construction and operation of vessels propelled by machinery, and they shall be competent judges of the character, strength, stability, and Appointment.[U. S. C., p. 81](/us/usc/81).safety qualities of such vessels and their equipment. Such technical members shall be appointed by the Secretary of Commerce, without Supervision of tract plans, etc., for passenger vessels.reference to the civil-service laws and regulations. The Director of the said Bureau with the advice and assistance of the technical staff so appointed shall pass upon all contract plans and specifications for passenger vessels of the United States of one hundred gross tons and over, propelled by machinery, as provided for by subsection
(b)of this section, including the installation of tested and effective sprinkler systems, and upon arrangement plans for all material alterations to existing vessels. Such approval shall be given promptly and with due regard to the orderly progress of the work but only when the Director is satisfied, after a full and complete examination of the plans and specifications, that the vessel, when built or altered, as the case may be, can be navigated with safety to those on board. Disapproval of plans.In case the said Director shall disapprove such plans and specifications, the person or persons submitting the same shall be apprised thereof the reasons for such disapproval and advised of the amendments Safety of vessels; regulations for builders. necessary to secure such approval. The Director shall, at as early a date as practicable, and from time to time thereafter as he shall deem advisable, formulate and publish regulations and instructions for the guidance of builders of prospective vessels showing the safety characteristics of vessels which will meet the approval of the *Proviso.*Approval by Secretary.Director: *Provided, however*, That such regulations and instructions shall in all cases be subject to the approval of the Secretary of Commerce.
(b)Certificates of inspection.Requirements for granting. That no passenger vessel of the United States of one hundred gross tons and over, propelled by machinery, the construction or material alteration of which shall be begun subsequent to the passage of this Act, shall be granted a certificate of inspection by a board of local inspectors of the Bureau unless the said general contract plans and specifications therefor shall have been submitted at least in triplicate to and approved by the aforesaid Director before the construction of such vessel or alteration thereof shall have been commenced; nor shall any such vessel, the said plans or specifications for which have been materially altered subsequent to such approval be granted a certificate, as aforesaid, unless such altered plans and specifications shall have been submitted at least in triplicate to and approved by the said Director, prior to such change in construction having been made. No such certificate shall be granted to any such vessel which has not been constructed and equipped in accordance with said plans and specifications approved as aforesaid: *Provided*,*Proviso.*Acceptance of approved plans, etc., of American Bureau of Shipping classed vessels.That approved plans and certificates of the American Bureau of Shipping classed vessels may be accepted by the Director as evidence of the structural efficiency of the hull and the reliability of the machinery of such vessels, except as far as existing law places definite responsibility on the Bureau of Marine Inspection and Functions of Bureau continued.Navigation. The American Bureau of Shipping shall continue to function in connection with the Government, its bureaus, departments, boards, and commissions, as heretofore provided under the Vol. 41. p. 998.[U. S. C., p. 2067](/us/usc/2067).Vol. 45. p. 1492.[U. S. C., p. 1987](/us/usc/1987).Merchant Marine Act, June 5, 1920 (ch. 250, sec. 25; 41 Stat. 998; 46 U. S. C. Annotated, sec. 881), and as provided in the Act of March 2, 1929, entitled “An Act to establish load lines for American 1385vessels, and for other purposes”, or any similar Act hereinafter enacted.
(c)Upon the approval by the said Director of the original or Endorsement of approval on plans, etc. modified plans and specifications for any such vessel or for any subsequent alteration of such vessel, an endorsement to that effect, signed by the Director, shall be placed upon such plans and specifications, and one copy thereof snail be delivered to the person or persons submitting the same. Whenever any inspector shall ascertain Vessel not conforming to plans, etc.to his satisfaction that any such vessel does not conform in all material respects to said plans and specifications approved as aforesaid, he shall immediately report his conclusions to the aforesaid Director, setting forth the reasons for his belief; and if, after Certificate withheld until discrepancy corrected.a preliminary examination of the facts of the case, the said Director shall be of the opinion that reasonable ground exists for believing the conclusions of such reporting officer to be correct, he shall notify the person or persons who submitted the said plans and specifications and the board of local inspectors of the Bureau who shall not issue the vessel’s certificate of inspection until the discrepancy has been corrected to the satisfaction of the said Director. The final decision of the Director shall be reached with as little delay as the proper consideration of the question will permit. The owner of any Owner to report proposed changes.vessel coming within the provisions of this Act shall notify the Director of any material alterations proposed to be made on such vessel, and should any such alteration he made on such vessel before the plans and specifications for such alteration have received the approval of the said Director the owners shall, in addition to any suspension of the certificate of inspection which the Director may determine to be necessary, incur a penalty of $500 for which the Penalty for violation.vessel shall be liable and which may be mitigated or remitted by the Secretary of Commerce on such condition as he may deem proper.
(d)That the words “plans and specifications” wherever used in “Plans and specifications” construed.this Act shall be held to include prints of all general contract plans and copies of the specifications and other matters of a similar nature, as necessary to the purposes of this Act for any vessel to which this Act applies. The said plans and specifications of all passenger ships of one hundred gross tons and over shall specify for fire-retardant material in their construction so far as reasonable and practicable.
(e)That any person or persons who shall alter, deface, obliterate, Intentional alteration, etc., deemed a misdemeanor. remove, or destroy any plans or specifications approved as provided in this Act, with intent to deceive or delay any officer of the United States in the discharge of his duties under this Act, shall be deemed Penalty.guilty of a misdemeanor, and upon conviction thereof in any court of competent jurisdiction shall be punished by a fine of not to exceed $5,000 or by imprisonment for not to exceed five years, or by both such fine and imprisonment, in the discretion of the court.
(f)This section shall not take effect as to vessels under five hundred Effective date of section.gross tons until three months, nor as to vessels of five hundred gross tons and over until thirty days, after its enactment. Sec. 6. That the Secretary of Commerce shall fix a reasonable Local inspectors of steam vessels.Compensation for overtime services.rate of extra compensation for overtime services of local inspectors of steam vessels and their assistants, United States shipping com-missioners and their deputies and assistants, who may be required to remain on duty between the hours of 5 o’clock postmeridian and 8 o’clock antemeridian or on Sundays or holidays to perform services in connection with the inspection of vessels or their equipment, supplying or signing on or discharging crews of vessels on the basis of one-half day’s additional pay for each two hours or fraction thereof of at least one hour that the overtime extends beyond 5 o’clock postmeridian (but not to exceed two and one-half days’ 1386pay for the full period from 5 o’clock postmeridian to 8 o’clock antemeridian) and two additional days’ pay for Sunday or holiday To be paid by ship’s master, etc.duty. The said extra compensation for overtime services shall be paid by the master, owner, or agent of such vessel to the local United States collector of customs or his representative who shall deposit such collection into the Treasury of the United States to an appropriately Use of receipts, fiscal year 1936.designated receipt account. The amount of the receipts so covered during the fiscal year 1936 is hereby authorized to be appropriated and made available for payment of extra compensation for overtime services to the several employees entitled thereto according *Proviso.*Disposition, July 1, 1936, and thereafter.to rates fixed therefor by the Secretary of Commerce: *Provided*, That effective July 1, 1936 and thereafter, the amounts of such collections received by the said collector of customs or his representative shall be covered into the Treasury as miscellaneous receipts; and the payments of such extra compensation to the several employees entitled thereto shall be made from the annual appropriations for Appropriations authorized to cover deficiencies.salaries and expenses of the Bureau: *Provided further*, That to the extent that the annual appropriations, which are hereby authorized to be made from the general fund of the Treasury, are insufficient, there are hereby authorized to be appropriated from the general fund of the Treasury such additional amounts as may be necessary, to the extent that the amounts of such receipts are in excess of the Pay due if reporting for duty.amounts appropriated: *Provided*, That such extra compensation shall be paid if such officers or employees have been ordered to report for duty and have so reported, whether the actual inspection of the vessel or her equipment, or the supplying, or signing on, or Working hours.discharging crews takes place or not: *Provided further*, That in those ports where customary working hours are other than those herein above mentioned, the local inspectors of steam vessels or United States shipping commissioners, as the case may be, are vested with authority to regulate the hours of such employees so as to agree with prevailing working hours in said ports, but nothing contained in this proviso shall be construed in any manner to alter the length of a working day for the local inspectors, their assistants, the United States shipping commissioners and their deputies and assistants, or the overtime pay herein fixed. Sec. 7.Regulations to be made. The Secretary of Commerce may make such regulations as may be necessary to carry out the purposes of this Act. Sec. 8.Appropriation authorized. There are hereby authorized to be appropriated such sums as may be necessary to carry out the provisions of this Act. Sec. 9.Inconsistent laws repealed. That all laws or parts of laws insofar as they are in conflict with this Act are hereby repealed. Approved, May 27, 1936. Extending the time for making the report of the commission to study the subject of Hernando De Soto’s Expedition. 1936-05-27 464 Chapter 49 Stat. 1386 74 2 United States Government Publishing Office text/xml EN Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain. Digitization Vendor 2025-01-07 public [CHAPTER 464.] AN ACT Extending the time for making the report of the commission to study the subject of Hernando De Soto’s Expedition. May 27, 1936.[[H. R. 11747](/us/bill/74/hr/11747).][
Connectionstraces to 1
Traces to 1 document
statutes-at-large
2 references not yet in our index
- 41 Stat. 998
- 49 Stat. 1386
Citation graph
cites case law
Cites 3Cited by 0 across 0 sources