< Back to H.R. 3882 (109th Congress, 2005–2006)

Text of the Financial Safety and Equity Act of 2005

This bill was introduced on September 22, 2005, in a previous session of Congress, but was not enacted. The text of the bill below is as of Sep 22, 2005 (Introduced).

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Source: GPO

I

109th CONGRESS

1st Session

H. R. 3882

IN THE HOUSE OF REPRESENTATIVES

September 22, 2005

introduced the following bill; which was referred to the Committee on Financial Services

A BILL

To preserve competitive equity in financial services.

1.

Short title

This Act may be cited as the Financial Safety and Equity Act of 2005.

2.

Preservation of competitive equity in financial services

Section 4 of the Bank Holding Company Act of 1956 (12 U.S.C. 1843) is amended by adding at the end the following new subsection:

(p)

Preservation of competitive equity in financial services

(1)

In general

Any company that controls an industrial loan company, industrial bank or similar institution described in section 2(c)(2)(H) of this Act shall become a financial holding company and shall comply with all of the conditions, requirements, restrictions and limitations that apply to a financial holding company under Federal law.

(2)

Extended divestiture period for nonconforming activities

Notwithstanding paragraph (1) of this subsection or subsection (a), a company that owned or controlled an industrial loan company, industrial bank or similar institution described in section 2(c)(2)(H) on January 1, 2005, and that was not a bank holding company or a foreign bank (as defined in section 1(b)(7) of the International Banking Act of 1978) on that date shall conform its activities and investments to the requirements of this Act no later than the date that is 5 years after the effective date of this subsection.

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