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H.R. 1259: Due Process Restoration Act of 2019

The text of the bill below is as of Feb 14, 2019 (Introduced).


I

116th CONGRESS

1st Session

H. R. 1259

IN THE HOUSE OF REPRESENTATIVES

February 14, 2019

(for himself, Mr. Hill of Arkansas, Mr. Banks, Mr. Kevin Hern of Oklahoma, Mr. Norman, Mr. LaMalfa, and Mr. Posey) introduced the following bill; which was referred to the Committee on Financial Services

A BILL

To authorize private parties to compel the Securities and Exchange Commission to seek sanctions by filing civil actions, and for other purposes.

1.

Short title

This Act may be cited as the Due Process Restoration Act of 2019.

2.

Private parties authorized to compel the Securities and Exchange Commission to seek sanctions by filing civil actions

Title I of the Securities Exchange Act of 1934 (15 U.S.C. 78a et seq.) is amended by adding at the end the following:

41.

Private parties authorized to compel the Commission to seek sanctions by filing civil actions

(a)

Termination of administrative proceeding

In the case of any person who is a party to a proceeding brought by the Commission under a securities law, to which section 554 of title 5, United States Code, applies, and against whom an order imposing a cease and desist order and a penalty may be issued at the conclusion of the proceeding, that person may, not later than 20 days after receiving notice of such proceeding, and at that person’s discretion, require the Commission to terminate the proceeding.

(b)

Civil action authorized

If a person requires the Commission to terminate a proceeding pursuant to subsection (a), the Commission may bring a civil action against that person for the same remedy that might be imposed.

(c)

Venue

An action brought by the Commission under subsection (b) may be brought only in accordance with the requirements relating to venue under section 1391 of title 28, United States Code.

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