§ 78ff. Penalties

Legislative history

Reconstructed from this section’s Code source credit and amendment notes, resolved against the local Statutes at Large. Editorial notes are evidence, not the law that made the change.

1. 1934

   Pub. L. 73–404 · 48 Stat. 881

   Enacted · 15 U.S.C. § 78ff

   June 6, 1934, ch. 404, title I, § 32, 48 Stat. 904

   Source evidence

   Code source credit
   June 6, 1934, ch. 404, title I, § 32, 48 Stat. 904

2. 1936

   Public Law not identified

   Inserted · 15 U.S.C. § 78ff(a)

   Subsec. (a). Act May 27, 1936, inserted “or any undertaking contained in a registration statement as provided in subsection (d) of section 78o of this title”

   Unresolved: No Public Law or Statutes at Large citation in the Code source.

   Source evidence

   Code amendment note
   Subsec. (a). Act May 27, 1936, inserted “or any undertaking contained in a registration statement as provided in subsection (d) of section 78o of this title”.

3. 1936

   Public Law not identified

   Added · 15 U.S.C. § 78ff(b)

   Subsec. (b). Act May 27, 1936, added subsec. (b)

   Unresolved: No Public Law or Statutes at Large citation in the Code source.

   Source evidence

   Code amendment note
   Subsec. (b). Act May 27, 1936, added subsec. (b).

4. 1938

   Public Law not identified

   Added · 15 U.S.C. § 78ff(c)

   Subsec. (c). Act June 25, 1938, added subsec. (c)

   Unresolved: No Public Law or Statutes at Large citation in the Code source.

   Source evidence

   Code amendment note
   Subsec. (c). Act June 25, 1938, added subsec. (c).

5. 1964

   Securities Acts Amendments of 1964

   Pub. L. 88–467 § 11 · 78 Stat. 565

   1. Substituted · 15 U.S.C. § 78ff(b)

      Pub. L. 88–467 substituted “required to be filed under” for “pursuant to an undertaking contained in a registration statement as provided in”

   2. Inserted · 15 U.S.C. § 78ff(b)

      Pub. L. 88–467 inserted “or any rule or regulation thereunder” after “section 78o of this title.”

   Source evidence

   Code amendment note
   Subsec. (b). Pub. L. 88–467 substituted “required to be filed under” for “pursuant to an undertaking contained in a registration statement as provided in” and inserted “or any rule or regulation thereunder” after “section 78o of this title.”

   Enacted provision · exact public law section
   Sec. 11. The first sentence of subsection (b) of section 32 of the Securities Exchange Act of 1934 is amended (1) by striking out “pursuant to an undertaking contained in a registration statement as provided in” and inserting in lieu thereof “required to be filed under” and (2) by inserting immediately after “this title” the following: “or any rule or regulation thereunder”.

6. 1975

   Securities Acts Amendments of 1975

   Pub. L. 94–29 · 89 Stat. 97

   1. Inserted · 15 U.S.C. § 78ff(a)

      Pub. L. 94–29, §§ 23(1), 27(b), inserted “or by any self-regulatory organization in connection with an application for membership or participation therein or to become associated with a member thereof,”

   2. Substituted · 15 U.S.C. § 78ff(a)

      Pub. L. 94–29, §§ 23(1), 27(b), substituted “or imprisoned not more than five years” for “or imprisoned not more than two years”

   Source evidence

   Code amendment note
   Subsec. (a). Pub. L. 94–29, §§ 23(1), 27(b), inserted “or by any self-regulatory organization in connection with an application for membership or participation therein or to become associated with a member thereof,” and substituted “or imprisoned not more than five years” for “or imprisoned not more than two years”.

7. 1975

   Securities Acts Amendments of 1975

   Pub. L. 94–29 § 23(2) · 89 Stat. 97

   Struck · 15 U.S.C. § 78ff(c)

   Pub. L. 94–29, § 23(2), struck out subsec. (c) which rendered this section inapplicable to violations of any rule or regulation prescribed pursuant to paragraph (3) of subsection (c) of section 78o of this title

   Source evidence

   Code amendment note
   Subsec. (c). Pub. L. 94–29, § 23(2), struck out subsec. (c) which rendered this section inapplicable to violations of any rule or regulation prescribed pursuant to paragraph (3) of subsection (c) of section 78o of this title.

   Enacted provision · exact public law section
   (2) Subsection (c) thereof is deleted.

8. 1977

   Foreign Corrupt Practices Act of 1977

   Pub. L. 95–213 § 103(b)(1) · 91 Stat. 1494

   Inserted · 15 U.S.C. § 78ff(a)

   Pub. L. 95–213, § 103(b)(1), inserted “(other than section 78dd–1 of this title)” after “Any person who willfully violates any provision of this chapter”

   Source evidence

   Code amendment note
   Subsec. (a). Pub. L. 95–213, § 103(b)(1), inserted “(other than section 78dd–1 of this title)” after “Any person who willfully violates any provision of this chapter”.

   Enacted provision · exact public law section
   (1) Section 32(a) of the Securities Exchange Act of 1934 (15 U.S.C. 78ff(a)) is amended by inserting “(other than section 30A)” immediately after “title” the first place it appears.

9. 1977

   Foreign Corrupt Practices Act of 1977

   Pub. L. 95–213 § 103(b)(2) · 91 Stat. 1494

   Added · 15 U.S.C. § 78ff(c)

   Pub. L. 95–213, § 103(b)(2), added subsec. (c)

   Source evidence

   Code amendment note
   Subsec. (c). Pub. L. 95–213, § 103(b)(2), added subsec. (c).

   Enacted provision · exact public law section
   (2) Section 32 of the Securities Exchange Act of 1934 (15 U.S.C. 78ff) is amended by adding at the end thereof the following new subsection: “(c) (1) Any issuer which violates section 30A(a) of this title shall, upon conviction, be fined not more than $1,000,000. “(2) Any officer or director of an issuer, or any stockholder acting on behalf of such issuer, who willfully violates section 30A(a) of this title shall, upon conviction, be fined not more than $10,000, or imprisoned not more than five years or both. “(3) Whenever an issuer is found to have violated section 30A(a) of this title, any employee or agent of such issuer who is a United States citizen, national, or resident or is otherwise subject to the jurisdiction of the United States (other than an officer, director, or stockholder of such issuer), and who willfully carried out the act or practice constituting such violation shall, upon conviction, be fined not more than $10,000, or imprisoned not more than five years, or both. “(4) Whenever a fine is imposed under paragraph (2) or (3) of this subsection upon any officer, director, stockholder, employee, or agent of an issuer, such fine shall not be paid, directly or indirectly, by such issuer.”.

10. 1984

    Insider Trading Sanctions Act of 1984

    Pub. L. 98–376 § 3 · 98 Stat. 1264

    Substituted · 15 U.S.C. § 78ff(a)

    Pub. L. 98–376 substituted “$100,000” for “$10,000”

    Source evidence

    Code amendment note
    Subsec. (a). Pub. L. 98–376 substituted “$100,000” for “$10,000”.

    Enacted provision · exact public law section
    Sec. 3. Section 32 of the Securities Exchange Act of 1934 is 15 USC 78ff. amended by striking “$10,000” from subsection (a) and inserting in lieu thereof “$100,000”.

11. 1988

    Foreign Corrupt Practices Act Amendments of 1988

    Pub. L. 100–418 title V § 5003(b) · 102 Stat. 1107

    Amended · 15 U.S.C. § 78ff(c)

    Pub. L. 100–418 amended subsec. (c) generally. Prior to amendment, subsec. (c) read as follows:

    Source evidence

    Code amendment note
    Subsec. (c). Pub. L. 100–418 amended subsec. (c) generally. Prior to amendment, subsec. (c) read as follows:

    “(1) Any issuer which violates section 78dd–1(a) of this title shall, upon conviction, be fined not more than $1,000,000. “(2) Any officer or director of an issuer, or any stockholder acting on behalf of such issuer, who willfully violates section 78dd–1(a) of this title shall, upon conviction, be fined not more than $10,000, or imprisoned not more than five years, or both. “(3) Whenever an issuer is found to have violated section 78dd–1(a) of this title, any employee or agent of such issuer who is a United States citizen, national, or resident or is otherwise subject to the jurisdiction of the United States (other than an officer, director, or stockholder of such issuer), and who willfully carried out the act or practice constituting such violation shall, upon conviction, be fined not more than $10,000, or imprisoned not more than five years, or both. “(4) Whenever a fine is imposed under paragraph (2) or (3) of this subsection upon any officer, director, stockholder, employee, or agent of an issuer, such fine shall not be paid, directly or indirectly, by such issuer.”

    Enacted provision · exact public law section
    (b) Violations.— Section 32(c) of the Securities Exchange Act of 1934 (15 U.S.C. 78ff) is amended to read as follows: “(c) (1) (A) Any issuer that violates section 30A(a) shall be fined not more than $2,000,000. “(B) Any issuer that violates section 30A(a) shall be subject to a civil penalty of not more than $10,000 imposed in an action brought by the Commission. “(2) (A) Any officer or director of an issuer, or stockholder acting on behalf of such issuer, who willfully violates section 30A(a) shall be fined not more than $100,000, or imprisoned not more than 5 years, or both. “(B) Any employee or agent of an issuer who is a United States citizen, national, or resident or is otherwise subject to the jurisdiction of the United States (other than an officer, director, or stockholder acting on behalf of such issuer), and who willfully violates section 30A(a), shall be fined not more than $100,000, or imprisoned not more than 5 years, or both. “(C) Any officer, director, employee, or agent of an issuer, or stockholder acting on behalf of such issuer, who violates section 30A(a) shall be subject to a civil penalty of not more than $10,000 imposed in an action brought by the Commission. “(3) Whenever a fine is imposed under paragraph (2) upon any officer, director, employee, agent, or stockholder of an issuer, such fine may not be paid, directly or indirectly, by such issuer.”.

12. 1988

    Insider Trading and Securities Fraud Enforcement Act of 1988

    Pub. L. 100–704 § 4 · 102 Stat. 4677

    1. Substituted · 15 U.S.C. § 78ff(a)

       Pub. L. 100–704 substituted “$1,000,000” for “$100,000”

    2. Substituted · 15 U.S.C. § 78ff(a)

       Pub. L. 100–704 substituted “10 years” for “five years”

    3. Substituted · 15 U.S.C. § 78ff(a)

       Pub. L. 100–704 substituted “is a person other than a natural person” for “is an exchange”

    4. Substituted · 15 U.S.C. § 78ff(a)

       Pub. L. 100–704 substituted “$2,500,000” for “$500,000”

    Source evidence

    Code amendment note
    Subsec. (a). Pub. L. 100–704 substituted “$1,000,000” for “$100,000”, “10 years” for “five years”, “is a person other than a natural person” for “is an exchange”, and “$2,500,000” for “$500,000”.

    Enacted provision · exact public law section
    SEC. 4. INCREASES IN CRIMINAL PENALTIES. Section 32(a) of the Securities Exchange Act of 1934 (15 U.S.C. 78ff(a)) is amended— (1) by striking “$100,000” and inserting “$1,000,000”; (2) by striking “five years” and inserting “10 years”; (3) by striking “is an exchange” and inserting “is a person other than a natural person”; and (4) by striking out “$500,000” and inserting “$2,500,000”.

    Effective date note
    Amendment by Pub. L. 100–704 not applicable to actions occurring before Nov. 19, 1988, see section 9 of Pub. L. 100–704, set out as a note under section 78o of this title.

13. 1998

    International Anti-Bribery and Fair Competition Act of 1998

    Pub. L. 105–366 § 2(d)(1) · 112 Stat. 3302

    Substituted · 15 U.S.C. § 78ff(c)(1)

    Pub. L. 105–366, § 2(d)(1), (2), substituted “subsection (a) or (g) of section 78dd–1” for “section 78dd–1(a)” in subpars. (A) and (B)

    Source evidence

    Code amendment note
    Subsec. (c)(1). Pub. L. 105–366, § 2(d)(1), (2), substituted “subsection (a) or (g) of section 78dd–1” for “section 78dd–1(a)” in subpars. (A) and (B).

    Enacted provision · exact public law section
    (1) in paragraph (1)(A), by striking “section 30A(a)” and inserting “subsection (a) or (g) of section 30A;”

14. 1998

    International Anti-Bribery and Fair Competition Act of 1998

    Pub. L. 105–366 § 2(d)(3) · 112 Stat. 3302

    Amended · 15 U.S.C. § 78ff(c)(2)

    Pub. L. 105–366, § 2(d)(3), amended par. (2) generally. Prior to amendment, par. (2) read as follows:

    Source evidence

    Code amendment note
    Subsec. (c)(2). Pub. L. 105–366, § 2(d)(3), amended par. (2) generally. Prior to amendment, par. (2) read as follows:

    “(2)(A) Any officer or director of an issuer, or stockholder acting on behalf of such issuer, who willfully violates section 78dd–1(a) of this title shall be fined not more than $100,000, or imprisoned not more than 5 years, or both. “(B) Any employee or agent of an issuer who is a United States citizen, national, or resident or is otherwise subject to the jurisdiction of the United States (other than an officer, director, or stockholder acting on behalf of such issuer), and who willfully violates section 78dd–1(a) of this title, shall be fined not more than $100,000, or imprisoned not more than 5 years, or both. “(C) Any officer, director, employee, or agent of an issuer, or stockholder acting on behalf of such issuer, who violates section 78dd–1(a) of this title shall be subject to a civil penalty of not more than $10,000 imposed in an action brought by the Commission.”

    Enacted provision · exact public law section
    (3) by amending paragraph (2) to read as follows: “(2) (A) Any officer, director, employee, or agent of an issuer, or stockholder acting on behalf of such issuer, who willfully violates subsection (a) or (g) of section 30A of this title shall be fined not more than $100,000, or imprisoned not more than 5 years, or both. (B) Any officer, director, employee, or agent of an issuer, or stockholder acting on behalf of such issuer, who violates subsection (a) or (g) of section 30A of this title shall be subject to a civil penalty of not more than $10,000 imposed in an action brought by the Commission.”.

15. 2002

    Sarbanes-Oxley Act of 2002

    Pub. L. 107–204 title XI § 1106 · 116 Stat. 745

    1. Substituted · 15 U.S.C. § 78ff(a)

       Pub. L. 107–204 substituted “$5,000,000, or imprisoned not more than 20 years” for “$1,000,000, or imprisoned not more than 10 years”

    2. Substituted · 15 U.S.C. § 78ff(a)

       Pub. L. 107–204 substituted “$25,000,000” for “$2,500,000”

    Source evidence

    Code amendment note
    Subsec. (a). Pub. L. 107–204 substituted “$5,000,000, or imprisoned not more than 20 years” for “$1,000,000, or imprisoned not more than 10 years” and “$25,000,000” for “$2,500,000”.

    Enacted provision · exact public law section
    SEC. 1106. INCREASED CRIMINAL PENALTIES UNDER SECURITIES EXCHANGE ACT OF 1934. Section 32(a) of the Securities Exchange Act of 1934 (15 U.S.C. 78ff(a)) is amended— (1) by striking “$1,000,000, or imprisoned not more than 10 years” and inserting “$5,000,000, or imprisoned not more than 20 years”; and (2) by striking “$2,500,000” and inserting “$25,000,000”.

15 of 21 references resolved to an enrolled provision · 3 partial · 3 unresolved