Page:United States Statutes at Large Volume 100 Part 1.djvu/620

 100 STAT. 584

Law enforcement and ^^^^^26 USC 4975.

PUBLIC LAW 99-335—JUNE 6, 1986

"(C) receive any consideration for his own personal account from any party dealing with sums credited to the Thrift Savings Fund in connection with a transaction involving Eissets of the Thrift Savings Fund. "(3)(A) The Secretary of Labor may, in accordance with procedures which the Secretary shall by regulation prescribe, grant a conditional or unconditional exemption of any fiduciary or transaction, or class of fiduciaries or transactions, from all or part of the restrictions imposed by paragraph (2). "(B) An exemption granted under this paragraph shall not relieve a fiduciary from any other applicable provision of this chapter. "(C) The Secretary of Labor may not grant an exemption under this paragraph unless he finds that such exemption is— "(i) administratively feasible; "(ii) in the interests of the Thrift Savings Fund and of its participants and beneficiaries; and "(iii) protective of the rights of participants and beneficiaries of such Fund. "(D) An exemption under this paragraph may not be granted unless— "(i) notice of the proposed exemption is published in the Federal Register; "(ii) interested persons are given an opportunity to present views; and "(iii) the Secretary of Labor affords an opportunity for a hearing and makes a determination on the record with respect to the respective requirements of clauses (i), (ii), and (iii) of subparagraph (C). "(d) This section does not prohibit any fiduciary from— "(1) receiving any benefit which the fiduciary is entitled to receive under this subchapter or subchapter III of this chapter as a participant or beneficiary; "(2) receiving any reasonable compensation authorized by this subchapter for services rendered, or for reimbursement of expenses properly and actually incurred, in the performance of the fiduciary s duties under this chapter; or "(3) serving as a fiduciary in addition to being an officer, employee, agent, or other representative of a party in interest. "(e)(1)(A) Any fiduciary that breaches the responsibilities, duties, and obligations set out in subsection (b) or violates subsection (c) shall be personally liable to the Thrift Savings Fund for any losses to such Fund resulting from each such breach or violation and to restore to such Fund any profits made by the fiduciary through use of assets of such Fund by the fiduciary, and shall be subject to such other equitable or remedial relief as a court considers appropriate. A fiduciary may be removed for a breach referred to in the preceding sentence. "(B) The Secretary of Labor may assess a civil penalty against a party in interest with respect to each transaction which is engaged in by the party in interest and is prohibited by subsection (c). The amount of such penalty shall be equal to 5 percent of the amount involved in each such transaction (as defined in section 4975(f)(4) of the Internal Revenue Code of 1954) for each year or part thereof during which the prohibited transaction continues, except that, if the transaction is not corrected (in such manner as the Secretary of Labor shall prescribe by regulation consistent with section 4975(f)(5) of such Code) within 90 days after the date the Secretary of Labor

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