Page:United States Statutes at Large Volume 100 Part 4.djvu/482

 100 STAT. 3218 78 ^f ^ ^^°' 15°USC 78f 78o-3. ' Ante, p. 3208. 15 USC 78o.

PUBLIC LAW 99-571—OCT. 28, 1986

°^ "^^^ °^ ^^^^ title, except that in paragraph (3) of this subsec^^^^ ^^^ sections 6 and 15A the term means such a broker or (e) ENFORCEMENT AND DISCIPLINE.—Section 15(b) of the Securities Exchange Act of 1934 (15 U.S.C. 78o(b)) is amended— (1) in paragraph (4)(A), by inserting "or with any other appropriate regulatory agency" after "Commission" the first time it appears therein; (2) in paragraph (4)(B), by inserting in clause (ii) thereof "government securities broker, government securities dealer," after "municipal securities dealer,"; (3) in paragraph (4)(C), by striking out "or municipal securities dealer," and inserting in lieu thereof "municipal securities dealer, government securities broker, or government securities dealer,"; and (4) in paragraph (8)— (A) by striking out "any broker or dealer required to n;? i h o. register pursuant to this title" and inserting in lieu thereof "any registered broker or dealer"; and (B) by striking out "an exempted security". (f) NET CAPITAL.—Section 15(c)(3) of such Act (15 U.S.C. 78o(c)(3)) is amended— (1) by inserting "(other than a government securities broker - ...J or government securities dealer, except a registered broker or dealer)" after "dealer"; and (2) by inserting "(except a government security)" after "exempted security". (g) REGISTERED SECURITIES ASSOCIATIONS.—(1) Section 15A(f) of the
 * dealer and a government securities broker or government securities dealer registered or required to register pursuant to section 15C(a)(l)(A) of this title.".

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Securities Exchange Act of 1934 (15 U.S.C. 78o-3(f)) is amended to read as follows: "(f)(1) Except as provided in paragraph (2) of this subsection, nothing in this section shall be construed to apply with respect to any transaction by a registered broker or dealer in any exempted security. "(2) A registered securities association may adopt and implement rules applicable to members of such association (A) to enforce compliance by registered brokers and dealers with applicable provisions of this title and the rules and regulations thereunder, (B) to provide that its members and persons associated with its members shall be appropriately disciplined, in accordance with subsections (b)(7), (b)(8), and (h) of this section, for violation of applicable provisions of this title and the rules and regulations thereunder, (C) to provide for reasonable inspection and examination of the books and records of registered brokers and dealers, (D) to provide for the matters described in paragraphs (b)(3), (b)(4), and (b)(5) of this section, (E) to implement the provisions of subsection (g) of this section, and (F) to prohibit fraudulent, misleading, deceptive, and false advertising. "(3) Nothing in subsection (b)(6) or (b)(ll) of this section shall be construed to permit a registered securities association to make rules concerning any transaction by a registered broker or dealer in a municipal security.". (2) Section 15A(g) of such Act (15 U.S.C. 78o-3(g)) is amended— (A) by inserting after paragraph (3)(C) the following:

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