Page:United States Statutes at Large Volume 102 Part 5.djvu/675

 PUBLIC LAW 100-704—NOV. 19, 1988

102 STAT. 4681

loss avoided in the transaction or transactions that are the subject of the violation. "(2) OFFSETTING DISGORGEMENTS AGAINST LIABILITY.—The total amount of damages imposed against any person under subsection (a) shall be diminished by the amounts, if any, that such person may be required to di^orge, pursuant to a court order obtained at the instance of the Commission, in a proceeding brought under section 21(d) of this title relating to the same transaction or transactions. "(3) CoNTROLUNG PERSON LIABILITY.—No person shall be liable under this section solely by reason of employing another person who is liable under this section, but the liability of a controlling person under this section shall be subject to section 20(a) of this title. "(4) STATUTE OF LIMITATIONS.—No action may be brought under this section more than 5 years after the date of the last transaction that is the subject of the violation. "(c) JOINT AND SEVERAL LIABILITY FOR COMMUNICATING.—Any Classified person who violates any provision of this title or the rules or information. regulations thereunder by communicating material, nonpublic information shall be jointly and severally liable under subsection (a) with, and to the same extent as, any person or persons liable under subsection (a) to whom the communication was directed. "(d) AUTHORITY NOT TO RESTRICT OTHER EXPRESS OR IMPUED RIGHTS OF ACTION.—Nothing in this section shall be construed to

limit or condition the right of any person to bring an action to enforce a requirement of this title or the availability of any cause of action implied from a provision of this title. "(e) PROVISIONS NOT TO AFFECT PUBLIC PROSECUTIONS.—This section shall not be construed to bar or limit in any manner any action by the Commission or the Attorney General under any other provision of this title, nor shall it bar or limit in any manner any action to recover penalties, or to seek any other order regarding penalties.". SEC. 6. INVESTIGATORY AUTHORITIES.

ASSISTANCE

TO

FOREIGN

SECURITIES

(a) DEFINITION OF FOREIGN SECURITIES AUTHORITY.—Section 3(a) of

the Securities Exchange Act of 1934 (15 U.S.C. 78c(a)) is amended by adding at the end thereof the following: "(50) The term 'foreign securities authority* means any foreign government, or any governmental body or regulatory organization empowered by a foreign government to administer or enforce its laws as they relate to securities matters.". (b) AUTHORITY TO PROVIDE ASSISTANCE TO FOREIGN SECURITIES

AUTHORITIES.—Section 21(a) of such Act (15 U.S.C. 78u(a)) is amended— (1) by redesignating subsection (a) as subsection (a)(D; and (2) by adding at the end thereof the following: "(2) On request from a foreign securities authority, the Commission may provide assistance in accordance with this paragraph if the requesting authority states that the requesting authority is conducting an investigation which it deems nec^sary to determine whether any person has violated, is violating, or is about to violate any laws or rules relating to securities matters that the requesting authority administers or enforces. The Commission may, in its discretion, conduct such investigation as the Commission deems necessary to

�