Page:United States Statutes at Large Volume 104 Part 1.djvu/969

 PUBLIC LAW 101-429—OCT. 15, 1990 104 STAT. 935 ent may, within 10 days after the date on which the order was served, request a hearing on such application and the Commission shall hold a hearing and render a decision on such application at the earliest possible time. "(2) JUDICIAL REVIEW.—Within— "(A) 10 days after the date the respondent was served with a temporary cease-and-desist order entered with a prior Commission hearing, or "(B) 10 days after the Commission renders a decision on an application and hearing under paragraph (1), with respect to any temporary cease-and-desist order entered without a prior Commission hearing, the respondent may apply to the United States district court for the district in which the respondent resides or has its principal place of business, or for the District of Columbia, for an order setting aside, limiting, or suspending the effectiveness or enforcement of the order, and the court shall have jurisdiction to enter such an order. A respondent served with a temporary cease-and-desist order entered without a prior Commission hearing may not apply to the court except after hearing and decision by the Commission on the respondent's application under paragraph (1) of this subsection. "(3) No AUTOMATIC STAY OF TEMPORARY ORDER. —The commencement of proceedings under paragraph (2) of this subsection shall not, unless specifically ordered by the court, operate as a stay of the Commission's order. "(4) EXCLUSIVE REVIEW.—Section 9(a) of this title shall not apply to a temporary order entered pursuant to this section. "(e) AUTHORITY TO ENTER AN ORDER REQUIRING AN ACCOUNTING AND DISGORGEMENT. — In any cease-and-desist proceeding under subsection (a), the Commission may enter an order requiring accounting and disgorgement, including reasonable interest. The Commission is authorized to adopt rules, regulations, and orders concerning payments to investors, rates of interest, periods of accrual, and such other matters as it deems appropriate to implement this subsection.". TITLE II—AMENDMENTS TO THE SECURITIES EXCHANGE ACT OF 1934 SEC. 201. ENFORCEMENT OF TITLE. Section 21 of the Securities Exchange Act of 1934 (15 U.S.C. 78u(d)) is amended— (1) by redesignating subsection (d) as subsection (d)(1); (2) by inserting after subsection (d)(1) the following new paragraphs: "(2) AUTHORITY OF A COURT TO PROHIBIT PERSONS FROM SERVING AS OFFICERS AND DIRECTORS. — In any proceeding under paragraph (1) of this subsection, the court may prohibit, conditionally or unconditionally, and permanently or for such period of time as it shall determine, any person who violated section 10(b) of this title or the rules or regulations thereunder from acting as an officer or director of any issuer that has a class of securities registered pursuant to section 12 of this title or that is required to file reports pursuant to section 15(d) of this title if the person's conduct demonstrates

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