Page:United States Statutes at Large Volume 109 Part 1.djvu/773

 PUBLIC lAW 104-67—DEC. 22, 1995 109 STAT. 757 by the Commission in Federal court, or as a result of any Commission administrative action, shall not be distributed as payment for attorneys' fees or expenses incurred by private parties seeking distribution of the disgorged funds.". SEC. 104. AUTHORITY OF COMMISSION TO PROSECUTE AIDING AND ABETTING. Section 20 of the Securities Exchange Act of 1934 (15 U.S.C. 78t) is amended— (1) by striking the section heading and inserting the following: " L IAB IL ITY OF CONTROLLING PERSONS AND PERSONS WHO AID AND ABET VIOLATIONS"; and (2) by adding at the end the following new subsection: "(f) PROSECUTION OF PERSONS WHO AlD AND ABET VIOLA- TIONS. —For purposes of any action brought by the Commission under paragraph (1) or (3) of section 21(d), any person that knowingly provides substantial assistance to another person in violation of a provision of this title, or of any rule or regulation issued under this title, shall be deemed to be in violation of such provision to the same extent as the person to whom such assistance is provided.". SEC. 105. LOSS CAUSATION. Section 12 of the Securities Act of 1933 (15 U.S.C. 771) is amended— (1) by inserting "(a) IN GENERAL.— " before "Any person"; (2) by inserting ", subject to subsection (b)," after "shall be liable"; and (3) by adding at the end the following: "(b) Loss CAUSATION. —In an action described in subsection (a)(2), if the person who offered or sold such security proves that any portion or all of the amount recoverable under subsection (a)(2) represents other than the depreciation in value of the subject security resulting from such part of the prospectus or oral communication, with respect to which the liability of that person is asserted, not being true or omitting to state a material fact required to be stated therein or necessary to make the statement not misleading, then such portion or amount, as the case may be, shall not be recoverable.". SEC. 106. STUDY AND REPORT ON PROTECTIONS FOR SENIOR CITIZENS AND QUALIFIED RETIREMENT PLANS. (a) IN GENERAL. —Not later than 180 days after the date of enactment of this Act, the Securities and Exchange Commission shall— (1) determine whether investors that are senior citizens or qualified retirement plans require greater protection against securities fraud than is provided in this Act and the amendments made by this Act; (2) determine whether investors that are senior citizens or qualified retirement plans have been adversely impacted by abusive or unnecessary securities fraud litigation, and whether the provisions in this Act or amendments made by

�