Page:United States Statutes at Large Volume 124.djvu/1821

 124 STAT. 1795 PUBLIC LAW 111–203—JULY 21, 2010 in writing to the prudential regulator that the pruden- tial regulator initiate an enforcement proceeding as authorized under this title. The recommendation shall be accompanied by a written explanation of the con- cerns giving rise to the recommendation. ‘‘(D) BACKSTOP ENFORCEMENT AUTHORITY.— ‘‘(i) INITIATION OF ENFORCEMENT PROCEEDING BY PRUDENTIAL REGULATOR.—If the Commission does not initiate an enforcement proceeding before the end of the 90-day period beginning on the date on which the Commission receives a written report under sub- section (C)(i), the prudential regulator may initiate an enforcement proceeding. ‘‘(ii) INITIATION OF ENFORCEMENT PROCEEDING BY COMMISSION.—If the prudential regulator does not ini- tiate an enforcement proceeding before the end of the 90-day period beginning on the date on which the prudential regulator receives a written report under subsection (C)(ii), the Commission may initiate an enforcement proceeding. ‘‘(2) CENSURE, DENIAL, SUSPENSION; NOTICE AND HEARING.— The Commission, by order, shall censure, place limitations on the activities, functions, or operations of, or revoke the registra- tion of any security-based swap dealer or major security-based swap participant that has registered with the Commission pursuant to subsection (b) if the Commission finds, on the record after notice and opportunity for hearing, that such cen- sure, placing of limitations, or revocation is in the public interest and that such security-based swap dealer or major security-based swap participant, or any person associated with such security-based swap dealer or major security-based swap participant effecting or involved in effecting transactions in security-based swaps on behalf of such security-based swap dealer or major security-based swap participant, whether prior or subsequent to becoming so associated— ‘‘(A) has committed or omitted any act, or is subject to an order or finding, enumerated in subparagraph (A), (D), or (E) of paragraph (4) of section 15(b); ‘‘(B) has been convicted of any offense specified in subparagraph (B) of such paragraph (4) within 10 years of the commencement of the proceedings under this sub- section; ‘‘(C) is enjoined from any action, conduct, or practice specified in subparagraph (C) of such paragraph (4); ‘‘(D) is subject to an order or a final order specified in subparagraph (F) or (H), respectively, of such paragraph (4); or ‘‘(E) has been found by a foreign financial regulatory authority to have committed or omitted any act, or violated any foreign statute or regulation, enumerated in subpara- graph (G) of such paragraph (4). ‘‘(3) ASSOCIATED PERSONS.—With respect to any person who is associated, who is seeking to become associated, or, at the time of the alleged misconduct, who was associated or was seeking to become associated with a security-based swap dealer or major security-based swap participant for the purpose of effecting or being involved in effecting security-based swaps Time period. Time period.