Page:United States Statutes at Large Volume 49 Part 1.djvu/881

 836 74TH CONGRESS. SESS. I. CH. 687. AUGUST 26, 1935 . Violating provisions (b) Every contract ma de in violation of any provision of this of act, etc. title or of any rule, regulation, or order thereunder, and every con- tract heretofore or hereafter made, the performance of which involves the violation of, or the continuance of any relationship or practice in violation of, any provision of this title, or any rule, regulation, or order thereunder, shall be void (1) as regards the rights of any person who, in violation of any such provision, rule, regulation, or order, shall have made or engaged in the performance of any such contract, and (2) as regards the rights of any person who, not being a party to such contract, shall have acquired any right there- under with actual knowledge of the facts by reason of which the making or performance of such contract was in violation of any such provision, rule, regulation, or order. (c) N othing in thi s title shall be construed (1) to affect the valid- ity of any loan or extension of credit (or any extension or renewal thereof) made or of any lien created prior or subsequent to the enactment of this title, unless at the time of the making of such loan or extension of credit (or extension or renewal thereof) or the creating of such lien, the person making such loan or extension of cre dit (or extensio n or ren ewal the reof) or acquiri ng such lien shall have act ual know ledge of facts b y reason of whic h the ma king of such loan or extension of credit (or extension or renewal thereof) or the acquisition of such lien is a violation of the provisions of this title or any rule or regulation thereunder, or (2) to afford a defense to the collection of any debt or obligation or the enforce- ment of any lien by any person who shall have acquired such debt, obligation, or lien in good faith for value and without actual knowl- edge of the violation of any provision of this title or any rule or reg ulat ion ther eund er a ffec ting the leg alit y of suc h de bt, obli gati on, or lien. Limitation on appli- cation of title. LIABILITY OF CONTROLLING PERSONS ; PREVENtiNG COMPLIANCE WITH TIT LE Liabil ity of control- SEC. 27. (a) It shall be unlawful for any person, directly. or ling persons. indirectly, to cause to be done any act or thing through or by means of any other person which it would be unlawful for such person to do under the provisions of this title or any rule, regulation, or ord er the reun der. Liability for prevent- (b) It shall be unlawful for any person without just cause to ing compliance wi th pr ovision s hereof. hinder, delay, or obstruct the making, filing, or keeping of any infor- mation, document, report, record, or account required to be made, filed, or kept under any provision of this title or any rule, regulation, or order thereunder. Unlawful representa- tions. Liability for. Pen alti es. False statements. UNLAWFUL REPRESENTATIONS SEC. 28. It shall be unlawful for any person in issuing, selling, or offering for sale any security of a registered holding company or subsidiary company thereof, to represent or imply in any manner whatsoever that such security has been guaranteed, sponsored, or recommended for investment by the United States or any agency or officer thereof. PENALTIES SEC. 29 . Any pers on who w illfully violate s any pr ovision of this title or any rule, regulation, or order thereunder (other than an order of the Commission under subsection (b), (d), (e), or (f) of section 11), or any person who willfully makes any statement or entry in any application, report, document, account, or record filed or kept or requi red to b e filed or kept under th e provis ions