Page:United States Statutes at Large Volume 72 Part 1.djvu/736

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PUBLIC LAW 85-699-AUG. 21, 1958

[72 S T A T.

loan made under this section shall be determined by the Administration. (d) Any loan made under this section shall have a maturity not exceeding twenty years. (e) Any loan made under this section shall be of such sound value, or so secured, as reasonably to assure repayment. (f) Any company which has made a loan to a small-business concern under this section is authorized to extend the maturity of or renew such loan for additional periods, not exceeding ten years, if the company finds that such extension or renewal will aid in the orderly liquidation of such loan. AGGREGATE L I M I T A T I O N S

SEC. 306. Without the approval of the Administration, the aggregate amount of obligations and securities acquired and for which commitments may be issued by any small business investment company under the provisions of this Act for any single enterprise shall not exceed 20 percent of the combined capital and surplus of such small business investment company authorized by this Act. EXEMPTIONS

48 Stat. 75.

53 Stat. 1153.

54 Stat. 817.

SEC. 307. (a) Section 3 of the Securities Act of 1933, as amended (15 XJ. S. C. 77c), is hereby amended by inserting at the end thereof the following new subsection (c): "(c) The Commission may from time to time by its rules and regulations and subject to such terms and conditions as may be prescribed therein, add to the securities exempted as provided in this section any class of securities issued by a small business investment company under the Small Business Investment Act of 1958 if it finds, having regard to the purposes of that Act, that the enforcement of this Act with respect to such securities is not necessary in the public interest and for the protection of investors." (b) Section 304 of the Trust Indenture Act of 1939 (15 U.S.C. 7 7 d d d) is hereby amended by a d d i n g the following subjection (e):

"(e) The Commission may from time to time by its rules and regulations, and subject to such terms and conditions as may be prescribed herein, add to the securities exempted as provided in this section any- class of securities issued by a small business investment company under the Small Business Investment Act of 1958 if it finds, having regard to the purposes of that Act, that the enforcement of this Act with respect to such securities is not necessary in the public interest and for the protection of investors." (c) Section 18 of the Investment Company Act of 1940 (15 U.S.C. 80a-18) is amended by adding at the end thereof the following: " (k) The provisions of subparagraphs (A) and (B) of paragraph (1) of subsection (a) of this section shall not apply to investment companies operating under the Small Business Investment Act of 1958." MISCELLANEOUS

Fees.

SEC. 308. (a) Wherever practicable the operations of a small business investment company, including the generation of business, may be undertaken in cooperation with banks or other financial institutions, and any servicing or initial investigation required for loans or acquisitions of securities by the company under the provisions of this Act may be handled through such banks or other financial institutions on a fee basis. Any small business investment company may receive fees for services rendered to banks or other financial institutions.

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