Page:United States Statutes at Large Volume 92 Part 1.djvu/304

 92 STAT. 250

Repeal.

PUBLIC LAW 95-283—MAY 21, 1978 with the public interest and the purposes of this Act, affirm, reverse, or amend any such determination of SIPC. "(C) ADDITIONAL MEMBERS.—SIPC shall provide by rule that persons excluded from membership in SIPC under subparagraph (A)(i) may become members of SIPC under such conditions and upon such terms as SIPC shall require by rule, taking into account such matters as the availability of assets and the ability to conduct a liquidation if necessary. "(D) DISCLOSURE.—Any broker or dealer excluded from membership in SIPC under subparagraph (A)(i) shall, as required by the Commission by rule, make disclosures of its exclusion and other relevant information to the customers of such broker or dealer who are living in the United States or its territories and possessions.". (b) Section 3(f) of such Act (15 U.S.C. 78ccc(f)) is repealed. POWERS OF SIPC

Post, p. 260.

SEC. 3. Section 3(b) of such Act (15 U.S.C. 78ccc(b)) is amended— (1) in paragraph (1), by striking out "court, State, or Federal" and inserting "State, Federal, or other court" in lieu thereof; and (2) by striking out paragraph (3), redesignating paragraphs (4) through (8) as paragraphs (6) through (9), respectively, and inserting immediately after paragraph (2) the following new paragraphs: "(3) to adopt, amend, and repeal, by its Board of Directors, such bylaws as may be necessary or appropriate to carry out the purposes of this Act, including bylaws relating to— " (A^ the conduct of its business; and "(B) the indemnity of its directors, officers, and employees (including any such person acting as trustee or otherwise in connection with a liquidation proceeding) for liabilities and expenses actually and reasonably incurred by any such person in connection with the defense or settlement of an action or suit if such person acted in good faith and in a manner reasonably believed to be consistent with the purposes of this Act. "(4) to adopt, amend, and repeal, by its Board of Directors, such rules as may be necessary or appropriate to carry oiit the purposes of this Act, including rules relating to— " (A) the definition of terms used in this Act, other than those terms for which a definition is provided in section 16; "(B) the procedures for the liquidation of members and direct payment procedures, including the transfer of customer accounts, the distribution of customer property, and the advance and payment of SIPC funds; and "(C) the exercise of all other rights and powers granted to it by this Act;". BOARD OF D I R E C TO R S

SEC. 4. (a) Section 3(c)(2)(C) (ii) of such Act (15 U.S.C. 78ccc (c)(2)(C) (ii)) is amended by striking out "associated with any" and all that follows through "group" and inserting in lieu thereof "associated with a broker or dealer or associated with a member of a national securities exchange, within the meaning of section 3(a) (18)

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