H.R. 7564 — Introduced in House

I 116th CONGRESS 2d Session H. R. 7564 IN THE HOUSE OF REPRESENTATIVES July 9, 2020Mr. David Scott of Georgia (for himself and Mr. Loudermilk) introduced the following bill; which was referred to the Committee on Financial Services A BILL To amend the Investment Advisers Act of 1940 to require the Securities and Exchange Commission to adopt data protection policies for information the Commission receives from investment advisers, and for other purposes. 1. Short title This Act may be cited as the SEC Data Protection Act. 2. Procedure for data protection Section 204 of the Investment Advisers Act of 1940 (15 U.S.C. 80b–4) is amended— (1) by redesignating the second subsection (d) (relating to records of persons with custody or use) as subsection (e); and (2) by adding at the end the following: (f) Data protection policies Not later than 1 year after the date of enactment of this subsection, the Commission shall adopt, after notice and comment, policies and procedures reasonably designed to protect sensitive, nonpublic proprietary information, as determined by the Commission, that the Commission obtains or receives from an investment adviser subject to this section, from unlawful use or disclosure. Such policies and procedures shall— (1) address circumstances when the Commission requests such proprietary information; (2) safeguard the information, taking into consideration the level of sensitivity of the information; (3) limit access to the information to appropriate staff, as determined by the Commission; and (4) protect the information from unlawful use or disclosure. .