,i  #aagth ,,congress  #ast ,session    
,h4 ,r4 #edeh  ,,in ,,the ,,house ,,of  
,,representatives  ,september #cj1 #bjba
 ,mr4 ,mc,henry 7for himself and ,mr4   
,emmer7 introduced the following bill2  
which was referred to the ,committee on 
,financial ,services  ,a ,,bill  ,to    
amend the ,securities ,act of #aicc to  
provide small issuers with a            
micro-offering exemption free of        
mandated disclosures or offering        
filings1 but subject to the antifraud   
provisions of the ,federal securities   
laws1 and for other purposes4  #a4      
,short title ,this ,act may be cited as 
the ,small ,entrepreneurs' ,empowerment 
and ,development ,act of #bjba or the   
,,seed ,act of #bjba4  #b4              
,micro-offering exemption  7a7 ,in      
general ,section #d of the ,securities  
,act of #aicc 7#ae ,u4,s4,c4 #gg;d7 is  
amended--  7#a7 in subsection 7a71 by   
adding at the end the following3  7#h7  
transactions meeting the requirements of
 subsection 7f74  2 and  7#b7 by adding 

at the end the following3  7f7          
,micro-,offerings ,the transactions     
referred to in subsection 7a77#h7 are   
transactions involving the sale of      
securities by an issuer 7including all  
entities controlled by or under common  
control with the issuer7 where the      
aggregate amount of all securities sold 
by the issuer1 including any amount sold
 in reliance on the exemption provided  
under subsection 7a77#h71 during the    
#ab-month period preceding such         
transaction1 does not exceed #bej1jjj4  
4  7b7 ,disqualification  7#a7 ,in      
general ,not later than #bgj days after 
the date of enactment of this ,act1 the 
,securities and ,exchange ,commission   
shall1 by rule1 establish               
disqualification provisions under which 
an issuer shall not be eligible to offer
 securities pursuant to section         
#d7;a77#h7 of the ,securities ,act of   
#aicc1 as added by this section4  7#b7  
,inclusions ,disqualification provisions
 required by this subsection shall--    

7,a7 be substantially similar to the    
provisions of section #bcj4ejf7;d7 of   
title #ag1 ,code of ,federal            
,regulations 7or any successor thereto72
 and  7,b7 disqualify any offering or   
sale of securities by a person that--   
7i7 is subject to a final order of a    
covered regulator that-- 7,i7 bars the  
person from--  7aa7 association with an 
entity regulated by the covered         
regulator2  7bb7 engaging in the        
business of securities1 insurance1 or   
banking2 or  7cc7 engaging in savings   
association or credit union activities2 
or  7,,ii7 constitutes a final order    
based on a violation of any law or      
regulation that prohibits fraudulent1   
manipulative1 or deceptive conduct1 if  
such final order was issued within the  
previous #aj-year period2 or  7ii7 has  
been convicted of any felony or         
misdemeanor in connection with the      
purchase or sale of any security or     
involving the making of any false filing
 with the ,commission4  7#c7 ,covered   

regulator defined ,in this subsection1  
the term covered regulator means--  7,a7
 a ,state securities commission 7or an  
agency or officer of a ,state performing
 like functions72  7,b7 a ,state        
authority that supervises or examines   
banks1 savings associations1 or credit  
unions2  7,c7 a ,state insurance        
commission 7or an agency or officer of a
 ,state performing like functions72     
7,d7 a ,federal banking agency 7as      
defined under section #c of the ,federal
 ,deposit ,insurance ,act72 and  7,e7   
the ,national ,credit ,union            
,administration4  7c7 ,exemption under  
,state regulations ,section #ah7;b77#d7 
of the ,securities ,act of #aicc 7#ae   
,u4,s4,c4 #ggr7b77#d77 is amended--     
7#a7 in subparagraph 7,f71 by striking  
or at the end2  7#b7 in subparagraph    
7,g71 by striking the period and        
inserting 2 or2 and  7#c7 by adding at  
the end the following3  7,h7 section    
#d7;a77#h74  4