,i  #aag? ,,congress  #a/ ,session  ,h4 
,r4 #edeh  ,,9 ,,! ,,h\se ,,(           
,,repres5tatives  ,septemb] #cj1 #bjba  
,mr4 ,mc,henry 7= himself & ,mr4 ,emm]7 
introduc$ ! foll[+ bill2 :i* 0 ref]r$ to
 ! ,committee on ,f9ancial ,s]vices  ,a 
,,bill  ,to am5d ! ,securities ,act (   
#aicc to provide small issu]s ) a       
micro-(f]+ exemption free ( m&at$       
disclosures or (f]+ fil+s1 b subject to 
! antifraud provisions ( ! ,f$]al       
securities laws1 & = o!r purposes4  #a4 
,%ort title ,?is ,act may be cit$ z !   
,small ,entrepr5eurs' ,emp[]m5t &       
,developm5t ,act ( #bjba or ! ,,se$ ,act
 ( #bjba4  #b4 ,micro-(f]+ exemption    
7a7 ,9 g5]al ,section #d ( ! ,securities
 ,act ( #aicc 7#ae ,u4,s4,c4 #gg;d7 is  
am5d$--  7#a7 9 subsection 7a71 by add+ 
at ! end ! foll[+3  7#h7 transactions   
meet+ ! requirem5ts ( subsection 7f74  2
 &  7#b7 by add+ at ! end ! foll[+3  7f7
 ,micro-,(f]+s ,! transactions ref]r$ to
 9 subsection 7a77#h7 are transactions  
involv+ ! sale ( securities by an issu] 

7includ+ all entities controll$ by or "u
 common control ) ! issu]7 :]e !        
aggregate am\nt ( all securities sold by
 ! issu]1 includ+ any am\nt sold 9      
reliance on ! exemption provid$ "u      
subsection 7a77#h71 dur+ ! #ab-mon?     
p]iod prec$+ su* transaction1 does n    
exce$ #bej1jjj4  4  7b7                 
,disqualification  7#a7 ,9 g5]al ,n lat]
 ?an #bgj days aft] ! date ( enactm5t ( 
?is ,act1 ! ,securities & ,ex*ange      
,commission %all1 by rule1 e/abli%      
disqualification provisions "u :i* an   
issu] %all n be eligible to (f]         
securities pursuant to section          
#d7;a77#h7 ( ! ,securities ,act ( #aicc1
 z add$ by ?is section4  7#b7           
,inclusions ,disqualification provisions
 requir$ by ?is subsection %all--  7,a7 
be sub/antially simil> to ! provisions (
 section #bcj4ejf7;d7 ( title #ag1 ,code
 ( ,f$]al ,regulations 7or any successor
 !reto72 &  7,b7 disqualify any (f]+ or 
sale ( securities by a p]son t--  7i7 is
 subject to a f9al ord] ( a cov]$       

regulator t-- 7,i7 b>s ! p]son f--  7aa7
 association ) an entity regulat$ by !  
cov]$ regulator2  7bb7 engag+ 9 !       
bus9ess ( securities1 insurance1 or     
bank+2 or  7cc7 engag+ 9 sav+s          
association or cr$it union activities2  
or  7,,ii7 con/itutes a f9al ord] bas$  
on a violation ( any law or regulation t
 prohibits fraudul5t1 manipulative1 or  
deceptive conduct1 if su* f9al ord] 0   
issu$ )9 ! previ\s #aj-ye> p]iod2 or    
7ii7 has be5 convict$ ( any felony or   
misdemeanor 9 connection ) ! pur*ase or 
sale ( any security or involv+ ! mak+ ( 
any false fil+ ) ! ,commission4  7#c7   
,cov]$ regulator def9$ ,9 ?is           
subsection1 ! t]m cov]$ regulator       
means--  7,a7 a ,/ate securities        
commission 7or an ag5cy or (fic] ( a    
,/ate p]=m+ l functions72  7,b7 a ,/ate 
au?ority t sup]vises or exam9es banks1  
sav+s associations1 or cr$it unions2    
7,c7 a ,/ate insurance commission 7or an
 ag5cy or (fic] ( a ,/ate p]=m+ l       
functions72  7,d7 a ,f$]al bank+ ag5cy  

7z def9$ "u section #c ( ! ,f$]al       
,deposit ,insurance ,act72 &  7,e7 !    
,national ,cr$it ,union ,adm9i/ration4  
7c7 ,exemption "u ,/ate regulations     
,section #ah7;b77#d7 ( ! ,securities    
,act ( #aicc 7#ae ,u4,s4,c4 #ggr7b77#d77
 is am5d$--  7#a7 9 subp>agraph 7,f71 by
 /rik+ or at ! end2  7#b7 9 subp>agraph 
7,g71 by /rik+ ! p]iod & ins]t+ 2 or2 & 
7#c7 by add+ at ! end ! foll[+3  7,h7   
section #d7;a77#h74  4