,,ii  #aag? ,,congress  #b;d ,session   
,s4 #cebi  ,,9 ,,! ,,s5ate ,,( ,,!      
,,unit$ ,,/ates  ,janu>y #bj1 #bjbb,mr4 
,van ,holl5 7= himself1 ,mr4 ,scott (   
,s\? ,c>ol9a1 ,mr4 ,w>nock1 & ,ms4      
,lummis7 introduc$ ! foll[+ bill2 :i* 0 
read twice & ref]r$ to ! ,committee on  
,bank+1 ,h\s+1 & ,urban ,affairs  ,a    
,,bill  ,to am5d ! ,inve/or ,protection 
& ,securities ,re=m ,act ( #bjaj to     
provide grants to ,/ates = enhanc$      
protection ( s5ior inve/ors & s5ior     
policyhold]s1 & = o!r purposes4  #a4    
,%ort title ,?is ,act may be cit$ z !   
,emp[]+ ,/ates to ,protect ,s5iors f    
,bad ,actors ,act4  #b4 ,grants to      
eligible entities = enhanc$ protection (
 s5ior inve/ors & s5ior policyhold]s    
7a7 ,9 g5]al ,section #ihi;,a ( !       
,inve/or ,protection & ,securities ,re=m
 ,act ( #bjaj 7#ab ,u4,s4,c4 #eecg7 is  
am5d$ to read z foll[s3  #ihi;,a4       
,grants to eligible entities = enhanc$  
protection ( s5ior inve/ors & s5ior     
policyhold]s  7a7 ,def9itions ,9 ?is    

section3 7#a7 ,eligible entity ,! t]m   
eligible entity means-- 7,a7 !          
securities commission 7or any ag5cy or  
(fice p]=m+ l functions7 ( any ,/ate2 & 
7,b7 ! insurance dep>tm5t 7or any ag5cy 
or (fice p]=m+ l functions7 ( any ,/ate4
  7#b7 ,s5ior ,! t]m s5ior means any    
individual :o has atta9$ ! age ( #fb    
ye>s or old]4  7#c7 ,s5ior f9ancial     
fraud ,! t]m s5ior f9ancial fraud means 
a fraudul5t or o!rwise illegal1         
unau?oriz$1 or improp] act or process ( 
an individual1 includ+ a c>egiv] or a   
fiduci>y1 t-- 7,a7 uses ! res\rces ( a  
s5ior = monet>y or p]sonal b5efit1      
pr(it1 or ga92  7,b7 results 9 depriv+ a
 s5ior ( rightful access to or use (    
b5efits1 res\rces1 belong+s1 or assets2 
or  7,c7 is an action describ$ 9 section
 #acdh ( title #ah1 ,unit$ ,/ates ,code1
 t is tak5 aga9/ a s5ior4  7#d7 ,task   
=ce ,! t]m task =ce means ! task =ce    
e/abli%$ "u subsection 7b77#a74  7b7    
,grant program  7#a7 ,task =ce  7,a7 ,9 
g5]al ,! ,commission %all e/abli% a task

 =ce to c>ry out ! grant program "u     
p>agraph 7#b74  7,b7 ,memb]%ip ,! task  
=ce %all consi/ ( ! foll[+ memb]s3 7i7  
,a ,*air ( ! task =ce1 :o-- 7,i7 %all be
 appo9t$ by ! ,*airman ( ! ,commission1 
9 consultation ) ! ,commission]s ( !    
,commission2 &  7,,ii7 may be a         
repres5tative ( ! ,(fice ( ! ,inve/or   
,advocate ( ! ,commission1 ! ,division (
 ,en=cem5t ( ! ,commission1 or su* o!r  
repres5tative z ! ,commission det]m9es  
appropriate4  7ii7 ,if ! ,*air is n a   
repres5tative ( ! ,(fice ( ! ,inve/or   
,advocate ( ! ,commission1 a            
repres5tative ( su* ,(fice4  7iii7 ,if !
 ,*air is n a repres5tative ( !         
,division ( ,en=cem5t ( ! ,commission1 a
 repres5tative ( su* ,division4  7iv7   
,su* o!r repres5tatives z ! ,commission 
det]m9es appropriate4  7,c7 ,detail (   
executive ag5cy employees ,^u ! reque/ (
 ! ,commission1 ! head ( any ,f$]al     
ag5cy may detail1 on a reimbursable     
basis1 any ( ! p]sonnel ( t ,f$]al ag5cy
 to ! ,commission to assi/ x 9 c>ry+ out

 its functions "u ?is section4 ,! detail
 ( any su* p]sonnel %all be )\t         
int]ruption or loss ( civil s]vice /atus
 or privilege4  7#b7 ,grants ,! task =ce
 %all c>ry out a program "u :i* ! task  
=ce %all make grants1 on a competitive  
basis1 to eligible entities1 :i*-- 7,a7 
may use ! grant funds-- 7i7 to hire /aff
 to id5tify1 inve/igate1 & prosecute    
7?r\gh civil1 adm9i/rative1 or crim9al  
en=cem5t actions7 cases involv+ s5ior   
f9ancial fraud2  7ii7 to fund te*nology1
 equipm5t1 & tra9+ = regulators1        
prosecutors1 & law en=cem5t (fic]s1 9   
ord] to id5tify1 inve/igate1 & prosecute
 cases involv+ s5ior f9ancial fraud2    
7iii7 to provide educational mat]ials & 
tra9+ to s5iors to increase aw>5ess &   
und]/&+ ( s5ior f9ancial fraud2  7iv7 to
 develop compreh5sive plans to combat   
s5ior f9ancial fraud2 &  7v7 to enhance 
provisions ( ,/ate law to provide       
protection f s5ior f9ancial fraud2 &    
7,b7 may n use ! grant funds = any      
indirect exp5se1 su* z r5t1 utilities1  

or any o!r g5]al adm9i/rative co/ t is n
 directly relat$ to ! purpose ( ! grant 
program4  7#c7 ,au?ority ( task =ce ,9  
c>ry+ out p>agraph 7#b71 ! task =ce--   
7,a7 may consult ) /aff ( ! ,commission2
 &  7,b7 %all make public all actions ( 
! task =ce relat+ to c>ry+ out t        
p>agraph4  7c7 ,applications ,an        
eligible entity desir+ a grant "u ?is   
section %all submit an application to ! 
task =ce1 9 su* =m & 9 su* a mann] z !  
task =ce may det]m9e1 t includes-- 7#a7 
a proposal = activities to protect      
s5iors f s5ior f9ancial fraud t are     
propos$ to be fund$ us+ a grant "u ?is  
section1 includ+-- 7,a7 an id5tification
 ( ! scope ( ! problem ( s5ior f9ancial 
fraud 9 ! applicable ,/ate2  7,b7 a     
description ( h[ ! propos$ activities   
w\ld-- 7i7 protect s5iors f s5ior       
f9ancial fraud1 includ+ by proactively  
id5tify+ victims ( s5ior f9ancial fraud2
  7ii7 assi/ 9 ! inve/igation &         
prosecution ( ^? committ+ s5ior f9ancial
 fraud2 &  7iii7 disc\rage & r$uce cases

 ( s5ior f9ancial fraud2 &  7,c7 a      
description ( h[ ! propos$ activities   
w\ld be coord9at$ ) o!r ,/ate ef=ts2 &  
7#b7 any o!r in=mation t ! task =ce     
det]m9es appropriate4  7d7 ,p]=mance    
objectives2 report+ requirem5ts2 audits 
7#a7 ,9 g5]al ,! task =ce-- 7,a7 may    
e/abli% su* p]=mance objectives &       
report+ requirem5ts = eligible entities 
receiv+ a grant "u ?is section z ! task 
=ce det]m9es are necess>y to c>ry out & 
assess ! effectiv5ess ( ! program "u ?is
 section2 &  7,b7 %all require ea*      
eligible entity t receives a grant "u   
?is section to submit to ! task =ce a   
detail$ acc\nt+ ( ! use ( grant funds1  
:i* %all be submitt$ at su* "t1 9 su*   
=m1 & conta9+ su* in=mation z ! task =ce
 may require4  7#b7 ,report ,n lat] ?an 
#b ye>s1 & aga9 n lat] ?an #e ye>s1 aft]
 ! date ( ! enactm5t ( ! ,emp[]+ ,/ates 
to ,protect ,s5iors f ,bad ,actors ,act1
 ! task =ce %all submit to ! ,committee 
on ,f9ancial ,s]vices ( ! ,h\se (       
,repres5tatives & ! ,committee on       

,bank+1 ,h\s+1 & ,urban ,affairs ( !    
,s5ate a report t-- 7,a7 specifies ea*  
recipi5t ( a grant "u ?is section2  7,b7
 includes a description ( ! programs t  
are support$ by ea* su* grant2 &  7,c7  
includes an evaluation by ! task =ce ( !
 effectiv5ess ( su* grants4  7#c7       
,audits ,! task =ce %all annually       
conduct an audit ( ! program "u ?is     
section to ensure t eligible entities to
 :i* grants are made "u t program are1 =
 ! ye> cov]$ by ! audit1 us+ grant funds
 = ! int5d$ purposes ( ^? funds4  7e7   
,maximum am\nt ,! am\nt ( a grant to an 
eligible entity "u ?is section may n    
exce$ #ejj1jjj1 :i* ! task =ce %all     
adju/ annually to reflect ! p]c5tage    
*ange 9 ! ,consum] ,price ,index = ,all 
,urban ,consum]s publi%$ by ! ,bureau ( 
,labor ,/ati/ics ( ! ,dep>tm5t ( ,labor4
  7f7 ,subgrants ,an eligible entity t  
receives a grant "u ?is section may1 9  
consultation ) ! task =ce1 make a       
subgrant1 z ! eligible entity det]m9es  
is necess>y or appropriate-- 7#a7 to    

c>ry out ! activities describ$ 9        
subsection 7b77#b77;,a72 &  7#b7 :i* may
 n be us$ = any activity describ$ 9     
subsection 7b77#b77;,b74  7g7           
,au?orization ( appropriations ,!re are 
au?oriz$ to be appropriat$ to c>ry out  
?is section #aj1jjj1jjj = ea* ( fiscal  
ye>s #bjbc ?r\gh #bjbh4  4  7b7 ,con=m+ 
am5dm5t ,! table ( cont5ts 9 section    
#a7;b7 ( ! ,dodd-,frank ,wall ,/reet    
,re=m & ,consum] ,protection ,act is    
am5d$ by /rik+ ! item relat+ to section 
#ihi;,a & ins]t+ ! foll[+3              
,sec4#ihi;,a4 ,grants to eligible       
entities = enhanc$ protection ( s5ior   
inve/ors & s5ior policyhold]s4  4