,,ii #aahth ,,congress #ast ,session ,s4 #dci ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,february #ae1 #bjbc,mr4 ,hawley introduced the following bill2 which was read twice and referred to the ,committee on ,homeland ,security and ,governmental ,affairs ,a ,,bill ,to amend chapter #aca of title #e1 ,united ,states ,code1 to prohibit transactions involving certain financial instruments by ,members of ,congress4 #a4 ,short title ,this ,act may be cited as the ,preventing ,elected ,leaders from ,owning ,securities and ,investments 7,,pelosi7 ,act4 #b4 ,banning insider trading in ,congress 7a7 ,in general ,chapter #aca of title #e1 ,united ,states ,code1 is amended by adding at the end the following3 ,,iv ,banning insider trading in ,congress #acafa4 ,definitions ,in this subchapter3 7#a7 ,covered financial instrument 7,a7 ,in general ,the term covered financial instrument means-- 7i7 any investment in-- 7,i7 a security 7as defined in section #c7;a7 of ,securities ,exchange ,act of #aicd 7#ae ,u4,s4,c4 #gh;c7a7772 7,,ii7 a security future 7as defined in that section72 or 7,,iii7 a commodity 7as defined in section #a;a of the ,commodity ,exchange ,act 7#g ,u4,s4,c4 #a;a772 and 7ii7 any economic interest comparable to an interest described in clause 7i7 that is acquired through synthetic means1 such as the use of a derivative1 including an option1 warrant1 or other similar means4 7,b7 ,exclusions ,the term covered financial instrument does not include-- 7i7 a diversified mutual fund2 7ii7 a diversified exchange-traded fund2 7iii7 a ,united ,states ,treasury bill1 note1 or bond2 or 7iv7 compensation from the primary occupation of a spouse or dependent of a ,member of ,congress4 7#b7 ,member of ,congress ,the term ,member of ,congress has the meaning given the term in section #acaja4 7#c7 ,qualified blind trust ,the term qualified blind trust has the meaning given the term in section #acajd7;f74 7#d7 ,supervising ethics committee ,the term supervising ethics committee means1 as applicable-- 7,a7 the ,select ,committee on ,ethics of the ,senate2 and 7,b7 the ,committee on ,ethics of the ,house of ,representatives4 #acafb4 ,prohibition on certain transactions and holdings involving covered financial instruments 7a7 ,prohibition ,except as provided in subsection 7b71 a ,member of ,congress1 or any spouse of a ,member of ,congress1 may not1 during the term of service of the ,member of ,congress1 hold1 purchase1 or sell any covered financial instrument4 7b7 ,exceptions ,the prohibition under subsection 7a7 shall not apply to-- 7#a7 a sale by a ,member of ,congress1 or a spouse of a ,member of ,congress1 that is completed by the date that is-- 7,a7 for a ,member of ,congress serving on the date of enactment of the ,preventing ,elected ,leaders from ,owning ,securities and ,investments 7,,pelosi7 ,act1 #ahj days after that date of enactment2 and 7,b7 for any ,member of ,congress who commences service as a ,member of ,congress after the date of enactment of the ,preventing ,elected ,leaders from ,owning ,securities and ,investments 7,,pelosi7 ,act1 #ahj days after the first date of the initial term of service2 or 7#b7 a covered financial instrument held in a qualified blind trust operated on behalf of1 or for the benefit of1 the ,member of ,congress or spouse of the ,member of ,congress4 7c7 ,penalties 7#a7 ,disgorgement ,a ,member of ,congress shall disgorge to the ,treasury of the ,united ,states any profit from a transaction or holding involving a covered financial instrument that is conducted in violation of this section4 7#b7 ,fines ,a ,member of ,congress who holds or conducts a transaction involving1 or whose spouse holds or conducts a transaction involving1 a covered financial instrument in violation of this section may be subject to a civil fine assessed by the supervising ethics committee under section #acafd4 #acafc4 ,certification of compliance 7a7 ,in general ,not less frequently than annually1 each ,member of ,congress shall submit to the applicable supervising ethics committee a written certification that the ,member of ,congress has achieved compliance with the requirements of this subchapter4 7b7 ,publication ,the supervising ethics committees shall publish each certification submitted under subsection 7a7 on a publicly available website4 #acafd4 ,authority of supervising ethics committees 7a7 ,in general ,the supervising ethics committees may implement and enforce the requirements of this subchapter1 including by-- 7#a7 issuing-- 7,a7 for ,members of ,congress-- 7i7 rules governing that implementation2 and 7ii7 #a or more reasonable extensions to achieve compliance with this subchapter1 if the supervising ethics committee determines that a ,member of ,congress is making a good faith effort to divest any covered financial instruments2 and 7,b7 guidance relating to covered financial instruments2 7#b7 publishing on the internet certifications submitted by ,members of ,congress under section #acafc7;a72 and 7#c7 assessing civil fines against any ,member of ,congress who is in violation of this subchapter1 subject to subsection 7b74 7b7 ,requirements for civil fines 7#a7 ,in general ,before imposing a fine pursuant to this section1 a supervising ethics committee shall provide to the applicable ,member of ,congress-- 7,a7 a written notice describing each covered financial instrument transaction for which a fine will be assessed2 and 7,b7 an opportunity1 with respect to each such covered financial instrument transaction-- 7i7 for a hearing2 and 7ii7 to achieve compliance with the requirements of this subchapter4 7#b7 ,publication ,each supervising ethics committee shall publish on a publicly available website a description of-- 7,a7 each fine assessed by the supervising ethics committee pursuant to this section2 7,b7 the reasons why each such fine was assessed2 and 7,c7 the result of each assessment1 including any hearing under paragraph 7#a77;,b77i7 relating to the assessment4 7#c7 ,appeal ,a ,member of ,congress may appeal the assessment of a fine under this section to a vote on the floor of the ,senate or the ,house of ,representatives1 as applicable1 as a privileged motion4 #acafe4 ,audit by ,government ,accountability ,office ,not later than #b years after the date of enactment of the ,preventing ,elected ,leaders from ,owning ,securities and ,investments 7,,pelosi7 ,act1 the ,comptroller ,general of the ,united ,states shall-- 7#a7 conduct an audit of the compliance by ,members of ,congress with the requirements of this subchapter2 and 7#b7 submit to the supervising ethics committees a report describing the results of the audit conducted under paragraph 7#a74 4 7b7 ,conforming amendments 7#a7 ,section #acajc7;f7 of title #e1 ,united ,states ,code1 is amended-- 7,a7 in paragraph 7#i71 by striking as defined in section #acaja of this title2 7,b7 in paragraph 7#aj71 by striking as defined in section #acaja of this title2 7,c7 in paragraph 7#aa71 by striking as defined in section #acaja of this title2 and 7,d7 in paragraph 7#ab71 by striking as defined in section #acaja of this title4 7#b7 ,section #c7d77;,d7 of the ,lobbying ,disclosure ,act of #aiie 7#b ,u4,s4,c4 #afjb7d77;,d77 is amended by striking legislative branch employee serving in a position described under section #acaja7ac7 of title #e1 ,united ,states ,code and inserting officer or employee of ,congress 7as defined in section #acaja of title #e1 ,united ,states ,code74 7#c7 ,the table of sections for chapter #aca of title #e1 ,united ,states ,code1 is amended by adding at the end the following3 ,,subchapter ,,iv--,banning insider trading in ,congress #acafa4 ,definitions4 #acafb4 ,prohibition on certain transactions and holdings involving covered financial instruments4 #acafc4 ,certification of compliance4 #acafd4 ,authority of supervising ethics committees4 #acafe4 ,audit by ,government ,accountability ,office4 4