,,ii ,calendar ,no4 #ecf #aaith         
,,congress  #b;d ,session  ,s4 #ebba    
,,in ,,the ,,senate ,,of ,,the ,,united 
,,states  ,august #c1 #bjbf,mr4 ,padilla
 7for himself1 ,mr4 ,blumenthal1 ,mr4   
,whitehouse1 ,mr4 ,peters1 and ,mr4     
,merkley7 introduced the following bill2
 which was read the first time  ,august 
#d1 #bjbf,read the second time and      
placed on the calendar  ,a ,,bill  ,to  
prohibit the purchase1 sale1 or exchange
 of nonpublic information1 and for other
 purposes4  #a4 ,short title ,this ,act 
may be cited as the ,stop ,corrupt      
,trading ,act4  #b4 ,misuse of nonpublic
 information  7a7 ,in general ,chapter  
#aa of title #ah1 ,united ,states ,code1
 is amended by adding at the end the    
following3  #bbh4 ,misuse of nonpublic  
information  7a7 ,definitions ,in this  
section3 7#a7 ,covered entity ,the term 
covered entity means a firm1            
partnership1 association1 corporation1  
or other entity-- 7,a7 which a covered  
person or a member of the immediate     

family of a covered person controls1    
directly or indirectly2 or  7,b7 in     
which a covered person beneficially owns
 a financial interest in the entity     
comprising not less than #e percent of  
the equity1 profits1 or revenue         
interests of the entity4  7#b7 ,covered 
person ,the term covered person means   
the ,president or ,vice ,president4     
7#c7 ,nonpublic information ,the term   
nonpublic information-- 7,a7 means      
information that a covered person gains 
as a result of the covered person's     
official position and that the covered  
person knows or reasonably should know  
has not been made available to the      
general public1 including information   
that the covered person knows or        
reasonably should know-- 7i7 is         
routinely exempt from disclosure under  
section #eeb of title #e or otherwise   
protected from disclosure by statute1   
,executive order1 or regulation2  7ii7  
is designated as confidential2 or  7iii7
 has not been disseminated to the       

general public and is not authorized to 
be made available to the public on      
request2 and  7,b7 includes statements  
or other communications by a covered    
person made available via application   
programming interface or other means    
that are not made available to the      
general public on equal terms4  7b7     
,misuse of nonpublic information  7#a7  
,sale by covered persons and entities   
,no covered person or covered entity may
 enter into a transaction to sell or    
exchange nonpublic information for      
financial benefit4  7#b7 ,purchase or   
sale by other persons ,no person may    
enter into a transaction to acquire1    
purchase1 sell1 or exchange nonpublic   
information for financial benefit4  7c7 
,criminal penalties and forfeiture  7#a7
 ,penalty ,the punishment for an offense
 under subsection 7b7 shall be-- 7,a7   
for an offense under subparagraph 7,a71 
a fine not more than double the value of
 the transaction1 to be deposited in the
 ,treasury or imprisonment for not more 

than #e years1 or both2 and  7,b7 for an
 offense under subparagraph 7,b71 a fine
 not more than double the value of the  
transaction1 to be deposited in the     
,treasury4  7#b7 ,criminal forfeiture   
,the court1 in imposing a sentence on a 
person convicted of an offense under    
subsection 7b71 shall order that the    
person forfeit to the ,united ,states   
any property1 real or personal1         
constituting or derived from proceeds   
obtained1 directly or indirectly1 as a  
result of the offense4  7d7 ,civil      
enforcement2 disgorgement  7#a7 ,civil  
action ,the ,attorney ,general may bring
 a civil action in an appropriate       
district court of the ,united ,states   
against any person or entity that       
engages in conduct constituting a       
violation of subsection 7b7 7without    
regard to whether a criminal prosecution
 has been brought71 for-- 7,a7          
disgorgement to the ,united ,states of  
all profits1 payments1 and other things 
of value derived from the conduct2  7,b7

 a civil penalty of not more than the   
greater of #bej1jjj or #c times the     
amount of the gain derived from1 or the 
payment made in1 the conduct1 for each  
violation2 and  7,c7 appropriate        
equitable relief1 including an          
injunction and a constructive trust for 
the benefit of the ,united ,states over 
property traceable to the conduct4  7#b7
 ,standard of proof ,in an action under 
this subsection1 the standard of proof  
shall be a preponderance of the         
evidence4  7#c7 ,statute of limitations2
 tolling ,an action under this          
subsection shall be commenced not later 
than #f years after the date on which   
the conduct occurred1 except that such  
period shall be tolled during any period
 in which the defendant1 or the covered 
person from whose position the nonpublic
 information concerned was derived1     
holds the office of ,president or ,vice 
,president4  7#d7 ,liability of         
counterparties and entities ,a covered  
entity1 and any person that knowingly   

provides anything of value in a         
transaction described in subsection 7b7 
shall be jointly and severally liable   
for the remedies described in paragraph 
7#a7 with respect to that transaction4  
7#e7 ,referral ,the ,director of the    
,office of ,government ,ethics shall    
refer to the ,attorney ,general any     
credible evidence of conduct described  
in paragraph 7#a71 and shall notify the 
,committee on the ,judiciary of the     
,senate and the ,committee on the       
,judiciary of the ,house of             
,representatives of each referral4  4   
7b7 ,clerical amendment ,the table of   
sections for chapter #aa of title #ah1  
,united ,states ,code1 is amended by    
adding at the end the following3  #bbh4 
,misuse of nonpublic information4  4    
,august #d1 #bjbf,read the second time  
and placed on the calendar