PRIA, Government Policy, Made Personal

Summary

Keeps records the Commission gets — like applications, reports, contracts, letters, and notices — mostly private. Commission members and staff must not share or use those records for personal gain, except with other Commission staff or under the Commission’s own rules. The Commission can share records with people or groups at home or abroad if they show they need them and promise to keep them confidential. The Commission generally does not have to release records it got from a foreign securities authority if that foreign authority says public release would break its laws and the records came through approved procedures or a memorandum of understanding. For Freedom of Information Act purposes, under 552(b)(8) the Commission is treated as an agency that supervises financial institutions, and the firms it oversees are treated as financial institutions. Sharing records does not waive legal privileges when the Commission or others (federal agencies, the PCAOB, self‑regulatory organizations, foreign or State securities or law enforcement authorities) exchange information, except the rule does not protect a self‑regulatory organization or the PCAOB when the Commission uses the information against them. Saves the Commission’s duties under the Right to Financial Privacy Act (12 U.S.C. 3401 et seq.) as limited by section 78u(h), and does not let the Commission refuse Congress or a U.S. court order. Defined terms (one line each): Records — documents filed with or obtained by the Commission. Privilege — legal protections like attorney‑client or work‑product. Foreign law enforcement authority — a foreign body that can investigate or prosecute crimes. State securities or law enforcement authority — a State or territory body that can investigate or prosecute crimes.

Title 15, §78x

Commerce and Trade, Source: USLM XML via OLRC

(a)“Records” defined

For purposes of section 552 of title 5 the term “records” includes all applications, statements, reports, contracts, correspondence, notices, and other documents filed with or otherwise obtained by the Commission pursuant to this chapter or otherwise.

(b)Disclosure or personal use

It shall be unlawful for any member, officer, or employee of the Commission to disclose to any person other than a member, officer, or employee of the Commission, or to use for personal benefit, any information contained in any application, statement, report, contract, correspondence, notice, or other document filed with or otherwise obtained by the Commission (1) in contravention of the rules and regulations of the Commission under section 552 of title 5, or (2) in circumstances where the Commission has determined pursuant to such rules to accord confidential treatment to such information.

(c)Confidential disclosures

The Commission may, in its discretion and upon a showing that such information is needed, provide all “records” (as defined in subsection (a)) and other information in its possession to such persons, both domestic and foreign, as the Commission by rule deems appropriate if the person receiving such records or information provides such assurances of confidentiality as the Commission deems appropriate.

(d)Records obtained from foreign securities authorities

Except as provided in subsection (g), the Commission shall not be compelled to disclose records obtained from a foreign securities authority if (1) the foreign securities authority has in good faith determined and represented to the Commission that public disclosure of such records would violate the laws applicable to that foreign securities authority, and (2) the Commission obtains such records pursuant to (A) such procedure as the Commission may authorize for use in connection with the administration or enforcement of the securities laws, or (B) a memorandum of understanding. For purposes of section 552 of title 5, this subsection shall be considered a statute described in subsection (b)(3)(B) of such section 552.

(e)Freedom of Information Act

For purposes of section 552(b)(8) of title 5 (commonly referred to as the Freedom of Information Act)—

(1)the Commission is an agency responsible for the regulation or supervision of financial institutions; and

(2)any entity for which the Commission is responsible for regulating, supervising, or examining under this chapter is a financial institution.

(f)Sharing privileged information with other authorities

(1)Privileged information provided by the Commission

The Commission shall not be deemed to have waived any privilege applicable to any information by transferring that information to or permitting that information to be used by—

(A)any agency (as defined in section 6 of title 18);

(B)the Public Company Accounting Oversight Board;

(C)any self-regulatory organization;

(D)any foreign securities authority;

(E)any foreign law enforcement authority; or

(F)any State securities or law enforcement authority.

(2)Nondisclosure of privileged information provided to the Commission

The Commission shall not be compelled to disclose privileged information obtained from any foreign securities authority, or foreign law enforcement authority, if the authority has in good faith determined and represented to the Commission that the information is privileged.

(3)Nonwaiver of privileged information provided to the Commission

(A)In general

Federal agencies, State securities and law enforcement authorities, self-regulatory organizations, and the Public Company Accounting Oversight Board shall not be deemed to have waived any privilege applicable to any information by transferring that information to or permitting that information to be used by the Commission.

(B)Exception

The provisions of subparagraph (A) shall not apply to a self-regulatory organization or the Public Company Accounting Oversight Board with respect to information used by the Commission in an action against such organization.

(4)Definitions

For purposes of this subsection

(A)

(B)the term “foreign law enforcement authority” means any foreign authority that is empowered under foreign law to detect, investigate or prosecute potential violations of law; and

(C)the term “State securities or law enforcement authority” means the authority of any State or territory that is empowered under State or territory law to detect, investigate, or prosecute potential violations of law.

(g)Savings provision

Nothing in this section shall—

(1)alter the Commission’s responsibilities under the Right to Financial Privacy Act (12 U.S.C. 3401 et seq.), as limited by section 78u(h) of this title, with respect to transfers of records covered by such statutes, or

(2)authorize the Commission to withhold information from the Congress or prevent the Commission from complying with an order of a court of the United States in an action commenced by the United States or the Commission.

Notes & Related Subsidiaries

Editorial Notes

References in Text

This chapter, referred to in subsecs. (a) and (e)(2), was in the original “this title”. See

References in Text

note set out under section 78a of this title. The Right to Financial Privacy Act, referred to in subsec. (g)(1), probably means the Right to Financial Privacy Act of 1978, title XI of Pub. L. 95–630, Nov. 10, 1978, 92 Stat. 3697, which is classified generally to chapter 35 (§ 3401 et seq.) of Title 12, Banks and Banking. For complete classification of this Act to the Code, see

Short Title

note set out under section 3401 of Title 12 and Tables.

Amendments

2010—Subsec. (d). Pub. L. 111–203, § 929K(1), substituted “subsection (g)” for “subsection (f)”. Pub. L. 111–203, § 929I(a)(1), substituted “subsection (f)” for “subsection (e)”. Subsec. (e). Pub. L. 111–257 added subsec. (e) and struck out former subsec. (e). Prior to amendment, text read as follows: “(1) In general.—Except as provided in subsection (g), the Commission shall not be compelled to disclose records or information obtained pursuant to section 78q(b) of this title, or records or information based upon or derived from such records or information, if such records or information have been obtained by the Commission for use in furtherance of the purposes of this chapter, including surveillance, risk assessments, or other regulatory and oversight activities. “(2) Treatment of information.—For purposes of section 552 of title 5, this subsection shall be considered a statute described in subsection (b)(3)(B) of such section 552. Collection of information pursuant to section 78q of this title shall be an administrative action involving an agency against specific individuals or agencies pursuant to section 3518(c)(1) of title 44.” Pub. L. 111–203, § 929K(2), substituted “subsection (g)” for “subsection (f)” in par. (1). Pub. L. 111–203, § 929I(a)(3), added subsec. (e). Former subsec. (e) redesignated (f). Subsec. (f). Pub. L. 111–203, § 929K(4), added subsec. (f). Former subsec. (f) redesignated (g). Pub. L. 111–203, § 929I(a)(2), redesignated subsec. (e) as (f). Subsec. (g). Pub. L. 111–203, § 929K(3), redesignated subsec. (f) as (g). 1990—Subsec. (b). Pub. L. 101–550, § 202(a)(1), struck out at end “Nothing in this subsection shall authorize the Commission to withhold information from the Congress.” Subsecs. (c) to (e). Pub. L. 101–550, § 202(a)(2), added subsecs. (c) to (e). 1975—Subsec. (a). Pub. L. 94–29 substituted “For purposes of section 552 of title 5, the term ‘records’ includes all applications, statements, reports, contracts, correspondence, notices, and other documents filed with or otherwise obtained by the Commission pursuant to this chapter or otherwise” for “Nothing in this chapter shall be construed to require, or to authorize the Commission to require, the revealing of trade secrets or processes in any application, report, or document filed with the Commission under this chapter”. Subsecs. (b), (c). Pub. L. 94–29 redesignated subsec. (c) as (b) and substituted “application, statement, report, contract, correspondence, notice, or other document filed with or otherwise obtained by the Commission (1) in contravention of the

Rules and Regulations

of the Commission under section 552 of title 5, or (2) in circumstances where the Commission has determined pursuant to such rules to accord confidential treatment for such information. Nothing in this subsection shall authorize the Commission to withhold information from Congress” for “application, report, or document filed with the Commission which is not made available to the public pursuant to subsection (b) of this section: Provided, That the Commission may make available to the Board of Governors of the Federal Reserve System any information requested by the Board for the purpose of enabling it to perform its duties under this chapter”. Former subsec. (b), providing for written objection to public disclosure of information, was struck out.

Statutory Notes and Related Subsidiaries

Change of Name

section 203(a) of act Aug. 23, 1935, substituted “Board of Governors of the Federal Reserve System” for “Federal Reserve Board”.

Effective Date

of 2010 AmendmentAmendment by Pub. L. 111–203 effective 1 day after July 21, 2010, except as otherwise provided, see section 4 of Pub. L. 111–203, set out as an

Effective Date

note under section 5301 of Title 12, Banks and Banking.

Effective Date

of 1975 AmendmentAmendment by Pub. L. 94–29 effective June 4, 1975, see section 31(a) of Pub. L. 94–29, set out as a note under section 78b of this title.

Executive Documents

Transfer of Functions

For

Transfer of Functions

of Securities and Exchange Commission, with certain exceptions, to Chairman of such Commission, see Reorg. Plan No. 10 of 1950, §§ 1, 2, eff. May 24, 1950, 15 F.R. 3175, 64 Stat. 1265, set out under section 78d of this title.

§78x Public Availability of Information

Summary

Title 15, §78x

Notes & Related Subsidiaries

Editorial Notes

References in Text

References in Text

Short Title

Amendments

Rules and Regulations

Statutory Notes and Related Subsidiaries

Change of Name

Effective Date

Effective Date

Effective Date

Executive Documents

Transfer of Functions

Transfer of Functions

Citations & Metadata