HB 24-07: No Insider Trading Act (Passed)

[thumb21]

NO INSIDER TRADING ACT

To improve ethical standards for Members of Congress

Be it enacted by the Congress of the Republic of Atlasia assembled

SECTION I: TITLE.
This law shall be referred to as the No Insider Trading Act.

SECTION II: DEFINITIONS.

(a) The term "covered investment" refers to an investment in a security, commodity, a future, or any comparable economic interest acquired through synthetic means such as the use of a derivative. This term shall not refer to:
 (i) A widely held investment fund if the fund is publicly traded; or the assets of the fund are widely diversified; and the reporting individual neither excercises control over nor has the ability to exercise control over the financial interests held by the fund.
 (ii) An Atlasian Treasury bill, note or bond.
(b) The term "covered person" refers to:
 (i) A sitting Member of Congress.
 (ii) An individual employed as an officer or employee of Congress required to file a report under the Ethics in Government Act of 1978.

SECTION III: PROHIBITIONS.

(a) Except as provided in Section IV, no covered person may:
 (i) Purchase or sell any covered investment.
 (ii) Serve as an officer or member of any board of any for-profit association, corporation or other entity.
 
SECTION IV: EXCEPTIONS.

(a) A covered person may hold any covered investment held before the date on which the covered person took office.
 (i) A covered person may not buy or sell any investment described in this subsection except if:
 (A) The investment is placed in a qualified blind trust as described in Section V.
 (B) They have divested themselves of any investment under paragraph (ii).
 (ii) A covered person may sell a covered investment during the 6-month period beginning on:
 (A) The date on which the covered person takes office or begins employment.
 (B) The date of enactment of this act.

SECTION V: TRUSTS.

(a) A covered person may place their securities holdings in a qualified blind trust persuant to section 102(f) of the Ethics in Government Act of 1978.
(b) A blind trust permitted under this subsection shall meet the criteria in section 102(f)(4)(B) of the Ethics in Government Act of 1978.

SECTION VI: ENFORCEMENT.

(a) Whoever knowingly fails to comply with this Act shall be subject to a civil penalty of not less than 10% of the value of the covered investment that was purchased or sold in violation of this Act, as applicable.

SECTION VII: IMPLEMENTATION.

(a) This act shall take effect immediately upon passage.

Sponsor: Thumb21
House Designation: HB 24-07

72 hours to debate.

[thumb21]

This is an ethics bill aimed at stopping members of congress from using their position, including their access to briefings and other information, for their own advantage at the expense of others. The job of a member of congress should be to serve the people who elected them rather than just another way of getting rich.

Most of this bill originates from an IRL bill which I re-wrote in a way to try and minimise some of the legalese and other nonsense into a readable form. This bill does make some reference to the Ethics in Government Act of 1978 which for the benefit of anyone who is interested, you can find here: https://uscode.house.gov/browse/prelim@title5/title5a/node49/title1&edition=prelim

What the bill does is it bans members of congress from buying and selling most forms of financial investments and sets out a process where they can set up a blind trust - with another option to sell off these investments within 6 months.

[P. Clodius Pulcher did nothing wrong]

Looks like good legislation to me

[Fmr. Representative Encke]

Eh, not sure how to approach this legislation. It's entirely irrelevant in Atlasia, because we the players are Congress (and other congressional employees would really not exist either) and none of us engages in insider trading (unless someone wants to roleplay, of course ).

[thumb21]

Eh, not sure how to approach this legislation. It's entirely irrelevant in Atlasia, because we the players are Congress (and other congressional employees would really not exist either) and none of us engages in insider trading (unless someone wants to roleplay, of course ).

I'm sure noone here does insider trading (*hides phone*), but basically every policy we debate has little to no impact on the game except a few areas like election law.

[RC (a la Frémont)]

In theory, this is good legislation, and it should pass, but as the Speaker says, it doesn’t have all that much of an impact on things. That being said, I’ll still support it.

[Elcaspar]

I agree with the statements that Speaker Thumb21 and Representative ReaganClinton have given on this bill. I will vote aye on this bill if it comes to a vote.

[Leinad]

Well I guess I have to sell some stocks before I introduce my bill for subsidizing the ceramic turtle industry THANKS A LOT GUYS IT'S SO HARD TO MAKE A BUCK THESE DAYS

I mean uhhhh...yeah this seems like a good bill! *crumples up piece of paper that says "Bil Drapht" on one side*

[lfromnj]

Insider trading is true market information !

[P. Clodius Pulcher did nothing wrong]

I move to vote on this commonsense, impactful-in-real-life bill!

[PPT Spiral]

My corporate sponsor tells me this is a good bill to support. I shall enthusiastically do so.

[thumb21]

Final Vote

72 hours

[thumb21]

Aye

[PPT Spiral]

Aye

[Fmr. Representative Encke]

Abstain

[cinyc]

Abstain

[OSR stands with Israel]

Aye

[Elcaspar]

Aye

[RC (a la Frémont)]

Aye

[thumb21]

Passed

5-0-2-2

[thumb21]

NO INSIDER TRADING ACT

To improve ethical standards for Members of Congress

Be it enacted by the Congress of the Republic of Atlasia assembled

SECTION I: TITLE.
This law shall be referred to as the No Insider Trading Act.

SECTION II: DEFINITIONS.

(a) The term "covered investment" refers to an investment in a security, commodity, a future, or any comparable economic interest acquired through synthetic means such as the use of a derivative. This term shall not refer to:
 (i) A widely held investment fund if the fund is publicly traded; or the assets of the fund are widely diversified; and the reporting individual neither excercises control over nor has the ability to exercise control over the financial interests held by the fund.
 (ii) An Atlasian Treasury bill, note or bond.
(b) The term "covered person" refers to:
 (i) A sitting Member of Congress.
 (ii) An individual employed as an officer or employee of Congress required to file a report under the Ethics in Government Act of 1978.

SECTION III: PROHIBITIONS.

(a) Except as provided in Section IV, no covered person may:
 (i) Purchase or sell any covered investment.
 (ii) Serve as an officer or member of any board of any for-profit association, corporation or other entity.
 
SECTION IV: EXCEPTIONS.

(a) A covered person may hold any covered investment held before the date on which the covered person took office.
 (i) A covered person may not buy or sell any investment described in this subsection except if:
 (A) The investment is placed in a qualified blind trust as described in Section V.
 (B) They have divested themselves of any investment under paragraph (ii).
 (ii) A covered person may sell a covered investment during the 6-month period beginning on:
 (A) The date on which the covered person takes office or begins employment.
 (B) The date of enactment of this act.

SECTION V: TRUSTS.

(a) A covered person may place their securities holdings in a qualified blind trust persuant to section 102(f) of the Ethics in Government Act of 1978.
(b) A blind trust permitted under this subsection shall meet the criteria in section 102(f)(4)(B) of the Ethics in Government Act of 1978.

SECTION VI: ENFORCEMENT.

(a) Whoever knowingly fails to comply with this Act shall be subject to a civil penalty of not less than 10% of the value of the covered investment that was purchased or sold in violation of this Act, as applicable.

SECTION VII: IMPLEMENTATION.

(a) This act shall take effect immediately upon passage.

House of Representatives
Passed the House of Representatives 5-0-2-2