[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3882 Introduced in House (IH)]







109th CONGRESS
  1st Session
                                H. R. 3882

         To preserve competitive equity in financial services.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           September 22, 2005

  Mr. Leach introduced the following bill; which was referred to the 
                    Committee on Financial Services

_______________________________________________________________________

                                 A BILL


 
         To preserve competitive equity in financial services.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Financial Safety and Equity Act of 
2005''.

SEC. 2. PRESERVATION OF COMPETITIVE EQUITY IN FINANCIAL SERVICES.

    Section 4 of the Bank Holding Company Act of 1956 (12 U.S.C. 1843) 
is amended by adding at the end the following new subsection:
    ``(p) Preservation of Competitive Equity in Financial Services.----
            ``(1) In general.--Any company that controls an industrial 
        loan company, industrial bank or similar institution described 
        in section 2(c)(2)(H) of this Act shall become a financial 
        holding company and shall comply with all of the conditions, 
        requirements, restrictions and limitations that apply to a 
        financial holding company under Federal law.
            ``(2) Extended divestiture period for nonconforming 
        activities.--Notwithstanding paragraph (1) of this subsection 
        or subsection (a), a company that owned or controlled an 
        industrial loan company, industrial bank or similar institution 
        described in section 2(c)(2)(H) on January 1, 2005, and that 
        was not a bank holding company or a foreign bank (as defined in 
        section 1(b)(7) of the International Banking Act of 1978) on 
        that date shall conform its activities and investments to the 
        requirements of this Act no later than the date that is 5 years 
        after the effective date of this subsection.''.
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