[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[H.R. 6987 Introduced in House (IH)]







110th CONGRESS
  2d Session
                                H. R. 6987

 To amend the Sarbanes-Oxley Act of 2002 to require officers to repay 
bonus amounts received during a year in which their company is subject 
       to a taxpayer bailout, as well as the two previous years.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           September 22, 2008

  Mr. Feeney (for himself, Mr. Roskam, and Mr. Garrett of New Jersey) 
 introduced the following bill; which was referred to the Committee on 
                           Financial Services

_______________________________________________________________________

                                 A BILL


 
 To amend the Sarbanes-Oxley Act of 2002 to require officers to repay 
bonus amounts received during a year in which their company is subject 
       to a taxpayer bailout, as well as the two previous years.

    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 ``Taxpayer Bailout Protection Act of 
2008''.

SEC. 2. REPAYMENT OF BONUS IN CASE OF TAXPAYER BAILOUT.

    (a) In General.--Section 304 of the Sarbanes-Oxley Act of 2002 (15 
U.S.C. 7243) is amended by adding at the end the following new 
subsection:
    ``(c) Repayment of Bonus in Case of Taxpayer Bailout.--
            ``(1) In general.--An officer of an issuer shall pay to the 
        Department of the Treasury any amounts received by such officer 
        during a year as a bonus or other incentive-based or equity-
        based compensation from the issuer during--
                    ``(A) a year in which the issuer is subject to a 
                taxpayer bailout; and
                    ``(B) the two years prior to a year in which the 
                issuer is subject to a taxpayer bailout.
            ``(2) Taxpayer bailout defined.--For purposes of this 
        subsection, and with respect to an issuer, the term `taxpayer 
        bailout' means--
                    ``(A) the placement of the issuer under 
                conservatorship, receivership, or other assumption of 
                the management, governance, and control of the issuer 
                by the Department of the Treasury or the Board of 
                Governors of the Federal Reserve; or
                    ``(B) an emergency loan of public funds made to the 
                issuer by the Department of the Treasury or the Board 
                of Governors of the Federal Reserve, if the Chairman of 
                the Board of Governors of the Federal Reserve 
                determines that such a loan is necessary to prevent the 
                imminent failure of the issuer.''.
    (b) Effective Date.--The amendment made by this section shall take 
effect with respect to bonuses and other incentive-based or equity-
based compensation received by an officer after the date of the 
enactment of this Act.
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