[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1180 Introduced in House (IH)]

111th CONGRESS
  1st Session
                                H. R. 1180

 To amend the Emergency Economic Stabilization Act of 2008 to prohibit 
 the Secretary of the Treasury from receiving common stock or certain 
  other voting stock under the Troubled Asset Relief Program, and for 
                            other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           February 25, 2009

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

_______________________________________________________________________

                                 A BILL


 
 To amend the Emergency Economic Stabilization Act of 2008 to prohibit 
 the Secretary of the Treasury from receiving common stock or certain 
  other voting stock under the Troubled Asset Relief Program, and for 
                            other purposes.

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

SECTION 1. PROHIBITION ON THE RECEIPT OF COMMON STOCK AND THE EXERCISE 
              OF STOCK VOTING POWER.

    Title I of the Emergency Economic Stabilization Act of 2008 is 
amended by adding at the end the following new section:

``SEC. 137. PROHIBITION ON THE RECEIPT OF COMMON STOCK AND THE EXERCISE 
              OF STOCK VOTING POWER.

    ``(a) In General.--Notwithstanding any other provision of this 
title, in carrying out this title the Secretary shall not make any 
purchase for which the Secretary receives control-diluting stock.
    ``(b) Application.--Subsection (a) shall apply to purchases made by 
the Secretary under this title on or after the date of the enactment of 
this section.
    ``(c) Conversion of Certain Securities Received by the Secretary.--
Notwithstanding any other provision of this title, the Secretary shall 
not convert any security received by the Secretary under this title, 
other than a warrant, into control-diluting stock.
    ``(d) Control-Diluting Stock Defined.--For purposes of this 
section, the term `control-diluting stock' means--
            ``(1) common stock of a financial institution;
            ``(2) any other voting stock of a financial institution, 
        other than voting stock that the Secretary agrees not to 
        exercise the voting power of such stock; or
            ``(3) a warrant giving the right to the Secretary to 
        receive stock described in paragraph (1) or (2).''.
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