[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4461 Introduced in House (IH)]

111th CONGRESS
  2d Session
                                H. R. 4461

   To prohibit certain affiliations (between commercial banking and 
         investment banking companies), and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            January 15, 2010

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

_______________________________________________________________________

                                 A BILL


 
   To prohibit certain affiliations (between commercial banking and 
         investment banking companies), 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. SHORT TITLE.

    This Act may be cited as the ``Banking Integrity Act of 2010''.

SEC. 2. RESTORING LIMITATIONS ON FINANCIAL INSTITUTION AFFILIATIONS.

    (a) Limitation on Affiliation.--The Banking Act of 1933 (12 U.S.C. 
221a et seq.) is amended by inserting before section 21 the following:
    ``Sec. 20.  Beginning 1 year after the date of the enactment of the 
Banking Integrity Act of 2010, no member bank may be affiliated, in any 
manner described in section 2(b), with any corporation, association, 
business trust, or other similar organization that is engaged 
principally in the issue, flotation, underwriting, public sale, or 
distribution at wholesale or retail or through syndicate participation 
stocks, bonds, debenture, notes, or other securities, except that 
nothing in this section shall apply to any such organization which 
shall have been placed in formal liquidation and which shall transact 
no business, except such as may be incidental to the liquidation of its 
affairs.''.
    (b) Limitation on Compensation.--The Banking Act of 1933 (12 U.S.C. 
221 et seq.) is amended by inserting after section 31 the following:
    ``Sec. 32.  Beginning 1 year after the date of the enactment of the 
Banking Integrity Act of 2010, no officer, director, or employee of any 
corporation or unincorporated association, no partner or employee of 
any partnership, and no individual, primarily engaged in the issue, 
flotation, underwriting, public sale, or distribution, at wholesale or 
retail, or through syndicate participation, of stocks, bonds, or other 
similar securities, shall serve simultaneously as an officer, director, 
or employee of any member bank, except in limited classes of cases in 
which the Board of Governors of the Federal Reserve System may allow 
such service by general regulations when, in the judgment of the Board 
of Governors, it would not unduly influence the investment policies of 
such member bank or the advice given to customers by the member bank 
regarding investments.''.

SEC. 3. PROHIBITING DEPOSITORY INSTITUTIONS FROM ENGAGING IN INSURANCE-
              RELATED ACTIVITIES.

    (a) In General.--Beginning 1 year after the date of the enactment 
of this Act, and notwithstanding any other provision of law, in no case 
may a depository institution engage in the business of insurance or any 
insurance-related activity.
    (b) Definition.--As used in this section, the term ``business of 
insurance'' means the writing of insurance or the reinsuring of risks 
by an insurer, including all acts necessary to such writing or 
reinsuring and the activities relating to the writing of insurance or 
the reinsuring of risks conducted by persons who act as, or are, 
officers, directors, agents, or employees of insurers or who are other 
persons authorized to act on behalf of such persons.
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