[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1192 Engrossed Amendment Senate (EAS)]

<DOC>
  
  
  
  
  
  
  
  
  
  

                  In the Senate of the United States,

                      December 18 (legislative day, December 17), 2021.
    Resolved, That the bill from the House of Representatives (H.R. 
1192) entitled ``An Act to impose requirements on the payment of 
compensation to professional persons employed in voluntary cases 
commenced under title III of the Puerto Rico Oversight Management and 
Economic Stability Act (commonly known as `PROMESA').'', do pass with 
the following

                               AMENDMENT:

            Strike out all after the enacting clause and insert:

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Puerto Rico Recovery Accuracy in 
Disclosures Act of 2021'' or ``PRRADA''.

SEC. 2. DISCLOSURE BY PROFESSIONAL PERSONS SEEKING APPROVAL OF 
              COMPENSATION UNDER SECTION 316 OR 317 OF PROMESA.

    (a) Definitions.--In this section:
            (1) List of material interested parties.--The term ``List 
        of Material Interested Parties'' means the List of Material 
        Interested Parties established under subsection (c)(1).
            (2) Oversight board.--The term ``Oversight Board'' has the 
        meaning given the term in section 5 of PROMESA (48 U.S.C. 
        2104).
    (b) Required Disclosure.--
            (1) In general.--In a case commenced under section 304 of 
        PROMESA (48 U.S.C. 2164), no attorney, accountant, appraiser, 
        auctioneer, agent, or other professional person may be 
        compensated under section 316 or 317 of that Act (48 U.S.C. 
        2176, 2177) unless prior to making a request for compensation, 
        the professional person has filed with the court a verified 
        statement conforming to the disclosure requirements of rule 
        2014(a) of the Federal Rules of Bankruptcy Procedure setting 
        forth the connection of the professional person with any entity 
        or person on the List of Material Interested Parties.
            (2) Supplement.--A professional person that submits a 
        statement under paragraph (1) shall promptly supplement the 
        statement with any additional relevant information that becomes 
        known to the person.
            (3) Disclosure.--Subject to any other applicable law, rule, 
        or regulation, a professional person that fails to file or 
        update a statement required under paragraph (1) or files a 
        statement that the court determines does not represent a good 
        faith effort to comply with this section shall disclose such 
        failure in any filing required to conform to the disclosure 
        requirements under rule 2014(a) of the Federal Rules of 
        Bankruptcy Procedure.
    (c) List of Material Interested Parties.--
            (1) Preparation.--Not later than 30 days after the date of 
        enactment of this Act, the Oversight Board shall establish a 
        List of Material Interested Parties subject to--
                    (A) the approval of the court; and
                    (B) the right of the United States trustee or any 
                party in interest to be heard on the approval.
            (2) Inclusions.--Except as provided in paragraph (3), the 
        List of Material Interested Parties shall include--
                    (A) the debtor;
                    (B) any creditor;
                    (C) any other party in interest;
                    (D) any attorney or accountant of--
                            (i) the debtor;
                            (ii) any creditor; or
                            (iii) any other party in interest;
                    (E) the United States trustee and any person 
                employed in the office of the United States trustee; 
                and
                    (F) the Oversight Board, including the members, the 
                Executive Director, and the employees of the Oversight 
                Board.
            (3) Exclusions.--The List of Material Interested Parties 
        may not include any person with a claim, the amount of which is 
        below a threshold dollar amount established by the court that 
        is consistent with the purpose of this Act.
    (d) Review.--
            (1) In general.--The United States trustee shall review 
        each verified statement submitted pursuant to subsection (b) 
        and may file with the court comments on such verified 
        statements before the professionals filing such statements seek 
        compensation under section 316 or 317 of PROMESA (48 U.S.C. 
        2176, 2177).
            (2) Objection.--The United States trustee may object to 
        applications filed under section 316 or 317 of PROMESA (48 
        U.S.C. 2176, 2177) that fail to satisfy the requirements of 
        subsection (b).
    (e) Limitation on Compensation.--In a case commenced under section 
304 of PROMESA (48 U.S.C. 2164), in connection with the review and 
approval of professional compensation under section 316 or 317 of 
PROMESA (48 U.S.C. 2176, 2177) filed after the date of enactment of 
this Act, the court may deny allowance of compensation or reimbursement 
of expenses if--
            (1) the professional person has failed to file the verified 
        disclosure statements required under subsection (b)(1) or has 
        filed inadequate disclosure statements under that subsection; 
        or
            (2) during the professional person's employment in 
        connection with the case, the professional person--
                    (A) is not a disinterested person (as defined in 
                section 101 of title 11, United States Code) relative 
                to any entity or person on the List of Material 
                Interested Parties; or
                    (B) represents or holds an adverse interest in 
                connection with the case.

            Attest:

                                                             Secretary.
117th CONGRESS

  1st Session

                               H.R. 1192

_______________________________________________________________________

                               AMENDMENT