
From the U.S. Code Online via GPO Access
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[Laws in effect as of January 2, 2001]
[Document not affected by Public Laws enacted between
  January 2, 2001 and January 28, 2002]
[CITE: 15USC77s]

 
                      TITLE 15--COMMERCE AND TRADE
 
               CHAPTER 2A--SECURITIES AND TRUST INDENTURES
 
                    SUBCHAPTER I--DOMESTIC SECURITIES
 
Sec. 77s. Special powers of Commission

    (a) The Commission shall have authority from time to time to make, 
amend, and rescind such rules and regulations as may be necessary to 
carry out the provisions of this subchapter, including rules and 
regulations governing registration statements and prospectuses for 
various classes of securities and issuers, and defining accounting, 
technical, and trade terms used in this subchapter. Among other things, 
the Commission shall have authority, for the purposes of this 
subchapter, to prescribe the form or forms in which required information 
shall be set forth, the items or details to be shown in the balance 
sheet and earning statement, and the methods to be followed in the 
preparation of accounts, in the appraisal or valuation of assets and 
liabilities, in the determination of depreciation and depletion, in the 
differentiation of recurring and nonrecurring income, in the 
differentiation of investment and operating income, and in the 
preparation, where the Commission deems it necessary or desirable, of 
consolidated balance sheets or income accounts of any person directly or 
indirectly controlling or controlled by the issuer, or any person under 
direct or indirect common control with the issuer. The rules and 
regulations of the Commission shall be effective upon publication in the 
manner which the Commission shall prescribe. No provision of this 
subchapter imposing any liability shall apply to any act done or omitted 
in good faith in conformity with any rule or regulation of the 
Commission, notwithstanding that such rule or regulation may, after such 
act or omission, be amended or rescinded or be determined by judicial or 
other authority to be invalid for any reason.
    (b) For the purpose of all investigations which, in the opinion of 
the Commission, are necessary and proper for the enforcement of this 
subchapter, any member of the Commission or any officer or officers 
designated by it are empowered to administer oaths and affirmations, 
subpena witnesses, take evidence, and require the production of any 
books, papers, or other documents which the Commission deems relevant or 
material to the inquiry. Such attendance of witnesses and the production 
of such documentary evidence may be required from any place in the 
United States or any Territory at any designated place of hearing.
    (c)(1) The Commission is authorized to cooperate with any 
association composed of duly constituted representatives of State 
governments whose primary assignment is the regulation of the securities 
business within those States, and which, in the judgment of the 
Commission, could assist in effectuating greater uniformity in Federal-
State securities matters. The Commission shall, at its discretion, 
cooperate, coordinate, and share information with such an association 
for the purposes of carrying out the policies and projects set forth in 
paragraphs (2) and (3).
    (2) It is the declared policy of this subsection that there should 
be greater Federal and State cooperation in securities matters, 
including--
        (A) maximum effectiveness of regulation,
        (B) maximum uniformity in Federal and State regulatory 
    standards,
        (C) minimum interference with the business of capital formation, 
    and
        (D) a substantial reduction in costs and paperwork to diminish 
    the burdens of raising investment capital (particularly by small 
    business) and to diminish the costs of the administration of the 
    Government programs involved.

    (3) The purpose of this subsection is to engender cooperation 
between the Commission, any such association of State securities 
officials, and other duly constituted securities associations in the 
following areas:
        (A) the sharing of information regarding the registration or 
    exemption of securities issues applied for in the various States;
        (B) the development and maintenance of uniform securities forms 
    and procedures; and
        (C) the development of a uniform exemption from registration for 
    small issuers which can be agreed upon among several States or 
    between the States and the Federal Government. The Commission shall 
    have the authority to adopt such an exemption as agreed upon for 
    Federal purposes. Nothing in this chapter shall be construed as 
    authorizing preemption of State law.

    (4) In order to carry out these policies and purposes, the 
Commission shall conduct an annual conference as well as such other 
meetings as are deemed necessary, to which representatives from such 
securities associations, securities self-regulatory organizations, 
agencies, and private organizations involved in capital formation shall 
be invited to participate.
    (5) For fiscal year 1982, and for each of the three succeeding 
fiscal years, there are authorized to be appropriated such amounts as 
may be necessary and appropriate to carry out the policies, provisions, 
and purposes of this subsection. Any sums so appropriated shall remain 
available until expended.
    (6) Notwithstanding any other provision of law, neither the 
Commission nor any other person shall be required to establish any 
procedures not specifically required by the securities laws, as that 
term is defined in section 78c(a)(47) of this title, or by chapter 5 of 
title 5, in connection with cooperation, coordination, or consultation 
with--
        (A) any association referred to in paragraph (1) or (3) or any 
    conference or meeting referred to in paragraph (4), while such 
    association, conference, or meeting is carrying out activities in 
    furtherance of the provisions of this subsection; or
        (B) any forum, agency, or organization, or group referred to in 
    section 80c-1 of this title, while such forum, agency, organization, 
    or group is carrying out activities in furtherance of the provisions 
    of such section 80c-1.

As used in this paragraph, the terms ``association'', ``conference'', 
``meeting'', ``forum'', ``agency'', ``organization'', and ``group'' 
include any committee, subgroup, or representative of such entities.

(May 27, 1933, ch. 38, title I, Sec. 19, 48 Stat. 85; June 6, 1934, ch. 
404, title II, Sec. 209, 48 Stat. 908; Pub. L. 94-210, title III, 
Sec. 308(a)(2), Feb. 5, 1976, 90 Stat. 57; Pub. L. 96-477, title V, 
Sec. 505, Oct. 21, 1980, 94 Stat. 2292; Pub. L. 100-181, title II, 
Sec. 207, Dec. 4, 1987, 101 Stat. 1252.)


                               Amendments

    1987--Subsec. (c)(6). Pub. L. 100-181 added par. (6).
    1980--Subsec. (c). Pub. L. 96-477 added subsec. (c).
    1976--Subsec. (a). Pub. L. 94-210 struck out provisions relating to 
rules and regulations applicable to any common carrier subject to the 
provisions of section 20 of title 49.
    1934--Subsec. (a). Act June 6, 1934, inserted ``technical'' in first 
sentence and inserted last sentence.


                    Effective Date of 1980 Amendment

    Amendment by Pub. L. 96-477 effective Jan. 1, 1981, see section 507 
of Pub. L. 96-477, set out as an Effective Date note under section 80c 
of this title.


                    Effective Date of 1976 Amendment

    Amendment by Pub. L. 94-210 effective on 60th day after Feb. 5, 
1976, but not applicable to any bona fide offering of a security made by 
the issuer, or by or through an underwriter, before such 60th day, see 
section 308(d)(1) of Pub. L. 94-210, set out as a note under section 77c 
of this title.

                          Transfer of Functions

    For transfer of functions of Securities and Exchange Commission, 
with certain exceptions, to Chairman of such Commission, see Reorg. Plan 
No. 10 of 1950, Secs. 1, 2, eff. May 24, 1950, 15 F.R. 3175, 64 Stat. 
1265, set out under section 78d of this title.

                  Section Referred to in Other Sections

    This section is referred to in section 78u of this title.
