Laws: Cases and Codes : U.S. Code : Title 7 : Section 12


   
U.S. Code as of: 01/03/05
Section 12. Public disclosure

    (a) Investigations respecting operations of boards of trade and
      others subject to this chapter; publication of results;
      restrictions; information received from foreign futures
      authorities; undercover operations; notice of investigations and
      enforcement actions
      (1) For the efficient execution of the provisions of this
    chapter, and in order to provide information for the use of
    Congress, the Commission may make such investigations as it deems
    necessary to ascertain the facts regarding the operations of boards
    of trade and other persons subject to the provisions of this
    chapter. The Commission may publish from time to time the results
    of any such investigation and such general statistical information
    gathered therefrom as it deems of interest to the public: Provided,
    That except as otherwise specifically authorized in this chapter,
    the Commission may not publish data and information that would
    separately disclose the business transactions or market positions
    of any person and trade secrets or names of customers: Provided
    further, That the Commission may withhold from public disclosure
    any data or information concerning or obtained in connection with
    any pending investigation of any person. The Commission shall not
    be compelled to disclose any information or data obtained from a
    foreign futures authority if - 
        (A) the foreign futures authority has in good faith determined
      and represented to the Commission that disclosure of such
      information or data by that foreign futures authority would
      violate the laws applicable to that foreign futures authority;
      and
        (B) the Commission obtains such information pursuant to - 
          (i) such procedure as the Commission may authorize for use in
        connection with the administration or enforcement of this
        chapter; or
          (ii) a memorandum of understanding with that foreign futures
        authority;

    except that nothing in this subsection shall prevent the Commission
    from disclosing publicly any information or data obtained by the
    Commission from a foreign futures authority when such disclosure is
    made in connection with a congressional proceeding, an
    administrative or judicial proceeding commenced by the United
    States or the Commission, in any receivership proceeding commenced
    involving a receiver appointed in a judicial proceeding by the
    United States or the Commission, or in any proceeding under title
    11 in which the Commission has intervened or in which the
    Commission has the right to appear and be heard. Nothing in this
    subsection shall be construed to authorize the Commission to
    withhold information or data from Congress. For purposes of section
    552 of title 5, this subsection shall be considered a statute
    described in subsection (b)(3)(B) of section 552.
      (2) In conducting investigations authorized under this subsection
    or any other provision of this chapter, the Commission shall
    continue, as the Commission determines necessary, to request the
    assistance of and cooperate with the appropriate Federal agencies
    in the conduct of such investigations, including undercover
    operations by such agencies. The Commission and the Department of
    Justice shall assess the effectiveness of such undercover
    operations and, within two years of October 28, 1992, shall
    recommend to Congress any additional undercover or other authority
    for the Commission that the Commission or the Department of Justice
    believes to be necessary.
      (3) The Commission shall provide the Securities and Exchange
    Commission with notice of the commencement of any proceeding and a
    copy of any order entered by the Commission against any futures
    commission merchant or introducing broker registered pursuant to
    section 6f(a)(2) of this title, any floor broker or floor trader
    exempt from registration pursuant to section 6f(a)(3) of this
    title, any associated person exempt from registration pursuant to
    section 6k(6) (!1) of this title, or any board of trade designated
    as a contract market pursuant to section 7b-1 of this title.

    (b) Business matters; congressional, administrative, judicial, and
      bankruptcy proceedings
      The Commission may disclose publicly any data or information that
    would separately disclose the market positions, business
    transactions, trade secrets, or names of customers of any person
    when such disclosure is made in connection with a congressional
    proceeding, in an administrative or judicial proceeding brought
    under this chapter, in any receivership proceeding involving a
    receiver appointed in a judicial proceeding brought under this
    chapter, or in any bankruptcy proceeding in which the Commission
    has intervened or in which the Commission has the right to appear
    and be heard under title 11. This subsection shall not apply to the
    disclosure of data or information obtained by the Commission from a
    foreign futures authority.
    (c) Reports respecting conduct of registered entities or
      transactions of violators; contents
      The Commission may make or issue such reports as it deems
    necessary, or such opinions or orders as may be required under
    other provisions of law, relative to the conduct of any registered
    entity or to the transactions of any person found guilty of
    violating the provisions of this chapter or the rules, regulations,
    or orders of the Commission thereunder in proceedings brought under
    sections 8, 9, 9a, 9b, 9c, 13b, and 15 of this title. In any such
    report or opinion, the Commission may set forth the facts as to any
    actual transaction or any information referred to in subsection (b)
    of this section, if such facts or information have previously been
    disclosed publicly in connection with a congressional proceeding,
    or in an administrative or judicial proceeding brought under this
    chapter.
    (d) Investigations respecting marketing conditions of commodities
      and commodity products and byproducts; reports
      The Commission, upon its own initiative or in cooperation with
    existing governmental agencies, shall investigate the marketing
    conditions of commodities and commodity products and byproducts,
    including supply and demand for these commodities, cost to the
    consumer, and handling and transportation charges. It shall also
    compile and furnish to producers, consumers, and distributors, by
    means of regular or special reports, or by such other methods as it
    deems most effective, information respecting the commodity markets,
    together with information on supply, demand, prices, and other
    conditions in this and other countries that affect the markets.
    (e) Names and addresses of traders of boards of trade previously
      disclosed; disclosure to Congress and agencies or departments of
      States or foreign governments or foreign futures authority
      The Commission may disclose and make public, where such
    information has previously been disclosed publicly in accordance
    with the provisions of this section, the names and addresses of all
    traders on the boards of trade on the commodity markets with
    respect to whom the Commission has information, and any other
    information in the possession of the Commission relating to the
    amount of commodities purchased or sold by each such trader. Upon
    the request of any committee of either House of Congress, acting
    within the scope of its jurisdiction, the Commission shall furnish
    to such committee the names and addresses of all traders on such
    boards of trade with respect to whom the Commission has
    information, and any other information in the possession of the
    Commission relating to the amount of any commodity purchased or
    sold by each such trader. Upon the request of any department or
    agency of the Government of the United States, acting within the
    scope of its jurisdiction, the Commission may furnish to such
    department or agency any information in the possession of the
    Commission obtained in connection with the administration of this
    chapter. However, any information furnished under this subsection
    to any Federal department or agency shall not be disclosed by such
    department or agency except in any action or proceeding under the
    laws of the United States to which it, the Commission, or the
    United States is a party. Upon the request of any department or
    agency of any State or any political subdivision thereof, acting
    within the scope of its jurisdiction, any foreign futures
    authority, or any department or agency of any foreign government or
    any political subdivision thereof, acting within the scope of its
    jurisdiction, the Commission may furnish to such foreign futures
    authority, department or agency any information in the possession
    of the Commission obtained in connection with the administration of
    this chapter. Any information furnished to any department or agency
    of any State or political subdivision thereof shall not be
    disclosed by such department or agency except in connection with an
    adjudicatory action or proceeding brought under this chapter or the
    laws of such State or political subdivision to which such State or
    political subdivision or any department or agency thereof is a
    party. The Commission shall not furnish any information to a
    foreign futures authority or to a department or agency of a foreign
    government or political subdivision thereof unless the Commission
    is satisfied that the information will not be disclosed by such
    foreign futures authority, department or agency except in
    connection with an adjudicatory action or proceeding brought under
    the laws of such foreign government or political subdivision to
    which such foreign government or political subdivision or any
    department or agency thereof, or foreign futures authority.(!2) is
    a party.

    (f) Compliance with subpoena after notice to informant;
      congressional subpoenas and requests for information excepted
      The Commission shall disclose information in its possession
    pursuant to a subpoena or summons only if - 
        (1) a copy of the subpoena or summons has been mailed to the
      last known home or business address of the person who submitted
      the information that is the subject of the subpoena or summons,
      if the address is known to the Commission, or, if such mailing
      would be unduly burdensome, the Commission provides other
      appropriate notice of the subpoena or summons to such person, and
        (2) at least fourteen days have expired from the date of such
      mailing of the subpoena or summons, or such other notice.

    This subsection shall not apply to congressional subpoenas or
    congressional requests for information.
    (g) Requests for information by State agencies or subdivisions;
      volunteering of information by Commission
      The Commission shall provide any registration information
    maintained by the Commission on any registrant upon reasonable
    request made by any department or agency of any State or any
    political subdivision thereof. Whenever the Commission determines
    that such information may be appropriate for use by any department
    or agency of a State or political subdivision thereof, the
    Commission shall provide such information without request.
    (h) Omitted
    (i) Review and audits by Comptroller General
      The Comptroller General of the United States shall conduct
    reviews and audits of the Commission and make reports thereon. For
    the purpose of conducting such reviews and audits, the Comptroller
    General shall be furnished such information regarding the powers,
    duties, organizations, transactions, operations, and activities of
    the Commission as the Comptroller General may require and the
    Comptroller General and the duly authorized representatives of the
    Comptroller General shall, for the purpose of securing such
    information, have access to and the right to examine any books,
    documents, papers, or records of the Commission, except that in
    reports the Comptroller General shall not include data and
    information that would separately disclose the business
    transactions of any person and trade secrets or names of customers,
    although such data shall be provided upon request by any committee
    of either House of Congress acting within the scope of its
    jurisdiction.



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