FOR IMMEDIATE RELEASE: CONTACT: CHRISTI HARLAN
Thursday, July 22, 1999 202-224-0894

DEADLINE SET FOR COMMENTS
ON SECURITIES MARKETS ENHANCEMENT

Three Proposals Removed From Consideration

The Senate Committee on Banking, Housing and Urban Affairs, has set a July 31 deadline for comments on recommendations received from regulators and the securities industry for the Securities Markets Enhancement Act, legislation that would improve the operations and accessibility of securities markets.

A summary of the recommendations was released June 28 along with a letter requesting comments and signed by the Banking Committee chairman, Sen. Phil Gramm, and the leaders of the Securities Subcommittee -- Sen. Rod Grams, subcommittee chairman, and Sen. Christopher Dodd, ranking member.

"We appreciate the comments that we have begun to receive on these recommendations," Gramm said. "We encourage people to wish to make additional comments to do so by July 31.

"The deadline will enable committee members to evaluate the comments in preparation for hearings on the recommendations," Gramm said.

"It is has been our goal from the beginning to produce legislation that enjoys wide support," Gramm said. "Because of that, we are removing from consideration three recommendations that are clearly too controversial to be part of this bill."

The withdrawn recommendations would have:

1) Directed the Securities and Exchange Commission to designate a single self-regulatory organization (SRO) to examine broker-dealer firms and enforce the rules of other SROs.

2) Prohibited a state from requiring registration of persons associated with broker-dealers if the person is registered with a national securities association and at least one state.

3) Prohibited states from establishing broker or dealer registration requirements that differ from, or are in addition to, those of the SEC.

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The senators' letter and the list of recommendations can be found under Committee Information, Committee Documents Online on the Banking Committee's website:

http://banking.senate.gov.