Sec. 331 Indemnification Requirements Sec. 331(a)amends section 5b(k)(5) of the CEA by striking the confidentiality and indemnification agreement paragraph of the derivatives clearing organization reporting requirements and inserting a new confidentiality agreement paragraph, eliminating the need to indemnify the Commission for any expense arising from litigation related to informationprovided under section 8. Sec. 331(b) makes an identical amendment to section 21(d) of the CEA eliminating the indemnification requirement for swap data repositories. Sec. 331(c) makes an identical amendment to sec. 13(n)(5)(H) of the SEA eliminating the indemnification requirement for security-based swap repositories. WHAT IS INDEMNIFICATION CLAUSE: An Indemnity clause protects the disclosing party against wrongful disclosure by the receiving party as well as against potential effects that such wrongful disclosure may have. THIS COULD GIVE RISE TO INSIDER TRADING! Sec. 341 amends section 1a(49) of the CEA by creating within the definition of swap dealer, anew category of transactions in utility operations-related swaps, which shall be reported according to the reporting requirements of uncleared swaps and exempted from inclusion in an entity’s general de minimis calculation established in (D). (CURRENTLY $8BB) AND MAKING A NEW CATAGORY OF SWAPS (BASICALLY BRINING BACK ENRON TYPE TRADING) This basically allows trading swaps in a new derrivative and as long as it is under 8billion nothing needs to be reported for uncleared swaps. This can also give rise to INSIDER TRADING. IF you know the amount and when it is going to settlethen you can WRITE derrivites on it, recieve the money, and the buyers of the other side never had a chance! Sec. 352 amends section 2(a)(13) of the CEA to require the Commission to promulgate a rule that would delay the public reporting of a non-cleared swap traded in an illiquid market and entered into by a non-financial entity to no sooner than 30 days after the transaction has been executed. An illiquid market is defined as any market in which the volume and frequency of trading in swaps is at such a level as to allow identification of individual market participants. So your eliminating a law that requires you to make known to the public that the swap traded is not reported for 30 days. Again give rise to much INSIDER TRADING! Sec. 353 amends the CEA by adding a new section, 4u, which clarifies the record keeping requirements of non-registered members of a designated contract market (DCM) or swap execution facility (SEF). All recordkeeping requirements, and rules promulgated pursuant to the CEA, shall be satisfied if such entities maintain written records of each transaction in a contract for future delivery, option on a future, swap, swaption, trade option, or related cash or forward transaction. Such records must be searchable by transaction and include the final agreement between the parties as well as the material economic terms of the transaction. NOT GOOD! We are passed the days of keeping written records EVERYTHING SHOULD BE ELECTRONIC AND REPORTED AT ONCE! Sec. 357 requires the CFTC to change the regulation regarding the advertisement of participation in commodity pools. The changes will allow any registered commodity pool that also qualifies for an exemption from the registration requirements of the Securities Act to be sold pursuant to the changes made to section 4 of the Securities Act under the Jumpstart our Business Startups Act (P.L. 112-106). IFFY, IMAGINE BERNIE MADOFF, IF HE WOULD HAVE BEEN ALLOWED TO ADVERTISE IN REMOTE PARTS OF THE WORLD WHERE THE MONEY IS HOT(CHINA,INDIA,BRAZIL)
Posted on: Sat, 15 Nov 2014 16:06:57 +0000
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