April 5, 2012

STOCK Act becomes law

The Los Angeles Times reports:

The measure was the Stop Trading on Congressional Knowledge Act, better known was the STOCK Act. A long-lingering piece of legislation, it shot to the top of the priority list after a "60 Minutes" investigation highlighted instances of what the program called congressional "insider trading" -- lawmakers using information gleaned on the job, "non-public information," for personal profit.
The STOCK Act affirms that lawmakers and staff are not exempt from federal insider-trading laws and gives the House and Senate ethics committees the authority to enforce new rules. It also requires lawmakers to disclose more information about their stock trades.

One group that will be exempted from the new rules are so-called "Political Intelligence Firms," which the Sunlight Foundation describes as "groups that use their connections with congressional insiders to get information that they then use to make decisions about investments in the stock market."

The entire Nevada delegation voted in favor of the bill.