INCREASED PENALTIES.

SEC. 212. INCREASED PENALTIES. (a) Felony Violations.—Section 9 (7 U.S.C. 13) is amended— (1) by— (A) striking subsections (a), (b), and (c); (B) redesignating subsections (d) and (e) as subsections (c) and (d), respectively; and (C) inserting before subsection (c), as redesignated, the following new subsections: “(a) It shall be a felony punishable by a fine of not more than $1,000,000 (or $500,000 in the case of a person who is an individual) or imprisonment for not more than five years, or both, together with the costs of prosecution, for: “(1) Any person registered or required to be registered under this Act, or any employee or agent thereof, to embezzle, steal, purloin, or with criminal intent convert to such person’s use or to the use of another, any money, securities, or property having a value in excess of $100, which was received by such person or any employee or agent thereof to margin, guarantee, or secure the trades or contracts of any customer or accruing to such customer as a result of such trades or contracts or which otherwise was received from any customer, client, or pool participant in connection with the business of such person. The word ‘value’ as used in this paragraph means face, par, or market value, or cost price, either wholesale or retail, whichever is greater. “(2) Any person to manipulate or attempt to manipulate the price of any commodity in interstate commerce, or for future delivery on or subject to the rules of any contract market, or to comer or attempt to comer any such commodity or knowingly to deliver or cause to be delivered for transmission through the mails or interstate commerce by telegraph, telephone, wireless, or other means of communication false or misleading or knowingly inaccurate reports concerning crop or market information or conditions that affect or tend to affect the price of any commodity in interstate commerce, or knowingly to violate the provisions of section 4, section 4b, sub-sections (a) through (e) of subsection 4c, section 4h, section 4o(l), or section 19. “(3) Any person knowingly to make, or cause to be made, any statement in any application, report, or document required to be filed under this Act or any rule or regulation thereunder or any undertaking contained in a registration statement required under this Act, or by any contract market or registered futures association in connection with an application for membership or participation therein or to become associated with a member thereof, which statement was false or misleading with respect to any material fact, or knowingly to omit any material fact required to be stated therein or necessary to make the statements therein not misleading. “(4) Any person willfully to falsify, conceal, or cover up by any trick, scheme, or artifice a material fact, make any false, fictitious, or fraudulent statements or representations, or make or use any false writing or document knowing the same to contain any false, fictitious, or fraudulent statement 106 STAT. 3609 or entry to a contract market, board of trade, or futures association designated or registered under this Act acting in furtherance of its official duties under this Act. “(5) Any person willfully to violate any other provision of this Act, or any rule or regulation thereunder, the violation of which is made unlawful or the observance of which is required under the terms of this Act, but no person shall be subject to imprisonment under this paragraph for the violation of any rule or regulation if such person proves that he had no knowledge of such rule or regulation. “(b) Any person convicted of a felony under this section shall be suspended from registration under this Act and shall be denied registration or reregistration for five years or such longer period as the Commission may determine, and barred from using, or participating in any manner in, any market regulated by the Commission for five years or such longer period as the Commission shall determine, on such terms and conditions as the Commission may prescribe, unless the Commission determines that the imposition of such suspension, denial of registration or reregistration, or market bar is not required to protect the public interest. The Commission may upon petition later review such disqualification and market bar and for good cause shown reduce the period thereof.”; (2) in subsection (c) (as redesignated by paragraph (1) of this section) by striking “$100,000” and inserting “$500,000”; and (3) in subsection (d) (as redesignated by paragraph (1) of this section) by striking “$100,000” and inserting “$500,000”. (b) Other Violations.— Section 6(c) and 6(d) (7 U.S.C. 9 and 13b), as such subsections are redesignated by section 209, are each amended by striking “$100,000” each place it appears and inserting “the higher of $100,000 or triple the monetary gain to such person”. (c) Nonenforcement of Rules of Government or Other Violations.—Section 6b (7 U.S.C. 13a) is amended— (1) by striking “$100,000” each place it appears and inserting “$500,000”; and (2) in the last sentence, by striking “the appropriateness of such penalty to the net worth of the offending person and”.