124 STAT. 779 PUBLIC LAW 111–148—MAR. 23, 2010 requires State legislation (other than legislation appropriating funds) in order for the plan to meet the additional requirement imposed by the amendments made by this subtitle, the State plan or child health plan shall not be regarded as failing to comply with the requirements of such title solely on the basis of its failure to meet this additional requirement before the first day of the first calendar quarter beginning after the close of the first regular session of the State legislature that begins after the date of the enactment of this Act. For purposes of the previous sentence, in the case of a State that has a 2-year legislative session, each year of such session shall be deemed to be a separate regular session of the State legislature. Subtitle G—Additional Program Integrity Provisions SEC. 6601. PROHIBITION ON FALSE STATEMENTS AND REPRESENTA- TIONS. (a) PROHIBITION.—Part 5 of subtitle B of title I of the Employee Retirement Income Security Act of 1974 (29 U.S.C. 1131 et seq.) is amended by adding at the end the following: ‘‘SEC. 519. PROHIBITION ON FALSE STATEMENTS AND REPRESENTA- TIONS. ‘‘No person, in connection with a plan or other arrangement that is multiple employer welfare arrangement described in section 3(40), shall make a false statement or false representation of fact, knowing it to be false, in connection with the marketing or sale of such plan or arrangement, to any employee, any member of an employee organization, any beneficiary, any employer, any employee organization, the Secretary, or any State, or the represent- ative or agent of any such person, State, or the Secretary, con- cerning— ‘‘(1) the financial condition or solvency of such plan or arrangement; ‘‘(2) the benefits provided by such plan or arrangement; ‘‘(3) the regulatory status of such plan or other arrangement under any Federal or State law governing collective bargaining, labor management relations, or intern union affairs; or ‘‘(4) the regulatory status of such plan or other arrangement regarding exemption from state regulatory authority under this Act. This section shall not apply to any plan or arrangement that does not fall within the meaning of the term ‘multiple employer welfare arrangement’ under section 3(40)(A).’’. (b) CRIMINAL PENALTIES.—Section 501 of the Employee Retire- ment Income Security Act of 1974 (29 U.S.C. 1131) is amended— (1) by inserting ‘‘(a)’’ before ‘‘Any person’’; and (2) by adding at the end the following: ‘‘(b) Any person that violates section 519 shall upon conviction be imprisoned not more than 10 years or fined under title 18, United States Code, or both.’’. (c) CONFORMING AMENDMENT.—The table of sections for part 5 of subtitle B of title I of the Employee Retirement Income Security Act of 1974 is amended by adding at the end the following: ‘‘Sec. 519. Prohibition on false statement and representations.’’. 29 USC 1149.
