Page:United States Statutes at Large Volume 54 Part 1.djvu/874

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840 Use of information. Proviso. Names of persons involved. Unlawful destruc- tion, etc. Untrue statements. Omission of facts. PUBLIC LAWS-CH. 686-AUG. 22 , 1940 [54 STAT. of settlement or compromise, if such terms be not included in the record, shall be transmitted to the Commission; and any information contained in any such documents may be used by the Commission in connection with any report or study which may be made by the Commission of lawsuits whether of investment companies or com- panies generally: Provided, That the names of persons involved shall not be disclosed. DESTRUCTION AND FALSIFICATION OF REPORTS AND RECORDS SEC. 34. (a) It shall be unlawful for any person, except as per- mitted by rule, regulation, or order of the Commission, willfully to destroy, mutilate, or alter any account, book, or other document the preservation of which has been required pursuant to section 31 (a) or 32 (c). (b) It shall be unlawful for any person to make any untrue state- ment of a material fact in any registration statement, application, report, account, record, or other document filed or transmitted pur- suant to this title or the keeping of which is required pursuant to section 31 (a). It shall be unlawful for any person so filing, trans- mitting, or keeping any such document to omit to state therein any fact necessary in order to prevent the statements made therein, in the light of the circumstances under which they were made, from being materially misleading. For the purposes of this subsection, any part of any such document which is signed or certified by an accountant or auditor in his capacity as such shall be deemed to be made, filed, transmitted, or kept by such accountant or auditor, as well as by the person filing, transmitting, or keeping the complete document. UNLAWFUL REPRESENTATIONS AND NAMES Unlawful represen- SEC. 35. (a) It shall be unlawful for any person, in issuing or ai ons selling any security of which a registered investment company is the issuer, to represent or imply in any manner whatsoever that such security or company has been guaranteed, sponsored, recommended, or approved by the United States or any agency or officer thereof. (b) It shall be unlawful for any person registered under any sec- tion of this title to represent or imply in any manner whatsoever that such person has been sponsored, recommended, or approved, or that his abilities or qualifications have in any respect been passed upon by the United States or any agency or officer thereof. Statement of fact. (c) No provision of subsection (a) or (b) shall be construed to prohibit a statement that a person or security is registered under 48 Stat. 74, 881. this Act, the Securities Act of 1933, or the Securities Exchange Act n7aa,U78jj;supp. of 1934, if such statement is true m fact and if the effect of such . 77e-77x, 778J). registration is not misrepresented. nae of misleading (d) It shall be unlawful for any registered investment company hereafter to adopt as a part of the name or title of such company, or of any security of which it is the issuer, any word or words which the Commission finds and by order declares to be deceptive or mis- court action. leading. The Commission is authorized to bring an action in the proper district court of the United States or United States court of any Territory or other place subject to the jurisdiction of the United States alleging that the name or title of any registered invest- ment company, or of any security which it has issued, is materially deceptive or misleading. If the court finds that the Commission's allegations in this respect, taking into consideration the history of the investment company and the length of time which it may have used any such name or title, are established, the court shall enjoin such investment company from continuing to use any such name or title.