Sen. Hawley’s Insider Trading Bill Returns To Congress Under New Title ‘PELOSI Act’

U.S. U.S. “PELOSI Act.”

Just over a year ago, the Preventing Elected Leaders From Owning Securities and Investments Act (PELOSI Act) was introduced by Hawley. In which Hawley accused politicians of somehow outperforming stock markets every year that they hold office.

This time around, the senator’s updated version takes a jab at California Rep. Nancy Pelosi, who many Republican lawmakers had slammed after her husband, Paul Pelosi, sold up to $5 million worth of shares in NvidiaJust before the House voted to approve a bill governing the domestic chip manufacturing sector, a California company called.

“For too long, politicians in Washington have taken advantage of the economic system they write the rules for, turning profits for themselves at the expense of the American people,” Hawley stated in a news release.

The PELOSI Act would prohibit Congress members from taking advantage the market and wielding power and privilege over American citizens.

Six months before entering office, the bill would require new congressional members to divest or place prohibited holdings in a blind trust — to remain there while they are serving the American people.

American lawmakers’ spouses would have to also forfeit any investment profits to the American people through U.S. Treasury.

Violations to the Act may result in investors losing their ability to deduct losses from investments on income taxes or other penalties.

Business Insider published this article earlier in the month. reported at least 78 congressional members, Democrats and Republicans alike, had violated a 2012 law known as the STOCK Act — Stop Trading on Congressional Knowledge Act — which lawmakers designed to combat insider trading among lawmakers and force public servants to disclose their personal financial dealings, including any stock trade made by themselves, a spouse, or a dependent child.

According to the report, lawmakers still allegedly violated the law, citing ignorance and clerical errors, as well as accounting mistakes.

“As members of Congress, both Senators and Representatives are tasked with providing oversight of the same companies they invest in, yet they continually buy and sell stocks, outperforming the market time and again,” Hawley spoke. “While Wall Street and Big Tech work hand-in-hand with elected officials to enrich each other, hardworking Americans pay the price.”