Senator John Kennedy (R-LA) introduced the "Protecting Investors' Personally Identifiable Information Act." The legislation would exclude personally identifiable information ("PII") from Consolidated Audit Trail reporting requirements.
Specifically, the bill would prohibit the SEC from requiring FINRA, a national securities exchange or a broker-dealer to provide PII under SEC Rule 242.613(c)(7) ("Consolidated Audit Trail"). The bill would provide an exception, allowing the SEC to request such information, in which case the regulated entity must provide the PII within 24 hours. The bill further provides that if the SEC obtains PII through a request, then the SEC must destroy the PII within one day of the conclusion of an investigation.
SIFMA expressed support for the bill, stating that it is a "far safer" alternative to collecting PII in a single database, where the PII risks being compromised.
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