GE Asset Management Incorporated and GE Investment Distributors, Inc.; Notice of Application and Temporary Order, 47318-47320 [2010-19244]

Download as PDF mstockstill on DSKH9S0YB1PROD with NOTICES 47318 Federal Register / Vol. 75, No. 150 / Thursday, August 5, 2010 / Notices August 25, 2010. Phone or email reservations will not be accepted. To accommodate as many speakers as possible, the time for public comments will be limited to two (2) minutes per person, with a total public comment period of 30 minutes. If more speakers register than there is space available on the agenda, PCAST will randomly select speakers from among those who applied. Those not selected to present oral comments may always file written comments with the committee. Speakers are requested to bring at least 25 copies of their oral comments for distribution to the PCAST members. 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A live video webcast and an archive of the webcast after the event will be available at https:// whitehouse.gov/ostp/pcast. The archived video will be available within one week of the meeting. Questions about the meeting should be directed to Dr. Deborah D. Stine, PCAST Executive Director, at dstine@ostp.eop.gov, (202) 456–6006. Please note that public seating for this meeting is limited and is available on a first-come, first-served basis. SUPPLEMENTARY INFORMATION: Supplementary Information: The President’s Council of Advisors on Science and Technology (PCAST) is an advisory group of the nation’s leading scientists and engineers who directly advise the President and the Executive Office of the President. See the Executive Order at https:// www.whitehouse.gov/ostp/pcast. PCAST makes policy recommendations in the many areas where understanding of science, technology, and innovation VerDate Mar<15>2010 17:52 Aug 04, 2010 Jkt 220001 is key to strengthening our economy and forming policy that works for the American people. PCAST is administered by the Office of Science and Technology Policy (OSTP). PCAST is co-chaired by Dr. John P. Holdren, Assistant to the President for Science and Technology, and Director, Office of Science and Technology Policy, Executive Office of the President, The White House; and Dr. Eric S. Lander, President, Broad Institute of MIT and Harvard. Meeting Accomodations: Individuals requiring special accommodation to access this public meeting should contact Dr. Stine at least ten business days prior to the meeting so that appropriate arrangements can be made. Ted Wackler, Deputy Chief of Staff. [FR Doc. 2010–19299 Filed 8–4–10; 8:45 am] BILLING CODE P SECURITIES AND EXCHANGE COMMISSION agency, including whether the information will have practical utility; (b) the accuracy of the agency’s estimate of the burden imposed by the collection of information; (c) ways to enhance the quality, utility, and clarity of the information collected; and (d) ways to minimize the burden of the collection of information on respondents, including through the use of automated collection techniques or other forms of information technology. Consideration will be given to comments and suggestions submitted in writing within 60 days of this publication. Please direct your written comments to Charles Boucher, Director/CIO, Securities and Exchange Commission, C/O Shirley Martinson, 6432 General Green Way, Alexandria, Virginia 22312; or send an e-mail to: PRA_Mailbox@sec.gov. Dated: July 30, 2010. Florence E. Harmon, Deputy Secretary. [FR Doc. 2010–19267 Filed 8–4–10; 8:45 am] BILLING CODE 8010–01–P Proposed Collection; Comment Request Upon Written Request, Copies Available From: Securities and Exchange Commission, Office of Investor Education and Advocacy, Washington, DC 20549–0213. Extension: Regulation C; OMB Control No. 3235–0074; SEC File No. 270–68. Notice is hereby given that, pursuant to the Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et seq.), the Securities and Exchange Commission (‘‘Commission’’) is soliciting comments on the collection of information summarized below. The Commission plans to submit this existing collection of information to the Office of Management Budget for extension and approval. Regulation C (17 CFR 230.400 through 230.498) provides standard instructions to guide persons when filing registration statements under the Securities Act of 1933 (15 U.S.C. 77a et seq.). The information collected is intended to ensure the adequacy of information available to investors in the registration of securities. Regulation C is assigned one burden hour for administrative convenience because the regulation simply prescribes the disclosure that must appear in other filings under the Federal securities laws. Written comments are invited on: (a) Whether this proposed collection of information is necessary for the proper performance of the functions of the PO 00000 Frm 00061 Fmt 4703 Sfmt 4703 SECURITIES AND EXCHANGE COMMISSION [Investment Company Act Release No. 29374; File No. 812–13807] GE Asset Management Incorporated and GE Investment Distributors, Inc.; Notice of Application and Temporary Order July 30, 2010. Securities and Exchange Commission (‘‘Commission’’). AGENCY: Temporary order and notice of application for a permanent order under section 9(c) of the Investment Company Act of 1940 (‘‘Act’’). ACTION: Applicants have received a temporary order exempting them from section 9(a) of the Act, with respect to an injunction entered against General Electric Company (‘‘GE’’), Ionics, Inc. (‘‘Ionics’’), and Amersham plc (‘‘Amersham’’) on July 30, 2010, by the United States District Court for the District of Columbia (‘‘Injunction’’), until the Commission takes final action on an application for a permanent order. Applicants also have applied for a permanent order. SUMMARY OF APPLICATION: GE Asset Management Incorporated (‘‘GEAM’’) and GE Investment Distributors, Inc. (‘‘GEID’’, APPLICANTS: E:\FR\FM\05AUN1.SGM 05AUN1 Federal Register / Vol. 75, No. 150 / Thursday, August 5, 2010 / Notices mstockstill on DSKH9S0YB1PROD with NOTICES collectively with GEAM, the ‘‘Applicants’’).1 DATES: Filing Dates: The application was filed on July 27, 2010, and amended on July 30, 2010. HEARING OR NOTIFICATION OF HEARING: An order granting the application will be issued unless the Commission orders a hearing. Interested persons may request a hearing by writing to the Commission’s Secretary and serving Applicants with a copy of the request, personally or by mail. Hearing requests should be received by the Commission by 5:30 p.m. on August 24, 2010, and should be accompanied by proof of service on Applicants, in the form of an affidavit, or for lawyers, a certificate of service. Hearing requests should state the nature of the writer’s interest, the reason for the request, and the issues contested. Persons who wish to be notified of a hearing may request notification by writing to the Commission’s Secretary. ADDRESSES: Secretary, U.S. Securities and Exchange Commission, 100 F Street, NE., Washington, DC 20549– 1090; Applicants: 3001 Summer Street, Stamford, CT 06904–7900. FOR FURTHER INFORMATION CONTACT: Courtney S. Thornton, Senior Counsel, at (202) 551–6812, or Mary Kay Frech, Branch Chief, at (202) 551–6821, (Division of Investment Management, Office of Investment Company Regulation). SUPPLEMENTARY INFORMATION: The following is a temporary order and a summary of the application. The complete application may be obtained via the Commission’s Web site by searching for the file number, or an applicant using the Company name box, at https://www.sec.gov/search/ search.htm, or by calling (202) 551– 8090. Applicants’ Representations 1. GE is a large diversified technology, media, and financial services company. GEAM, a Delaware corporation, is a direct, wholly-owned subsidiary of GE. GEAM is registered as an investment adviser under the Investment Advisers Act of 1940 and serves as investment adviser to a number of registered investment companies (‘‘Funds’’), including employees’ securities companies (‘‘ESCs’’).2 GEID is, through 1 Applicants request that any relief granted pursuant to the application also apply to any other company of which GE, Ionics, or Amersham is or may become an affiliated person (together with the Applicants, the ‘‘Covered Persons’’). 2 The ESCs, as defined in section 2(a)(13) of the Act, are open-end management investment companies registered under the Act and provide VerDate Mar<15>2010 17:52 Aug 04, 2010 Jkt 220001 GEAM, an indirect, wholly-owned subsidiary of GE. GEID is registered as a broker-dealer under the Securities Exchange Act of 1934 and is a member of the Financial Industry Regulatory Authority, Inc. GEID serves as principal underwriter to a number of Funds. 2. On July 30, 2010, the United States District Court for the District of Columbia entered a final judgment, which included the Injunction, against GE, Ionics, and Amersham (‘‘Judgment’’) in a matter brought by the Commission.3 The Commission alleged in the complaint (‘‘Complaint’’) that, from 2000 to 2003, four current subsidiaries of GE, including Ionics and Amersham, which were both acquired by GE after the conduct at issue in the Complaint, authorized and made payments in the form of cash, medical equipment, and services to Iraqi government ministries through agents on sales of products to Iraq under the United Nations Oil for Food Program. Without admitting or denying the allegations in the Complaint, except as to jurisdiction, GE, Ionics, and Amersham consented to the entry of the Judgment that included, among other things, the entry of the Injunction. In addition, the Judgment ordered GE, on behalf of itself, Ionics, and Amersham, to pay disgorgement in the amount of approximately $18.4 million, plus prejudgment interest of approximately $4 million, and a civil penalty of $1 million. Applicants’ Legal Analysis 1. Section 9(a)(2) of the Act, in relevant part, prohibits a person who has been enjoined from, among other things, engaging in or continuing any conduct or practice in connection with the purchase or sale of a security, or in connection with activities as an underwriter, broker or dealer, from acting, among other things, as an investment adviser or depositor of any registered investment company or a principal underwriter for any registered open-end investment company, registered unit investment trust or registered face-amount certificate company. Section 9(a)(3) of the Act makes the prohibition in section 9(a)(2) applicable to a company, any affiliated person of which has been disqualified under the provisions of section 9(a)(2). Section 2(a)(3) of the Act defines ‘‘affiliated person’’ to include, among others, any person directly or indirectly investment opportunities for certain employees, officers, and directors of GEAM and its affiliates, and other eligible participants. 3 Securities and Exchange Commission v. General Electric Company, Final Judgment as to General Electric Company, 1:10–cv–1258 (RWR) (D.D.C. July 30, 2010). PO 00000 Frm 00062 Fmt 4703 Sfmt 4703 47319 controlling, controlled by, or under common control with, the other person. Applicants state that each of GE, Ionics, and Amersham is an affiliated person of each of the Applicants within the meaning of section 2(a)(3) of the Act. Applicants state that the entry of the Injunction results in Applicants being subject to the disqualification provisions of section 9(a) of the Act. 2. Section 9(c) of the Act provides that the Commission shall grant an application for exemption from the disqualification provisions of section 9(a) if it is established that these provisions, as applied to the applicants, are unduly or disproportionately severe or that the applicants’ conduct has been such as not to make it against the public interest or the protection of investors to grant the exemption. Applicants have filed an application pursuant to section 9(c) seeking a temporary and permanent order exempting them and other Covered Persons from the disqualification provisions of section 9(a) of the Act. 3. Applicants believe they meet the standard for exemption specified in section 9(c). Applicants state that the prohibitions of section 9(a) as applied to them would be unduly and disproportionately severe and that the conduct of the Applicants has been such as not to make it against the public interest or the protection of investors to grant the exemption from section 9(a). 4. Applicants state that the alleged conduct giving rise to the Injunction did not involve either of the Applicants acting in the capacity of investment adviser, subadviser or depositor for any Fund or as principal underwriter for any Fund, and no such Funds bought or held any securities issued by the Covered Persons during the period of misconduct alleged in the Complaint, other than with respect to index Funds and certain international Funds holding securities issued by Amersham prior to its acquisition by GE. Applicants also state that none of the current or former directors, officers, or employees of the Applicants had any responsibility for, or involvement in, the violative conduct alleged in the Complaint. Applicants further state that the personnel at GE, Ionics, or Amersham who had any responsibility for, or involvement in, the violations alleged in the Complaint have had no, and will not have any future, involvement in providing investment advisory, subadvisory, or underwriting services to the Funds. 5. Applicants state that their inability to continue to provide investment advisory, subadvisory and underwriting services to the Funds would result in potential hardship for the Funds and E:\FR\FM\05AUN1.SGM 05AUN1 47320 Federal Register / Vol. 75, No. 150 / Thursday, August 5, 2010 / Notices their shareholders. Applicants state that they will, as soon as reasonably practical, distribute written materials, including an offer to meet in person to discuss the materials, to the boards of directors of the Funds (‘‘Boards’’) for which the Applicants serve as investment adviser, investment subadviser or principal underwriter, including the directors who are not ‘‘interested persons,’’ as defined in section 2(a)(19) of the Act, of such Funds, and their independent legal counsel as defined in rule 0–1(a)(6) under the Act, relating to the circumstances that led to the Injunction, any impact on the Funds, and the application. Applicants state they will provide the Boards with all information concerning the Judgment and the application that is necessary for the Funds to fulfill their disclosure and other obligations under the federal securities laws. 6. Applicants also state that, if they were barred from providing services to the Funds, the effect on their businesses and employees would be severe. Applicants state that they have committed substantial resources to establishing expertise in providing advisory and distribution services to Funds. Applicants further state that prohibiting them from providing such services would not only adversely affect their businesses, but would also adversely affect about 500 employees who are involved in those activities. 7. In 2009, GEAM and GEID received an exemption under section 9(c) as a result of conduct by GE that triggered section 9(a), as described in greater detail in the application. A predecessor of one of the Applicants previously received an exemption under section 9(c) as the result of conduct that triggered section 9(a), as described in greater detail in the application. mstockstill on DSKH9S0YB1PROD with NOTICES Applicants’ Condition Applicants agree that any order granting the requested relief will be subject to the following condition: Any temporary exemption granted pursuant to the application shall be without prejudice to, and shall not limit the Commission’s rights in any manner with respect to, any Commission investigation of, or administrative proceedings involving or against, Covered Persons, including, without limitation, the consideration by the Commission of a permanent exemption from section 9(a) of the Act requested pursuant to the application or the revocation or removal of any temporary exemptions granted under the Act in connection with the application. VerDate Mar<15>2010 17:52 Aug 04, 2010 Jkt 220001 Temporary Order The Commission has considered the matter and finds that Applicants have made the necessary showing to justify granting a temporary exemption. Accordingly, It is hereby ordered, pursuant to section 9(c) of the Act, that GEAM and GEID and any other Covered Persons are granted a temporary exemption from the provisions of section 9(a), solely with respect to the Injunction, subject to the condition in the application, from July 30, 2010, until the Commission takes final action on their application for a permanent order. By the Commission. Florence E. Harmon, Deputy Secretary. [FR Doc. 2010–19244 Filed 8–4–10; 8:45 am] BILLING CODE 8010–01–P SECURITIES AND EXCHANGE COMMISSION [Investment Company Act Release No. 29375; File No. 812–13709–01] Millington Securities, Inc., et al.; Notice of Application July 30, 2010. Securities and Exchange Commission (‘‘Commission’’). ACTION: Notice of application for an order under section 12(d)(1)(J) of the Investment Company Act of 1940 (‘‘Act’’) for an exemption from sections 12(d)(1)(A), (B) and (C) of the Act, and under sections 6(c) and 17(b) of the Act for an exemption from section 17(a) of the Act. AGENCY: Millington Securities, Inc., (the ‘‘Depositor’’), and Millington Unit Investment Trusts (the ‘‘Trust’’), on behalf of itself and any future series, and any future registered unit investment trust (‘‘UIT’’) sponsored by the Depositor (or an entity controlling, controlled by or under common control with the Depositor) and their respective series (the future UITs, together with the Trust, are collectively the ‘‘Trusts,’’ the series of the Trusts are the ‘‘Series,’’ and the Trusts together with the Depositor are collectively, the (‘‘Applicants’’), request an order to permit each Series to acquire shares of registered investment companies or series thereof (the ‘‘Funds’’) both within and outside the same group of investment companies. APPLICANTS: The Depositor and the Trust. FILING DATES: The application was filed on October 2, 2009, and amended on SUMMARY OF THE APPLICATION: PO 00000 Frm 00063 Fmt 4703 Sfmt 4703 November 20, 2009, December 2, 2009, April 26, 2010, and July 7, 2010. HEARING OR NOTIFICATION OF HEARING: An order granting the application will be issued unless the Commission orders a hearing. Interested persons may request a hearing by writing to the Commission’s Secretary and serving applicants with a copy of the request, personally or by mail. Hearing requests should be received by the Commission by 5:30 p.m. on August 24, 2010, and should be accompanied by proof of service on applicants in the form of an affidavit or, for lawyers, a certificate of service. Hearing requests should state the nature of the writer’s interest, the reason for the request, and the issues contested. Persons who wish to be notified of a hearing may request notification by writing to the Commission’s Secretary. ADDRESSES: Secretary, Securities and Exchange Commission, 100 F Street, NE., Washington, DC 20549–1090; Applicants: c/o Millington Securities, Inc., 222 S. Mill Street, Naperville, Illinois 60540. FOR FURTHER INFORMATION CONTACT: Emerson S. Davis, Senior Counsel, at (202) 551–6868, or Julia Kim Gilmer, Branch Chief, at (202) 551–6821 (Office of Investment Company Regulation, Division of Investment Management). SUPPLEMENTARY INFORMATION: The following is a summary of the application. The complete application may be obtained via the Commission’s Web site by searching for the file number, or an applicant using the Company name box, at https:// www.sec.gov/search/search.htm or by calling (202) 551–8090. Applicants’ Representations 1. The Trust is a UIT registered under the Act. Each Series will be a series of a Trust and will offer units for sale to the public (‘‘Units’’).1 Each Series will be created pursuant to a trust agreement which will incorporate by reference a master trust agreement between the Depositor and a financial institution that satisfies the criteria in section 26(a) of the Act (the ‘‘Trustee’’). The Depositor is a broker dealer registered under the Securities Exchange Act of 1934 and member of the Financial Industry Regulatory Authority, Inc. (‘‘FINRA’’). 2. Applicants request relief to permit a Series to invest in registered investment companies or series thereof (‘‘Funds’’) that are (a) part of the same 1 All existing Trusts that currently intend to rely on the requested order are named as applicants. Any other Trust that relies on the order in the future will comply with the terms and conditions of the application. E:\FR\FM\05AUN1.SGM 05AUN1

Agencies

[Federal Register Volume 75, Number 150 (Thursday, August 5, 2010)]
[Notices]
[Pages 47318-47320]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2010-19244]


-----------------------------------------------------------------------

SECURITIES AND EXCHANGE COMMISSION

[Investment Company Act Release No. 29374; File No. 812-13807]


GE Asset Management Incorporated and GE Investment Distributors, 
Inc.; Notice of Application and Temporary Order

July 30, 2010.
AGENCY: Securities and Exchange Commission (``Commission'').

ACTION: Temporary order and notice of application for a permanent order 
under section 9(c) of the Investment Company Act of 1940 (``Act'').

-----------------------------------------------------------------------

Summary of Application: Applicants have received a temporary order 
exempting them from section 9(a) of the Act, with respect to an 
injunction entered against General Electric Company (``GE''), Ionics, 
Inc. (``Ionics''), and Amersham plc (``Amersham'') on July 30, 2010, by 
the United States District Court for the District of Columbia 
(``Injunction''), until the Commission takes final action on an 
application for a permanent order. Applicants also have applied for a 
permanent order.

Applicants: GE Asset Management Incorporated (``GEAM'') and GE 
Investment Distributors, Inc. (``GEID'',

[[Page 47319]]

collectively with GEAM, the ``Applicants'').\1\
---------------------------------------------------------------------------

    \1\ Applicants request that any relief granted pursuant to the 
application also apply to any other company of which GE, Ionics, or 
Amersham is or may become an affiliated person (together with the 
Applicants, the ``Covered Persons'').

DATES: Filing Dates: The application was filed on July 27, 2010, and 
---------------------------------------------------------------------------
amended on July 30, 2010.

Hearing or Notification of Hearing: An order granting the application 
will be issued unless the Commission orders a hearing. Interested 
persons may request a hearing by writing to the Commission's Secretary 
and serving Applicants with a copy of the request, personally or by 
mail. Hearing requests should be received by the Commission by 5:30 
p.m. on August 24, 2010, and should be accompanied by proof of service 
on Applicants, in the form of an affidavit, or for lawyers, a 
certificate of service. Hearing requests should state the nature of the 
writer's interest, the reason for the request, and the issues 
contested. Persons who wish to be notified of a hearing may request 
notification by writing to the Commission's Secretary.

ADDRESSES: Secretary, U.S. Securities and Exchange Commission, 100 F 
Street, NE., Washington, DC 20549-1090; Applicants: 3001 Summer Street, 
Stamford, CT 06904-7900.

FOR FURTHER INFORMATION CONTACT: Courtney S. Thornton, Senior Counsel, 
at (202) 551-6812, or Mary Kay Frech, Branch Chief, at (202) 551-6821, 
(Division of Investment Management, Office of Investment Company 
Regulation).

SUPPLEMENTARY INFORMATION: The following is a temporary order and a 
summary of the application. The complete application may be obtained 
via the Commission's Web site by searching for the file number, or an 
applicant using the Company name box, at https://www.sec.gov/search/search.htm, or by calling (202) 551-8090.

Applicants' Representations

    1. GE is a large diversified technology, media, and financial 
services company. GEAM, a Delaware corporation, is a direct, wholly-
owned subsidiary of GE. GEAM is registered as an investment adviser 
under the Investment Advisers Act of 1940 and serves as investment 
adviser to a number of registered investment companies (``Funds''), 
including employees' securities companies (``ESCs'').\2\ GEID is, 
through GEAM, an indirect, wholly-owned subsidiary of GE. GEID is 
registered as a broker-dealer under the Securities Exchange Act of 1934 
and is a member of the Financial Industry Regulatory Authority, Inc. 
GEID serves as principal underwriter to a number of Funds.
---------------------------------------------------------------------------

    \2\ The ESCs, as defined in section 2(a)(13) of the Act, are 
open-end management investment companies registered under the Act 
and provide investment opportunities for certain employees, 
officers, and directors of GEAM and its affiliates, and other 
eligible participants.
---------------------------------------------------------------------------

    2. On July 30, 2010, the United States District Court for the 
District of Columbia entered a final judgment, which included the 
Injunction, against GE, Ionics, and Amersham (``Judgment'') in a matter 
brought by the Commission.\3\ The Commission alleged in the complaint 
(``Complaint'') that, from 2000 to 2003, four current subsidiaries of 
GE, including Ionics and Amersham, which were both acquired by GE after 
the conduct at issue in the Complaint, authorized and made payments in 
the form of cash, medical equipment, and services to Iraqi government 
ministries through agents on sales of products to Iraq under the United 
Nations Oil for Food Program. Without admitting or denying the 
allegations in the Complaint, except as to jurisdiction, GE, Ionics, 
and Amersham consented to the entry of the Judgment that included, 
among other things, the entry of the Injunction. In addition, the 
Judgment ordered GE, on behalf of itself, Ionics, and Amersham, to pay 
disgorgement in the amount of approximately $18.4 million, plus 
prejudgment interest of approximately $4 million, and a civil penalty 
of $1 million.
---------------------------------------------------------------------------

    \3\ Securities and Exchange Commission v. General Electric 
Company, Final Judgment as to General Electric Company, 1:10-cv-1258 
(RWR) (D.D.C. July 30, 2010).
---------------------------------------------------------------------------

Applicants' Legal Analysis

    1. Section 9(a)(2) of the Act, in relevant part, prohibits a person 
who has been enjoined from, among other things, engaging in or 
continuing any conduct or practice in connection with the purchase or 
sale of a security, or in connection with activities as an underwriter, 
broker or dealer, from acting, among other things, as an investment 
adviser or depositor of any registered investment company or a 
principal underwriter for any registered open-end investment company, 
registered unit investment trust or registered face-amount certificate 
company. Section 9(a)(3) of the Act makes the prohibition in section 
9(a)(2) applicable to a company, any affiliated person of which has 
been disqualified under the provisions of section 9(a)(2). Section 
2(a)(3) of the Act defines ``affiliated person'' to include, among 
others, any person directly or indirectly controlling, controlled by, 
or under common control with, the other person. Applicants state that 
each of GE, Ionics, and Amersham is an affiliated person of each of the 
Applicants within the meaning of section 2(a)(3) of the Act. Applicants 
state that the entry of the Injunction results in Applicants being 
subject to the disqualification provisions of section 9(a) of the Act.
    2. Section 9(c) of the Act provides that the Commission shall grant 
an application for exemption from the disqualification provisions of 
section 9(a) if it is established that these provisions, as applied to 
the applicants, are unduly or disproportionately severe or that the 
applicants' conduct has been such as not to make it against the public 
interest or the protection of investors to grant the exemption. 
Applicants have filed an application pursuant to section 9(c) seeking a 
temporary and permanent order exempting them and other Covered Persons 
from the disqualification provisions of section 9(a) of the Act.
    3. Applicants believe they meet the standard for exemption 
specified in section 9(c). Applicants state that the prohibitions of 
section 9(a) as applied to them would be unduly and disproportionately 
severe and that the conduct of the Applicants has been such as not to 
make it against the public interest or the protection of investors to 
grant the exemption from section 9(a).
    4. Applicants state that the alleged conduct giving rise to the 
Injunction did not involve either of the Applicants acting in the 
capacity of investment adviser, subadviser or depositor for any Fund or 
as principal underwriter for any Fund, and no such Funds bought or held 
any securities issued by the Covered Persons during the period of 
misconduct alleged in the Complaint, other than with respect to index 
Funds and certain international Funds holding securities issued by 
Amersham prior to its acquisition by GE. Applicants also state that 
none of the current or former directors, officers, or employees of the 
Applicants had any responsibility for, or involvement in, the violative 
conduct alleged in the Complaint. Applicants further state that the 
personnel at GE, Ionics, or Amersham who had any responsibility for, or 
involvement in, the violations alleged in the Complaint have had no, 
and will not have any future, involvement in providing investment 
advisory, subadvisory, or underwriting services to the Funds.
    5. Applicants state that their inability to continue to provide 
investment advisory, subadvisory and underwriting services to the Funds 
would result in potential hardship for the Funds and

[[Page 47320]]

their shareholders. Applicants state that they will, as soon as 
reasonably practical, distribute written materials, including an offer 
to meet in person to discuss the materials, to the boards of directors 
of the Funds (``Boards'') for which the Applicants serve as investment 
adviser, investment subadviser or principal underwriter, including the 
directors who are not ``interested persons,'' as defined in section 
2(a)(19) of the Act, of such Funds, and their independent legal counsel 
as defined in rule 0-1(a)(6) under the Act, relating to the 
circumstances that led to the Injunction, any impact on the Funds, and 
the application. Applicants state they will provide the Boards with all 
information concerning the Judgment and the application that is 
necessary for the Funds to fulfill their disclosure and other 
obligations under the federal securities laws.
    6. Applicants also state that, if they were barred from providing 
services to the Funds, the effect on their businesses and employees 
would be severe. Applicants state that they have committed substantial 
resources to establishing expertise in providing advisory and 
distribution services to Funds. Applicants further state that 
prohibiting them from providing such services would not only adversely 
affect their businesses, but would also adversely affect about 500 
employees who are involved in those activities.
    7. In 2009, GEAM and GEID received an exemption under section 9(c) 
as a result of conduct by GE that triggered section 9(a), as described 
in greater detail in the application. A predecessor of one of the 
Applicants previously received an exemption under section 9(c) as the 
result of conduct that triggered section 9(a), as described in greater 
detail in the application.

Applicants' Condition

    Applicants agree that any order granting the requested relief will 
be subject to the following condition:
    Any temporary exemption granted pursuant to the application shall 
be without prejudice to, and shall not limit the Commission's rights in 
any manner with respect to, any Commission investigation of, or 
administrative proceedings involving or against, Covered Persons, 
including, without limitation, the consideration by the Commission of a 
permanent exemption from section 9(a) of the Act requested pursuant to 
the application or the revocation or removal of any temporary 
exemptions granted under the Act in connection with the application.

Temporary Order

    The Commission has considered the matter and finds that Applicants 
have made the necessary showing to justify granting a temporary 
exemption.
    Accordingly,
    It is hereby ordered, pursuant to section 9(c) of the Act, that 
GEAM and GEID and any other Covered Persons are granted a temporary 
exemption from the provisions of section 9(a), solely with respect to 
the Injunction, subject to the condition in the application, from July 
30, 2010, until the Commission takes final action on their application 
for a permanent order.

    By the Commission.
Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010-19244 Filed 8-4-10; 8:45 am]
BILLING CODE 8010-01-P
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