H.R. 10595
Stop Wall Street Looting Act
Official summary
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Text of the bill
I Corporate responsibility
II Anti-looting
III Protecting workers when companies go bankrupt
Section 1129(a) of title 11, United States Code, is amended—
(1) in paragraph (4), by adding at the end the following: Except for compensation subject to review under paragraph (5), any payment or other distribution under the plan to or for the benefit of an insider of the debtor, a senior executive officer of the debtor, or any of the 20 next most highly compensated employees of the debtor, department or division managers of the debtor, or consultants providing services to the debtor (regardless of whether the executive officer, employee, manager, or consultant is an insider), shall not be approved by the court except as part of a program of payments or distributions generally applicable to employees of the debtor, and only to the extent that the court determines that the payment or other distribution is not excessive or disproportionate in comparison to payments or other distributions to the nonmanagement workforce of the debtor.; and
(2) in paragraph (5)—
(A) in subparagraph (A)(ii), by striking and at the end;
(B) in subparagraph (B), by striking the period at the end and inserting ; and; and
(C) by adding at the end the following:
(C) the compensation disclosed pursuant to subparagraph (B) has been approved by, or is subject to the approval of, the court as—
(i) reasonable in comparison to compensation paid to individuals holding comparable positions at comparable companies in the same industry; and
(ii) not disproportionate in light of any economic concession made by the nonmanagement workforce of the debtor during the case.
IV Closing tax loopholes
V Investor protection and market transparency
VI Restrictions on securitizing risky corporate debt
VII Miscellaneous