WASHINGTON, June 25 The U.S. Securities and
Exchange Commission voted on Wednesday to adopt the first of a
series of crucial rules that lay out when foreign banks that
deal in derivatives must comply with U.S. regulations.
SEC commissioners said the final rule, which is required by
the 2010 Dodd-Frank Wall Street reform law, contains some
tougher measures than previously proposed to close some
potential loopholes that could have permitted foreign banks to
circumvent U.S. regulations.
It details the criteria for when foreign banks must abide by
the SEC's rules, explains the scope of the SEC's anti-fraud
powers and provides a process for banks to apply for permission
to follow a foreign regulator's comparable rules, instead of the
(Reporting by Sarah N. Lynch; Editing by Susan Heavey)