April 8, 1992
TO: INVESTMENT ADVISERS COMMITTEE NO. 17-92
INVESTMENT ISSUES COMMITTEE NO. 6-92
RE: POSSIBLE INTRODUCTION OF LEGISLATION RELATING TO PAYMENTS
FOR ORDER FLOW
__________________________________________________________
In a recent letter to SEC Chairman Breeden, House Energy
and Commerce Committee Chairman John Dingell indicates that he
has instructed his Committee's staff to prepare legislation that
deals with certain abuses associated with the payment for order
flow.
In the letter, Chairman Dingell states that his Committee
is "conducting an inquiry into regulatory failure at the
Commission with respect to payment for order flow" and requests
certain documents and information from the SEC on this issue by
April 10. A copy of Chairman Dingell's letter is attached.
We will keep you informed of developments on this matter.
Amy B.R. Lancellotta
Associate General Counsel
Attachment