By Vicki Needham - 03/18/11 07:16 PM EDT
The measure also would provide for greater oversight of the growing “political intelligence” industry.
"Even more troubling is that unregistered firms might be using Congressional non-public information to make financial transactions at the expense of the average investor," Slaughter said in a statement. "This bill places those individuals under insider trading rules and enhanced disclosure rules."
The legislation has support from groups such as Citizens for Responsibility and Ethics in Washington, Common Cause, Democracy 21, Public Citizen and U.S. PIRG, according to a statement.
In a letter to the lawmakers, the organizations said, “This measure provides a balanced application of the laws against insider trading to both the private and public sectors and offers the important tool of disclosure for ensuring compliance with the law. The STOCK Act should be adopted by Congress before new scandals arise.”
The original version of the Stop Trading on Congressional Knowledge Act (STOCK) was introduced in 2006.