[Federal Register Volume 79, Number 67 (Tuesday, April 8, 2014)]
[Rules and Regulations]
[Page 19288]
[FR Doc No: 2014-07509]

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DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 91

[Docket No. FAA-2011-0246; Amendment No. 91-321A; SFAR No. 112]
RIN 2120-AK42

Prohibition Against Certain Flights Within the Tripoli Flight
Information Region (FIR); Extension of Expiration Date; Correction

AGENCY: Federal Aviation Administration (FAA), DOT.

ACTION: Final rule; Extension of expiration date; Correction.

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SUMMARY: The FAA is correcting a final rule published on March 21,
2014. In that final rule, the FAA amended its regulations to extend the
prohibition against certain flights within the Tripoli Flight
Information Region from March 21, 2014 to March 21, 2015. The FAA
inadvertently cited an incorrect RIN number. This document corrects
that error and also corrects an inadvertent amendment.

DATES: This correction is effective April 8, 2014.

FOR FURTHER INFORMATION CONTACT: Keira Jones, Office of Rulemaking,
ARM-101, Federal Aviation Administration, 800 Independence Avenue SW.,
Washington, DC 20591. Telephone:<PHONE_NUMBER>.

SUPPLEMENTARY INFORMATION:

Background

    On March 21, 2014 (79 FR 15679), the FAA issued ``Prohibition
Against Certain Flights Within the Tripoli Flight Information Region
(FIR); Extension of Expiration Date'' (79 FR 15679). In that final
rule, which became effective March 21, 2014, the FAA extended the
expiration date from March 21, 2014 to March 21, 2015.
    The FAA inadvertently listed the incorrect RIN number (2120-AJ93).
The correct RIN number is 2120-AK42. In addition, the Office of the
Federal Register inadvertently amended Sec.  91.1603 by removing
paragraph (e) effective March 20, 2015. Unless the FAA takes further
action, Sec.  91.1603 will expire effective March 20, 2015.

Corrections

    In the final rule, FR Doc. 2014-06199, published on March 21, 2014,
at 79 FR 15679, make the following corrections:
    1. On page 15679, in the first column heading, revise ``RIN 2120-
AJ93'' to read ``RIN 2120-AK42''.
    2. On page 15679, in the third column under the DATES heading,
remove the sentence ``Amendment 3 to Sec.  91.1603 is effective March
20, 2015.''

Sec.  91.1603  [Amended]

    3. On page 15680, in the third column, beginning at line 19 from
the bottom, remove Amendment 3.
    Issued under authority provided by 49 U.S.C. 106(f), 44701(a), and
44703 in Washington, DC.

Lirio Liu,
Director, Office of Rulemaking.
[FR Doc. 2014-07509 Filed 4-7-14; 8:45 am]
BILLING CODE 4910-13-P


1. The general authority citation for Part 230 is revised to read
as follows:

    Authority: 15 U.S.C. 77b, 77c, 77d, 77f, 77g, 77h, 77j, 77r,
77s, 77z-3, 77sss, 78c, 78d, 78j, 78l, 78m, 78n, 78o, 78t, 78w, 78ll
(d), 78mm, 80a-8, 80a-24, 80a-28, 80a-29, 80a-30, and 80a-37, unless
otherwise noted.

* * * * *
    2. Section 230.215 is amended by revising paragraphs (e) and (f) to
read as follows:

Sec.  230.215  Accredited investor.

* * * * *
    (e) Any natural person whose individual net worth, or joint net
worth with that person's spouse, at the time of his purchase exceeds
$1,000,000, except that Sec.  230.216 shall apply with respect to the
sale of securities issued by a ``private investment vehicle'' as
described therein;
    (f) Any natural person who had an individual income in excess of
$200,000 in each of the two most recent years or joint income with that
person's spouse in excess of $300,000 in each of those years and has a
reasonable expectation of reaching the same income level in the current
year, except that Sec.  230.216 shall apply with respect to the sale of
securities issued by a ``private investment vehicle'' as described
therein;
* * * * *
    3. By adding Sec.  230.216 before the undesignated section heading
to read as follows:

Sec.  230.216  Accredited investor definition for investors in certain
private investment vehicles.

    (a) Notwithstanding the definition of the term ``accredited
investor'' in Sec.  230.215, in connection with the offer and sale of
securities issued by an issuer that is a private investment vehicle,
other than a venture capital fund, the term ``accredited investor'' as
used in section 4(6) of the Securities Act of 1933 (15 U.S.C. 77(d)(6))
with reference to a natural person for purposes of Sec.  230.215(e) or
Sec.  230.215(f) (``accredited natural person'') shall mean a natural
person who meets the requirements specified in Sec.  230.215(e) or
Sec.  230.215(f), and who owns (individually, or jointly with that
person's spouse) not less than $2.5 million (as adjusted for inflation)
in investments.
    (b) Definitions. As used in this section, the following terms shall
have the meanings indicated:
    (1) Private investment vehicle means any issuer that would be an
investment company as defined in section 3(a) of the Investment Company
Act of 1940 (15 U.S.C. 80a-3(a)) but for the exclusion provided for in
section 3(c)(1) (15 U.S.C. 80a-3(c)(1)) of that Act.
    (2) Venture capital fund has the same meaning as ``business
development company'' in section 202(a)(22) of the Investment Advisers
Act of 1940 (15 U.S.C. 80b-2(a)(22)).
    (3) Investments means:
    (i) Securities (as defined by section 2(a)(1) of the Act (15 U.S.C.
77b(a)(1))), other than securities issued by an issuer that is
controlled by the prospective

accredited natural person that owns such securities, unless such issuer
is:
    (A) An investment company, as defined in section 3(a) of the
Investment Company Act of 1940 (15 U.S.C. 80a-3(a)), or a company that
would be an investment company under section 3(a) but for the
exclusions from that definition provided by sections 3(c)(1) through
3(c)(9) of the Investment Company Act (15 U.S.C. 80a-3(c)(1) through
3(c)(9)), or the exclusions provided by Sec.  270.3a-6 or Sec.  270.3a-
7 of this chapter, or a commodity pool;
    (B) A company that:
    (1) Files reports pursuant to section 13 or 15(d) of the Securities
Exchange Act of 1934 (15 U.S.C. 78m or 78o(d)); or
    (2) Has a class of securities that are listed on a ``designated
offshore securities market'' as such term is defined by Regulation S
under the Act (Sec. Sec.  230.901 through 230.904); or
    (C) A company with shareholders' equity of not less than $50
million (determined in accordance with generally accepted accounting
principles) as reflected on the company's most recent financial
statements, provided that such financial statements present the
information as of a date within 16 months preceding the date on which
the prospective accredited natural person acquires the securities of a
private investment vehicle;
    (ii) Real estate held for investment purposes;
    (iii) Commodity interests held for investment purposes. For
purposes of this section, commodity interests means commodity futures
contracts, options on commodity futures contracts, and options on
physical commodities traded on or subject to the rules of:
    (A) Any contract market designated for trading such transactions
under the Commodity Exchange Act (7 U.S.C. 1 et seq.) and the rules
thereunder (17 CFR 1.1 through 190.10); or
    (B) Any board of trade or exchange outside the United States, as
contemplated in Part 30 of the rules under the Commodity Exchange Act
(17 CFR 30.1 through 30.12);
    (iv) Physical commodities held for investment purposes. For
purposes of this paragraph, physical commodities means any physical
commodity with respect to which a commodity interest is traded on a
market specified in paragraph (b)(3)(iii) of this section;
    (v) To the extent not securities, financial contracts (as such term
is defined in section 3(c)(2)(B)(ii) of the Investment Company Act of
1940 (15 U.S.C. 80a-3(c)(2)(B)(ii)) entered into for investment
purposes; and
    (vi) Cash and cash equivalents (including foreign currencies) held
for investment purposes. For purposes of this section, cash and cash
equivalents include:
    (A) Bank deposits, certificates of deposit, bankers acceptances and
similar bank instruments held for investment purposes; and
    (B) The net cash surrender value of an insurance policy.
    (4) Prospective accredited natural person means a natural person
seeking to purchase a security issued by a private investment vehicle.
    (5) Related person means a natural person who is related to a
prospective accredited natural person as a sibling, spouse or former
spouse, or is a direct lineal descendant or ancestor by birth or
adoption of the prospective accredited natural person, or is a spouse
of such descendant or ancestor.
    (c) Solely for purposes of this section:
    (1) Investment purposes:
    (i) Real estate shall not be considered to be held for investment
purposes by a prospective accredited natural person if it is used by
the prospective accredited natural person or a related person for
personal purposes or as a place of business, or in connection with the
conduct of the trade or business of the prospective accredited natural
person or a related person, provided that real estate owned by a
prospective accredited natural person who is engaged primarily in the
business of investing, trading or developing real estate in connection
with such business may be deemed to be held for investment purposes.
Residential real estate shall not be deemed to be used for personal
purposes if deductions with respect to such real estate are not
disallowed by section 280A of the Internal Revenue Code (26 U.S.C.
280A).
    (ii) A commodity interest or physical commodity owned, or a
financial contract entered into, by the prospective accredited natural
person who is engaged primarily in the business of investing,
reinvesting, or trading in commodity interests, physical commodities or
financial contracts in connection with such business may be deemed to
be held for investment purposes.
    (2) Valuation. For purposes of determining whether a natural person
is an accredited natural person, the aggregate amount of investments
owned and invested on a discretionary basis by the natural person shall
be the investments' fair market value on the most recent practicable
date or their cost, provided that:
    (i) In the case of commodity interests, the amount of investments
shall be the value of the initial margin or option premium deposited in
connection with such commodity interests; and
    (ii) In each case, there shall be deducted from the amount of
investments owned by the natural person the amounts specified in
paragraph (c)(3) of this section, as applicable.
    (3) Deductions. In determining whether any natural person is an
accredited natural person there shall be deducted from the amount of
such person's investments the amount of any outstanding indebtedness
incurred to acquire or for the purpose of acquiring the investments
owned by such person.
    (4) Joint investments. In determining whether a natural person is
an accredited natural person, there may be included in the amount of
such person's investments any investments held individually and fifty
percent of any investments (a) held jointly with such person's spouse,
and (b) in which such person shares with such person's spouse a
community property or similar shared ownership interest. In determining
whether spouses who are making a joint investment in a private
investment vehicle are accredited natural persons, there may be
included in the amount of each spouse's investments any investments
owned by the other spouse (whether or not such investments are held
jointly). In each case, there shall be deducted from the amount of any
such investments the amounts specified in paragraph (c)(3) of this
section incurred by each spouse; and
    (5) Certain retirement plans and trusts. In determining whether a
natural person is an accredited natural person, there may be included
in the amount of such person's investments any investments held in an
individual retirement account or similar account the investments of
which are directed by and held for the benefit of such person.
    (6) Inflation adjustments.
    (i) On April 1, 2012, and on the 1st day of each subsequent 5-year
period, the dollar amount in paragraph (a) of this section shall be
adjusted by:
    (A) Dividing the annual value of the Personal Consumption
Expenditures Chain-Type Price Index (or any successor index thereto),
as published by the Department of Commerce, for the calendar year
preceding the calendar year in which the adjustment is being made by
the annual value of such index (or successor) for the calendar year
ending December 31, 2006; and
    (B) Multiplying the dollar amount by the quotient obtained in
paragraph (c)(6)(i)(A) of this section.

    (ii) Rounding. If the adjusted dollar amount determined under
paragraph (c)(6)(i) of this section for any period is not a multiple of
$100,000, the amount so determined shall be rounded to the nearest
multiple of $100,000.

    4. Section 230.501 is amended by revising paragraphs (a)(5) and
(a)(6) to read as follows:

Sec.  230.501  Definitions and terms used in Regulation D.

    (a) * * *
    (5) Any natural person whose individual net worth, or joint net
worth with that person's spouse, at the time of his purchase exceeds
$1,000,000, except that Sec.  230.509 shall apply with respect to the
sale of securities issued by a ``private investment vehicle'' as
described therein;
    (6) Any natural person who had an individual income in excess of
$200,000 in each of the two most recent years or joint income with that
person's spouse in excess of $300,000 in each of those years and has a
reasonable expectation of reaching the same income level in the current
year, except that Sec.  230.509 shall apply with respect to the sale of
securities issued by a ``private investment vehicle'' as described
therein;
* * * * *
    5. By adding Sec.  230.509 to read as follows:

Sec.  230.509  Private investment vehicle.

    (a) Notwithstanding the definition of the term ``accredited
investor'' in Sec.  230.501, in connection with the offer and sale of
securities issued by an issuer that is a private investment vehicle,
other than a venture capital fund, the term ``accredited investor'' in
Regulation D (Sec. Sec.  230.501 through 230.509) with reference to a
natural person for purposes of Sec.  230.501(a)(5) or Sec.
230.501(a)(6) (``accredited natural person'') shall mean a natural
person who meets the requirements specified in Sec.  230.501(a)(5) or
Sec.  230.501(a)(6), and who owns (individually, or jointly with that
person's spouse) not less than $2.5 million in investments (as adjusted
for inflation), or who the issuer reasonably believes meets such
qualifications, at the time of the purchase.
    (b) Definitions. As used in this section, the following terms shall
have the meanings indicated:
    (1) Private investment vehicle means any issuer that would be an
investment company as defined in section 3(a) of the Investment Company
Act of 1940 (15 U.S.C. 80a-3(a)) but for the exclusion provided for in
section 3(c)(1)(15 U.S.C. 80a-3(c)(1)) of that Act.
    (2) Venture capital fund has the same meaning as ``business
development company'' in section 202(a)(22) of the Investment Advisers
Act of 1940 (15 U.S.C. 80b-2(a)(22)).
    (3) Investments means:
    (i) Securities (as defined by section 2(a)(1) of the Act (15 U.S.C.
77b(a)(1))), other than securities issued by an issuer that is
controlled by the prospective accredited natural person that owns such
securities, unless such issuer is:
    (A) An investment company, as defined in section 3(a) of the
Investment Company Act of 1940 (15 U.S.C. 80a-3(a)), or a company that
would be an investment company under section 3(a) but for the
exclusions from that definition provided by sections 3(c)(1) through
3(c)(9) of the Investment Company Act (15 U.S.C. 80a-3(c)(1) through
3(c)(9)), or the exclusions provided by Sec.  270.3a-6 or Sec.  270.3a-
7 of this chapter, or a commodity pool;
    (B) A company that:
    (1) Files reports pursuant to section 13 or 15(d) of the Securities
Exchange Act of 1934 (15 U.S.C. 78m or 78o(d)); or
    (2) Has a class of securities that are listed on a ``designated
offshore securities market'' as such term is defined by Regulation S
under the Act (Sec. Sec.  230.901 through 230.904); or
    (C) A company with shareholders' equity of not less than $50
million (determined in accordance with generally accepted accounting
principles) as reflected on the company's most recent financial
statements, provided that such financial statements present the
information as of a date within 16 months preceding the date on which
the prospective accredited natural person acquires the securities of a
private investment vehicle;
    (ii) Real estate held for investment purposes;
    (iii) Commodity interests held for investment purposes. For
purposes of this section, commodity interests means commodity futures
contracts, options on commodity futures contracts, and options on
physical commodities traded on or subject to the rules of:
    (A) Any contract market designated for trading such transactions
under the Commodity Exchange Act (7 U.S.C. 1 et seq.) and the rules
thereunder (17 CFR 1.1 through 190.10); or
    (B) Any board of trade or exchange outside the United States, as
contemplated in Part 30 of the rules under the Commodity Exchange Act
(17 CFR 30.1 through 30.12);
    (iv) Physical commodities held for investment purposes. For
purposes of this paragraph, physical commodities means any physical
commodity with respect to which a commodity interest is traded on a
market specified in paragraph (b)(3)(iii) of this section;
    (v) To the extent not securities, financial contracts (as such term
is defined in section 3(c)(2)(B)(ii) of the Investment Company Act of
1940 (15 U.S.C. 80a-3(c)(2)(B)(ii)) entered into for investment
purposes; and
    (vi) Cash and cash equivalents (including foreign currencies) held
for investment purposes. For purposes of this section, cash and cash
equivalents include:
    (A) Bank deposits, certificates of deposit, bankers acceptances and
similar bank instruments held for investment purposes; and
    (B) The net cash surrender value of an insurance policy.
    (4) Prospective accredited natural person means a natural person
seeking to purchase a security issued by a private investment vehicle.
    (5) Related person means a natural person who is related to a
prospective accredited natural person as a sibling, spouse or former
spouse, or is a direct lineal descendant or ancestor by birth or
adoption of the prospective accredited natural person, or is a spouse
of such descendant or ancestor.
    (c) Solely for purposes of this section:
    (1) Investment purposes:
    (i) Real estate shall not be considered to be held for investment
purposes by a prospective accredited natural person if it is used by
the prospective accredited natural person or a related person for
personal purposes or as a place of business, or in connection with the
trade or business of the prospective accredited natural person or a
related person, provided that real estate owned by a prospective
accredited natural person who is engaged primarily in the business of
investing, trading or developing real estate in connection with such
business may be deemed to be held for investment purposes. Residential
real estate shall not be deemed to be used for personal purposes if
deductions with respect to such real estate are not disallowed by
section 280A of the Internal Revenue Code (26 V.S.C. 280A).
    (ii) A commodity interest or physical commodity owned, or a
financial contract entered into, by the prospective accredited natural
person who is engaged primarily in the business of investing,
reinvesting, or trading in commodity interests, physical commodities or
financial contracts in connection with such business may be deemed to
be held for investment purposes.

    (2) Valuation. For purposes of determining whether a natural person
is an accredited natural personal the aggregate amount of investments
owned and invested on a discretionary basis by the natural person shall
be the investments' fair market value on the most recent practicable
date or their cost, provided that:
    (i) In the case of commodity interests, the amount of investments
shall be the value of the initial margin or option premium deposited in
connection with such commodity interests; and
    (ii) In each case, there shall be deducted from the amount of
investments owned by the natural person the amounts specified in
paragraph (c)(3) of this section, as applicable.
    (3) Deductions. In determining whether any natural person is an
accredited natural person there shall be deducted from the amount of
such person's investments the amount of any outstanding indebtedness
incurred to acquire or for the purpose of acquiring the investments
owned by such person.
    (4) Joint investments. In determining whether a natural person is
an accredited natural person, there may be included in the amount of
such person's investments any investments held individually and fifty
percent of any investments (a) held jointly with such person's spouse,
and (b) in which such person shares with such person's spouse a
community property or similar shared ownership interest. In determining
whether spouses who are making a joint investment in a private
investment vehicle are accredited natural persons, there may be
included in the amount of each spouse's investments any investments
owned by the other spouse (whether or not such investments are held
jointly). In each case, there shall be deducted from the amount of any
such investments the amounts specified in paragraph (c)(3) of this
section incurred by each spouse; and
    (5) Certain retirement plans and trusts. In determining whether a
natural person is an accredited natural person, there may be included
in the amount of such person's investments any investments held in an
individual retirement account or similar account the investments of
which are directed by and held for the benefit of such person.
    (6) Inflation adjustments.
    (i) On April 1, 2012, and on the 1st day of each subsequent 5-year
period, the dollar amount in paragraph (a) of this section shall be
adjusted by:
    (A) Dividing the annual value of the Personal Consumption
Expenditures Chain-Type Price Index (or any successor index thereto),
as published by the Department of Commerce, for the calendar year
preceding the calendar year in which the adjustment is being made by
the annual value of such index (or successor) for the calendar year
ending December 31, 2006; and
    (B) Multiplying the dollar amount by the quotient obtained in
paragraph (c)(6)(i)(A) of this section.
    (ii) Rounding. If the adjusted dollar amount determined under
paragraph (c)(6)(i) of this section for any period is not a multiple of
$1 00,000, the amount so determined shall be rounded to the nearest
multiple of $100,000.

PART 275--RULES AND REGULATIONS, INVESTMENT ADVISERS ACT OF 1940

    6. The authority citation for part 275 continues to read in part as
follows:

    Authority: 15 U.S.C. 80b-2(a)(11)(F), 80b-2(a)(17), 80b-3, 80b-
4, 80b-4a, 80b-6(4), 80b-6a, and 80b-II, unless otherwise noted.
* * * * *
    7. Section 275.206(4)-8 is added to read as follows:

Sec.  206(4)-8  Pooled investment vehicles.

    (a) Prohibition. It shall constitute a fraudulent, deceptive, or
manipulative act, practice, or course of business within the meaning of
section 206(4) of the Act (15 U.S.C. 80b-6(4)) for any investment
adviser to a pooled investment vehicle to:
    (1) Make any untrue statement of a material fact or to omit to
state a material fact necessary to make the statements made, in the
light of the circumstances under which they were made, not misleading,
to any investor or prospective investor in the pooled investment
vehicle; or
    (2) Otherwise engage in any act, practice, or course of business
that is fraudulent, deceptive, or manipulative with respect to any
investor or prospective investor in the pooled investment vehicle.
    (b) Definition. For purposes of this section ``pooled investment
vehicle'' means any investment company as defined in section 3(a) of
the Investment Company Act of 1940 (15 U.S.C. 80a-3(a)) or any company
that would be an investment company under section 3(a) of that Act but
for the exclusion provided from that definition by either section
3(c)(1) or section 3(c)(7) of that Act (15 U.S.C. 80a-3(c)(1) or (7)).

    By the Commission.
    Dated: December 27, 2006.
Jill M. Peterson,
Assistant Secretary.
[FR Doc. E6-22531 Filed 1-3-07; 8:45 am]

BILLING CODE 8011-01-P