NEW YORK - The Securities and Exchange Commission is considering several amendments to the Investment Company Act to strengthen the role of independent directors of mutual fund companies, Paul Roye, the SEC's director of investment management, said last week. Roye spoke at a conference hosted by The Practising Law Institute of New York.

In addition, the SEC is considering issuing guidelines on when a director should be considered an "interested party." The SEC is also contemplating giving mutual funds guidance on whether directors can use a fund's assets for litigation in a proxy fight, and clarifying when a fund can pay legal expenses for an independent director, Roye said.

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