451 karma · joined October 17, 2013
Edit: found a pretty good reference for it being true: https://scifi.stackexchange.com/questions/19817/was-executiv...
“Controlling holding” is defined in section 2-2
Edit: here you go
(2) CONTROLLING HOLDING.—The term “controlling holding” means a holding with the power, whether direct or indirect and whether exercised or not exercised, to determine, direct, or decide important matters affecting an entity.
(A) means […] a controlling holding held, directly or indirectly, in an ICTS covered holding entity by— …
“Controlling holding” is defined in section 2-2
Edit: section 2-2 (2) CONTROLLING HOLDING.—The term “controlling holding” means a holding with the power, whether direct or indirect and whether exercised or not exercised, to determine, direct, or decide important matters affecting an entity.
Edit: as a concrete example, I do not have a majority share in the company I work for but legally I have a “controlling interest” because I am an executive as well as owning shares. I know this because that is how I am required to fill out financial declarations.
> (2) CONTROLLING HOLDING.—The term “controlling holding” means a holding with the power, whether direct or indirect and whether exercised or not exercised, to determine, direct, or decide important matters affecting an entity.
> (B) includes any other holding, the structure of which is designed or intended to evade or circumvent the application of this Act, subject to regulations prescribed by the Secretary.
This is referring to intermediary holding companies intended to disguise an ownership stake by foreign nationals (like a shell company). Nothing to do with VPN or any other technology.
Edit: the key parts of the bill that specify it applies only for controlling interests:
> Sec 2-2: CONTROLLING HOLDING.—The term “controlling holding” means a holding with the power, whether direct or indirect and whether exercised or not exercised, to determine, direct, or decide important matters affecting an entity.
> Sec 2-3-a (emphasis mine): COVERED HOLDING.—The term “covered holding”— means [...] a controlling holding held, directly or indirectly, in an ICTS covered holding entity by— [...]
Except there is no “capacity cap” on statistical models, we have no idea what they are or are not capable of yet.