; (II) 3 times the gross amount of pecuniary gain to such defendant as a result of the violation; or (III) the amount of losses incurred by victims as a result of the violation. . (4) Investment Advisers Act of 1940 (A) Money penalties in administrative actions Section 203(i)(2) of the Investment Advisers Act of 1940 ( 15 U.S.C. 80b–3(i)(2) ) is amended— (i) in subparagraph (A)— (I) by striking $5,000 and inserting $10,000 ; and (II) by striking $50,000 and inserting $100,000 ; (ii) in subparagraph (B)— (I) by striking $50,000 and inserting $100,000 ; and (II) by striking $250,000 and inserting $500,000 ; and (iii) by striking subparagraph (C) and inserting the following: (C) Third tier (i) In general Notwithstanding subparagraphs (A) and (B), the amount of penalty for each such act or omission shall not exceed the amount specified in clause (ii) if— (I) the act or omission described in paragraph (1) involved fraud, deceit, manipulation, or deliberate or reckless disregard of a regulatory requirement; and (II) such act or omission directly or indirectly resulted in substantial losses or created a significant risk of substantial losses to other persons or resulted in substantial pecuniary gain to the person who committed the act or omission. (ii) Maximum amount of penalty The amount referred to in clause (i) is the greatest of— (I) $300,000 for a natural person or $1,450,000 for any other person; (II) 3 times the gross amount of pecuniary gain to the person who committed the act or omission; or (III) the amount of losses incurred by victims as a result of the act or omission. . (B) Money penalties in civil actions Section 209(e)(2) of the Investment Advisers Act of 1940 ( 15 U.S.C. 80b–9(e)(2) ) is amended— (i) in subparagraph (A)— (I) by striking $5,000 and inserting $10,000 ; and (II) by striking $50,000 and inserting $100,000 ; (ii) in subparagraph (B)— (I) by striking $50,000 and inserting $100,000 ; and (II) by striking $250,000 and inserting $500,000