Stay current on changes and developments in corporate law with a wide variety of resources and tools.
Two Democratic lawmakers want the Securities and Exchange Commission to reverse its relaxed stance toward policing corporate reporting on conflict minerals.
U.S.-listed companies such as Intel Corp. and Tiffany & Co. must report to the SEC each year on their use of certain minerals that have been linked to conflict in Africa. The commission told companies earlier this year that they wouldn’t get into trouble if they only provided basic disclosures on where they think the minerals in their products come from.
“This non-enforcement position is misguided and irresponsible,” Reps. Maxine Waters (Calif.), the top Democrat on the House Financial Services Committee, and Gwen Moore (D-Wis.) wrote in an Aug. 28 letter to the commission’s chair. They urged SEC Chairman Jay Clayton to “clarify immediately” that the commission would be enforcing the rule behind conflict minerals disclosure, which came out of the 2010 Dodd-Frank Act.
A spokeswoman for the SEC declined to comment. Until recently, the reporting rule faced a lawsuit from industry groups, which didn’t want companies to be forced to say if their products aren’t conflict-free. Human rights groups have defended the disclosure requirement, saying it gives insight into how companies address risk in their supply chains.
Michael Piwowar, the commission’s Republican member, took the first step toward a possible rollback of conflict minerals reporting, now in its fourth year, when he opened the rule up for review while acting as chairman. He did the same with another disclosure rule on executive compensation.
That got the attention of other Democrats in Congress, including Sen. Elizabeth Warren (Mass.), who asked for an investigation into whether the acting chairman had overstepped his authority. The SEC’s inspector general reviewed Piwowar’s actions and found no evidence that he abused his powers, according to an Aug. 24 statement.
To contact the reporter on this story: Andrea Vittorio in Washington at email@example.com
To contact the editor responsible for this story: Yin Wilczek at firstname.lastname@example.org
Copyright © 2017 The Bureau of National Affairs, Inc. All Rights Reserved.
All Bloomberg BNA treatises are available on standing order, which ensures you will always receive the most current edition of the book or supplement of the title you have ordered from Bloomberg BNA’s book division. As soon as a new supplement or edition is published (usually annually) for a title you’ve previously purchased and requested to be placed on standing order, we’ll ship it to you to review for 30 days without any obligation. During this period, you can either (a) honor the invoice and receive a 5% discount (in addition to any other discounts you may qualify for) off the then-current price of the update, plus shipping and handling or (b) return the book(s), in which case, your invoice will be cancelled upon receipt of the book(s). Call us for a prepaid UPS label for your return. It’s as simple and easy as that. Most importantly, standing orders mean you will never have to worry about the timeliness of the information you’re relying on. And, you may discontinue standing orders at any time by contacting us at 1.800.960.1220 or by sending an email to email@example.com.
Put me on standing order at a 5% discount off list price of all future updates, in addition to any other discounts I may quality for. (Returnable within 30 days.)
Notify me when updates are available (No standing order will be created).
This Bloomberg BNA report is available on standing order, which ensures you will all receive the latest edition. This report is updated annually and we will send you the latest edition once it has been published. By signing up for standing order you will never have to worry about the timeliness of the information you need. And, you may discontinue standing orders at any time by contacting us at 1.800.372.1033, option 5, or by sending us an email to firstname.lastname@example.org.
Put me on standing order
Notify me when new releases are available (no standing order will be created)