SEC proposal would disclose political donations by public companies

[alp227]

Source: The Washington Post

A proposal before the Securities and Exchange Commission that would require public companies to disclose political contributions has drawn some favorable comments from investors, but it won't go a long way in meeting the demands of those advocating for more transparency in political fundraising.

A group of 10 law professors filed a formal petition asking the commission to require corporations to list political contributions in annual proxy statements sent to shareholders. The professors cite a growing interest among shareholders for disclosure of political contributions.

“Many shareholders recognize that the interests of executives and directors with respect to political spending might differ from those of shareholders,” said Lucian Bebchuk, a Harvard Law School professor who co-chaired the group of professors seeking the new rule. “Such shareholders are naturally concerned when, as is commonly the case, their company provides them with no information about its political spending.”

The agency has posted several comments from other outside observers supporting the rule, including the International Corporate Governance Network, which represents institutional investors with a combined $18 trillion in assets.

Read more: http://www.washingtonpost.com/politics/sec-proposal-would-disclose-political-donations-by-public-companies/2011/08/31/gIQAmqMosJ_story.html

[pam4water]

1. Owww that would be good. Probably wouldn't stop overseas firms form making unreported donations. So

all the money would get funneled throw an offshore "charitable" foundation.