SEC Will Not Enforce Questionable Dodd-Frank Provision
April 12, 2017
The tireless work of the National Center for Policy Analysis and Senior Fellow Dr. David Grantham paid off last week when the U.S. Securities and Exchange Commission agreed not to enforce the problematic conflict minerals provision tucked deep inside the Dodd-Frank Wall Street Reform and Consumer Protection Act. This decision falls in line with recommendations made by Dr. Grantham dating back to November 2015.
“Conflict minerals have nothing to with financial reform and did not address Wall Street or the financial crisis,” says Grantham. “Instead, the provision imposed costly regulations on producers and manufacturers and proved disastrous for the Congolese people.” What was intended to help recover from the 2008 financial crisis only exacerbated an ongoing security crisis in a foreign country, he says.
“Experts on the Congo begged congress not to pass this cause célèbre regulation back then,” Grantham asserts, “and today they have finally listened.” Grantham went on to say that “while the negative impact cannot be undone, hopefully this will be the first step in repealing a far worse piece of legislation: the Dodd-Frank Act.”