Investors representing $1.2 trillion issue statement calling on companies to comply with conflict minerals reporting requirements in Dodd-Frank Act

On June 11, 2018, 47 institutional investors representing $1.2 trillion in assets issued a statement cautioning companies to continue to comply with the conflict minerals reporting requirements legislated in section 1502 of the Dodd-Frank Wall Street Reform and Consumer Protections Act, which requires them to file annual reports. 

Obtenga fuente RSS de estos resultados

Todos los componentes de esta historia

Artículo
+ English - Ocultar

Autor(a): Investor Alliance for Human Rights

The undersigned 47 investors and investor groups with $1.2 trillion dollars in assets under management wish to issue a clear statement to our portfolio companies to reinforce that we expect all companies that fall under the scope of the Securities and Exchange Commission (SEC) Conflict Minerals Rule to file thorough annual reports in accordance with the law... Responsible management of global supply chain risks is material to investors, especially when the illicit trade in "conflict minerals" —that fund the continuing violence in the Democratic Republic of Congo (DRC)—is concerned. As a result, investors have spoken out in support of the development and implementation of Dodd Frank Section 1502 and through engagement encourage companies to disclose... We regret that there has been some uncertainty about the status and necessity of the reporting requirements.

... Regardless of whether the SEC [Securities and Exchange Commission] chooses to fulfill its obligations to enforce the Rule, as investors we will consider all public and legal options available to us to do so. Not only do companies and investors benefit from responsible management and sourcing of raw materials, but we all indirectly contribute to a peaceful, prosperous, and stable conflict-free minerals trade in the DRC region, thereby further advancing respect for human rights in the global supply chains of U.S. companies.

Lea todo el artículo aquí

Artículo
+ English - Ocultar

Autor(a): Investor Alliance for Human Rights

A group of 47 institutional investors representing $1.2 trillion in assets issued a statement today cautioning companies to continue to comply with the conflict minerals reporting requirements legislated in section 1502 of the Dodd-Frank Wall Street Reform and Consumer Protections Act. The statement is in direct response to comments made last year by SEC Commissioner Michael Piwowar which appeared to indicate that this federally mandated reporting may not be enforced by the agency. As a result of these comments, investors say corporate reporting under 1502 has declined and/or become inconsistent, significantly increasing the risk of human rights violations for companies with supply chains sourcing from the region... Conflict minerals appear in a variety of consumer products including smart phones made by electronics companies such as Google, Apple and IBM. Investors argue that a lack of consistent compliance among covered companies deprives investors of valuable information about potential human rights risks in global supply chains.

... [According to Dodd-Frank 1502] [c]ompanies must publicly disclose annually whether any of the gold or 3Ts in their supply chains originated in Congo or one of its nine neighboring countries and, if so, describe the due diligence measures taken to determine the source of the minerals... Examples of companies that failed to file a conflict minerals report last year directly citing Commissioner Piwowar’s remarks are Invuity, Inc., (IVTY) Shire plc (SHPG), Wireless Telecom Group, Inc. (WTT), General Dynamics Corporation (GD). Investors say they will be reaching out directly to these companies to underscore the importance of these disclosures in investment decision-making and, if necessary, will consider all public and legal options available to ensure that relevant companies remain compliant.

Descargue todo el documento aquí