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FBN’s Liz MacDonald on the SEC’s call for companies to report payments to foreign countries that are engaged in armed combat with rebels over prec...
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-- so the Securities and Exchange Commission speaking of commodities is voted today to force all US companies to disclose payments they make to countries.
Accused of human rights abuses for drilling for oil or mining precious minerals used in precious metals used in cell phones cars and computers.
And the Crump companies however are crying foul -- McDonald is here with -- latest now.
We know we've heard about blood diamonds rights and now analysts are calling it well now it's all about blood Smartphones are like cameras -- blood you know video games.
Because the SEC -- the most sweeping rules yet today.
Want companies to disclose the dollar payments that they make to foreign countries engaged in armed conflict with -- such as places like.
In Congo or -- in Africa or Nigeria.
And also to to talk more to tell the investors more.
About the metals that they get and where they got the metals from those places in conflict -- so we're talking about.
That computer chips it's genetic cameras.
And -- metals like gold tungsten attend also affects oil companies as well tungsten my personal thing -- that's right.
Now the issue with say you know AT&T about by the way Intel.
-- Dell HP apple they disclose information about their supply chain.
But AT&T is crying -- they're saying this is an overreach they can't do an audit of the entire supply chain -- don't know whether or not -- conflict minerals show up in there and their products.
But they're also say as -- -- -- dragnet you know there's some legitimate mines in operation that are in compliance.
And then there's analysis out of UC Davis saying that half of those who voluntary -- voluntarily complied with these rules because these rules have been in the works for about two years ever since Dodd-Frank.
They lost about six point five billion dollars in shareholder value I don't Elvis because of those rules but that's at that data shows so the other -- too is.
You know why should US companies show their hand right -- show their strategies when foreign competitors are not.
So that's another.
-- to -- and -- but it did it is this it covers a sweeping number of industries though organic products that we use -- as you pointed out -- -- Smartphones as automobiles its cameras on the line.
Yeah that's right to -- And any other controversy to isn't that it could end up that these companies only have to file what's -- -- at Denton.
And a separate statement attached to the and a report that no -- look at -- notice and -- we'll see.
So that there is some concern on the people part of people who want this that they companies -- just give to bury the disclosures and -- -- -- -- big fight it's coming to vote today the SEC do you expect give back on the SEC's part of -- -- expected -- I think this -- -- -- -- look we're only requiring disclosures -- not saying to stop these payments.
Right -- -- again made the idea being that the money is going to armed conflict and to fuel conflict and to fuel regimes that engage in human rights abuses.
So there's basically asking the companies to do the legwork for what the countries should be doing on -- -- in reforming these.
News these so called outlaw regimes.
That's an interesting fight we'll see how it goes down evidence of how complicated the world does yeah that's writing business -- outlets like saying you're saying -- at buildings always -- -- --
