CEI Submits Supplemental Comments on SEC’s Proposed Conflict Minerals Rules
The Competitive Enterprise Institute has submitted supplemental comments regarding Section 1502 of the Dodd-Frank Wall Street Reform and Consumer Protection Act, a provision that would require forced supply chain audits and disclosure procedures for public firms that participate in commercial activity involving "conflict minerals."
This comment letter discusses the following points:
- Similar forced supply chain audits and disclosures for blood diamonds have failed in the past.
- Forced supply chain audits and disclosures will likely increase the violence in the Democratic Republic of the Congo, contrary to the legislation's intent.
- Forced supply chain audits and disclosures will impose massive costs on U.S. businesses.