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Bill > HR4015


US HR4015

Corporate Governance Reform and Transparency Act of 2017


summary

Introduced
10/11/2017
In Committee
11/15/2017
Crossed Over
12/21/2017
Passed
Dead
12/31/2018

Introduced Session

115th Congress

Bill Summary

Corporate Governance Reform and Transparency Act of 2017 (Sec. 3) This bill amends the Securities Exchange Act of 1934 to: (1) require a proxy advisory firm to register with the Securities and Exchange Commission (SEC); and (2) prohibit an unregistered proxy advisory firm from using interstate commerce to provide proxy-voting research, analysis, or recommendations to any client. With respect to such firms, the bill: (1) establishes procedures for both registration and termination of registration; (2) requires each firm to employ an ombudsman, designate a compliance officer, and file specified documents with the SEC; and (3) prohibits unfair, coercive, or abusive practices. (Sec. 4) The SEC shall report annually on its website regarding registration applications and related matters.

AI Summary

This bill amends the Securities Exchange Act of 1934 to require proxy advisory firms, which provide voting research and recommendations to clients, to register with the Securities and Exchange Commission (SEC). The bill establishes procedures for registration and termination of registration, requires proxy advisory firms to employ an ombudsman and compliance officer, and prohibits unfair, coercive, or abusive practices. The SEC must also annually report on the state of the proxy advisory firm industry, including the quality of services, financial markets, competition, and conflicts of interest.

Committee Categories

Business and Industry, Housing and Urban Affairs

Sponsors (3)

Last Action

Committee on Banking, Housing, and Urban Affairs. Hearings held. (on 12/06/2018)

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