Big Overhaul at SEC

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According to Accounting Today, the Securities and Exchange Commission adopted rules to reduce the number of disclosures of business, legal proceedings and other risk factors, including environmental and human capital risks, that public companies are required to make. This is seen as probably the biggest overhaul of Regulation S-K disclosures in more than three decades.

Questions:

  1. What is chairman Jay Clayton trying to do with this rollback?
  2. Which commissioners disagreed and why?
  3. What approach are the requirements for amendments to the Regulation S-K disclosure taking?

Source:

Cohn, M. (2020) SEC reduces disclosures of legal proceedings, climate change and human capital risks. Accounting Today, August 26 (Retrievable online at https://www.accountingtoday.com/news/sec-reduces-disclosures-of-legal-proceedings-climate-change-and-human-capital-risks)