Tags: BNCOPY | BNK | BNSTAFF | BNTEAMS | BON | BUSINESS | CNG

SEC Spent $2.5 Million on Proxy-Access Rule Rejected by Court

Thursday, 11 Aug 2011 07:54 AM

 

Share:
  Comment  |
   Contact Us  |
  Print  
|  A   A  
  Copy Shortlink

Aug. 11 (Bloomberg) -- The U.S. Securities and Exchange Commission spent $2.5 million on a court-rejected rule aimed at making it easier for shareholders to put board nominees on corporate ballots, according to the agency’s top official.

The SEC used about 21,000 staff hours -- valued at $2.2 million -- writing the so-called proxy access rule and needed $315,000 to defend it against a court challenge by the U.S. Chamber of Commerce and the Business Roundtable, SEC Chairman Mary Schapiro said in a letter to House lawmakers dated Aug. 5, according to a copy obtained by Bloomberg News. The letter’s contents were confirmed by John Nester, an SEC spokesman.

Schapiro was responding to Republican Representatives Randy Neugebauer and Jeb Hensarling of Texas and Scott Garrett of New Jersey, who sought an accounting after the U.S. Court of Appeals in Washington decided in favor of the business groups on July 22. The lawmakers said the ruling that the SEC failed to properly study the rule’s impact on companies raised “fundamental questions” about the agency’s work and spending on such efforts reflects “serious mismanagement.”

In her letter, Schapiro defended the spending, noting that it represented less than a tenth of a percent of the agency’s budget during that time.

“Writing rules to effectuate free and fair markets is a time-consuming, resource-intensive effort for the SEC,” she wrote. “The proxy access proposal was just one of more than 100 rulemakings the SEC has proposed or adopted over the past two years.”

--With assistance from Silla Brush in Washington. Editors: Gregory Mott, Leslie Hoffecker

To contact the reporter on this story: Jesse Hamilton in Washington at jhamilton33@bloomberg.net

To contact the editor responsible for this story: Lawrence Roberts at lroberts13@bloomberg.net

© Copyright 2014 Bloomberg News. All rights reserved.

Share:
  Comment  |
   Contact Us  |
  Print  
  Copy Shortlink
Around the Web
Join the Newsmax Community
Please review Community Guidelines before posting a comment.
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
 
Email:
Retype Email:
Country
Zip Code:
Privacy: We never share your email.
 
Hot Topics
Follow Newsmax
Like us
on Facebook
Follow us
on Twitter
Add us
on Google Plus
Around the Web
You May Also Like

Big-Money Dem Donors Were Especially Active in July

Friday, 22 Aug 2014 19:23 PM

Super PAC spending heated up in July in advance of the fall midterm elections, with Democrats dominating the list of meg . . .

Administration Condemns Russian Move into Ukraine

Friday, 22 Aug 2014 18:48 PM

The Obama administration on Friday condemned the movement of a Russian convoy into eastern Ukraine, calling it a violati . . .

Ex-Justice Lawyer: Holder Incapable of Neutrality on Cop Shooting

Friday, 22 Aug 2014 18:20 PM

Attorney General Eric Holder is biased and incapable of neutrality in the case of the fatal shooting of a black teen by  . . .

Most Commented

Newsmax, Moneynews, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, NewsmaxWorld, NewsmaxHealth, are trademarks of Newsmax Media, Inc.

 
NEWSMAX.COM
America's News Page
©  Newsmax Media, Inc.
All Rights Reserved