For Immediate Release

Organization Profile: 
Contact: 

Phone: 202-588-1000

IRS Controversy Does Not Diminish Need for Fair and Balanced Disclosure of Corporate Political Spending

SEC Should Continue Its Nonpartisan Rulemaking for Transparency

WASHINGTON - The Securities and Exchange Commission (SEC) needs to continue pursuing its impartial approach to opening up the books on corporate political spending, regardless of Congress members’ fallacious attempts to use the IRS scandal to delegitimize the movement for disclosure rules. Several members of the House Financial Services Committee questioned Mary Jo White, SEC chair, about the commission’s pending rulemaking for transparency of corporate political spending in light of the IRS controversy.

“The IRS controversy is about partisanship, not disclosure. Tying the IRS’s problems to the SEC rulemaking on corporate political spending is the height of political theater,” said Lisa Gilbert, director of Public Citizen’s Congress Watch division. “The massive outpouring of support from investors who want material political spending information continues to stream in at the agency, and the SEC owes it to the constituency they oversee – investors – to move forward with this critical rulemaking for investor protection.”

Craig Holman, government affairs lobbyist for Public Citizen’s Congress Watch division, added, “The real issue with the IRS controversy is whether the agency was enforcing the tax code in a partisan, discriminatory manner, not whether electioneering nonprofit organizations should disclose the sources of their campaign funds. It is the exact opposite with the SEC petition for rulemaking for disclosure of campaign spending by public corporations. The SEC issue is all about disclosure, not partisanship.”  

Gilbert added, “We think that the very fact that the SEC placed the rule on its regulatory flexibility agenda, that the staff is reviewing it, and that the SEC has issued similar pay-to-play rules before, all speak to the necessity and jurisdiction of the agency around this topic.”

###

This is the world we live in. This is the world we cover.

Because of people like you, another world is possible. There are many battles to be won, but we will battle them together—all of us. Common Dreams is not your normal news site. We don't survive on clicks. We don't want advertising dollars. We want the world to be a better place. But we can't do it alone. It doesn't work that way. We need you. If you can help today—because every gift of every size matters—please do. Without Your Support We Simply Don't Exist.

Public Citizen is a national, nonprofit consumer advocacy organization founded in 1971 to represent consumer interests in Congress, the executive branch and the courts.

Share This Article

More in: