Dodd-Frank Wall Street Reform and Consumer Protection Act
HR 4173, the so-called “Dodd-Frank Act”, was passed and signed into law in July 2010 (12 U.S.C. 53 et seq). The Act was created as a direct response to the 2008 US financial crisis, and establishes an extensive set of regulations to identify and address future financial risks to the US economy. The Act was designed to regulate the “too big to fail” financial institutions in the U.S. to prevent practices that were excessively risky and speculative.
Disclosure of Payments by Resource Extraction Issuers
Section 1504 of the Dodd-Frank Act instructs the Securities and Exchange Commission (SEC), through the Securities and Exchange Act (17 CFR 240.13q-1), to generate a rule requiring the discloser of payments to foreign and domestic governments made by private companies during the process of resource extraction. The intension of this rule is to prevent unscrupulous dealings between private companies and governments when mining for valuable resources in developing countries.
Pursuant of Section 1504, the SEC issued a Final Rule on July 27, 2016 titled “Disclosure of Payments by Resource Extraction Issuers” (81 FR 49359.) In this Rule, US and foreign companies engaging in commercial development of oil, natural gas, or minerals must publically disclose any payments made equal to or greater than $100,000 to the U.S. or a foreign government.
Public Law 115-4 repeals this Rule.