Sen. Elizabeth Warren and other Senate Democrats stridently criticized Securities and Exchange Commission Chairwoman Mary Jo White Tuesday, faulting her in an oversight hearing for failing to require companies to disclose more information to investors, especially regarding political activities.
“A year ago I called your leadership at the SEC extremely disappointing. Today, I am more disappointed then ever,” Warren said at a Senate Banking Committee hearing, accusing White of doing big business’ bidding in updating disclosure rules.
“I’m disappointed in your disappointment,” White replied, “and could not disagree any more with your characterization of what we’re trying to do.”
Warren, a Massachusetts liberal known for her opposition to Wall Street influence in government, objected to the SEC’s efforts to streamline investor disclosures, a process that could lead to some reductions in required disclosures, suggesting that the effort was a Chamber of Commerce-backed effort to protect companies that investors are not interested in.
Other Democrats aired more grievances, especially regarding the SEC’s decision not to advance a rule requiring corporations to disclose contributions to political nonprofits.
“You are hurting America. You are hurting America,” said Sen. Charles Schumer, D-N.Y.
“A few powerful people can send cascades of money into our political system,” Schumer said, referring to the billionaries Charles and David Koch and the political group headed by former George W. Bush aide Karl Rove. “And you frankly are aiding and abetting it.”
Earlier in the hearing, Sen. Jeff Merkley, D-Ore., took White to task for leaving the political disclosure rulemaking off the agency’s agenda.
“This is an issue that goes to the core of who we are as a country, that people cannot spend your money on political speech without telling you how the hell they’re spending it,” he told her.
“For you to unilaterally remove it from the rulemaking agenda was an egregious affront to these core issues of our republic.”
Democrats have placed greater stress on political disclosure rules in recent months. In April, Democrats on the Banking Committee temporarily held up two nominees to the commission because they would not explicitly back the rule they favored.
