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senate Bill S. 214

Shareholder Protection Act of 2015

Bill Details

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Title

Shareholder Protection Act of 2015

Official Title

A bill to amend the Securities Exchange Act of 1934 to require shareholder authorization before a public company may make certain political expenditures, and for other purposes.

Summary

Shareholder Protection Act of 2015 Amends the Securities Exchange Act of 1934 to require that any solicitation of a proxy, consent, or authorization with respect to any security of an issuer: (1) describe the specific nature (to the extent known) and total amount of expenditures proposed for political activities for the forthcoming fiscal year but not yet authorized by a vote of the issuer's shareholders, and (2) provide for a separate shareholder vote to authorize such proposed expenditures. Prohibits an issuer from making an expenditure for political activities in any fiscal year unless: (1) such expenditure is of the nature of those proposed by the issuer according to the requirements of this Act, and (2) authorization for such expenditure has been granted by votes representing a majority of outstanding shares. Deems a violation of this requirement to be a breach of the fiduciary duty of the officers and directors who authorized such expenditure. Subjects officers and directors who authorize the expenditure without prior shareholder authorization to joint and several liability to any shareholder or class of shareholders for the amount of such expenditure. Requires certain institutional investment managers to disclose annually in mandatory reports how they voted (proxies) in certain shareholder votes. Prohibits any person from bringing any civil, criminal, or administrative action against an institutional investment manager, or any of its employees, officers, or directors, based solely upon the investment manager's decision to divest from, or not to invest in, securities of an issuer because of expenditures for political activities made by that issuer. Requires the Securities and Exchange Commission (SEC) to direct the national securities exchanges and national securities associations to prohibit the listing of any equity security of an issuer whose corporate bylaws do not expressly provide for a vote of the issuer's directors on any individual expenditure for political activities in excess of $50,000. Requires an issuer to make public, within 48 hours, the individual votes of the directors regarding any such expenditure. Directs the SEC to: (1) require issuers to disclose expenditures for political activities made during the preceding quarter and the individual votes by board members authorizing such expenditures, and (2) make such reports publicly available through the SEC website. Requires the SEC to make annual assessments of the compliance by public corporations and their management with the reporting and disclosure requirements of this Act, and the Comptroller General to evaluate periodically the effectiveness of SEC oversight of these requirements.

bill Progress


  • Not enacted
    The President has not signed this bill
  • The house has not voted
  • The senate has not voted
      senate Committees
      Committee on Banking, Housing, and Urban Affairs
    IntroducedJanuary 21st, 2015
    Politics is separate from investing. People care about how money impacts politics. If you really stand for something, own it and disclose it
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    Any oversight of money from corporations to politicians is a move in a positive direction. Get the money out of Washington.
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    This is an important step to regulate corporate money in campaigns and would give shareholders real power to shape the political ambitions of the companies in which they hold stake.
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    Investment firms and companies shouldn't be donating to political campaigns anyway otherwise yes they should have ALL investors AGREE to contribute BEFORE one dime is given and not before EACH investor, no matter if they only have one share, agrees.
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    Get outside money out of politics. Seriously, there are more restrictions on NCAA athletes on receiving money and/or free meals than there are on money in politics.
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    tell the shareholders who they are politically donating to!
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    Whoa back the truck up lol, two things that I seen that I don't mix. Shareholders and politics. How is this even a good thing. One thing I am certain of, money influences power. I am passionate about money in politics because it has always shown us it leads to corruption,greed and abuse of power to any agenda that has the funds to push over the People's will. Same thing for these unknown mega campaign donors. It is sickening, repugnant, deceitful, and we should all agree money shouldn't always be at the forefront of our lives. Especially when it comes to our officials
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    Shareholders should be informed of any political contributions made by the corporation
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    Shareholders should be informed on any actions beyond what the company is established for.
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