Washington, DC— Congressman Jim Himes (CT-04) applauded the House of Representatives passage of the Corporate Improvement and Investor Protection Act which requires companies to disclose key information to enable investors to make informed decisions with their money. The package included Himes’s bill, the Cybersecurity Disclosure Act, which requires companies to disclose their efforts on cybersecurity. As bad actors increasingly turn to cybercrime in industries varying from fuel supply to food supply, ensuring cybersecurity expertise at the Board of Directors level in public companies is vital.
“Every day, we wake up to news of another business falling victim to a cyberattack. These attacks will only get worse unless we make serious changes, and that includes making cybersecurity a focus at the Board level. I’m pleased the House passed my legislation to ensure investors have the knowledge they need about public companies’ cybersecurity posture to make informed decisions.”
The Corporate Improvement and Investor Protection Act also requires disclosures on:
- information relating to the financial and business risks associated with climate change
- political activities, including independent expenditures, electioneering communications, and dues to trade organizations
- total pre-tax profits, and total amounts paid in state, federal, and foreign taxes, which would reveal companies’ use of tax havens
- pay raise percentage of its executives and the pay raise percentage of its median employee, shedding light on racial and gender pay gaps
- additional environmental, social, and governance (ESG) metrics
On June 11th, the Securities and Exchange Commission proposed a rule requiring disclosures on cybersecurity risk, climate risk, human capital, including workforce diversity and corporate board diversity. Click here to learn more.
For more information, contact Elena Radding at Elena.Radding@mail.house.gov.