New SEC Statement Gives Partial Relief Under Conflict Minerals Rule

April 17, 2017

On April 7, 2017, the SEC Division of Corporation Finance released a statement that offers partial relief to some issuers required to make filings under the Dodd-Frank mandated conflict minerals rule, although it doesn’t go as far as some had hoped.

The Division’s new guidance states that “it will not recommend enforcement action to the Commission” if companies only file disclosure under Item 1.01(a) and (b) of Form SD, even if they are subject to Item 1.01(c). Effectively, this means that a company otherwise required to conduct detailed due diligence and prepare and file a conflict minerals report could choose not to do so and instead only file a brief Form SD. The deadline for filing Form SD for 2016 is May 31, 2017.