The U.S. House Thursday passed a controversial measure to streamline companies’ reporting to the Securities and Exchange Commission sponsored by Rep. Ann Wagner, part of an election-year Republican reform push that rekindled partisan divides over financial regulations.
The bill, which is aimed at drastically reducing the paperwork that companies seeking investors have to provide to the SEC, faces a potential veto by President Barack Obama, according to House Democrats. It passed by a largely party-line vote of 236-178.
Wagner, R-Ballwin, said her “Accelerating Access to Capital Act” would reduce costs for startups or companies that want to expand, and would have saved one St. Louis company $225,000 in legal and accounting costs.
Democrats said the bill would be a dangerous rollback of safeguards intended to protect investors.
Read more: St. Louis Post-Dispatch