On February 11, 1975, the Securities and Exchange Commission (SEC) announced that it will conduct a public proceeding and hold public hearings on whether it should require corporations to disclose information about "socially significant matters," and, in particular, about the environmental effects of corporate activities and about corporate fair employment practices.¹ The SEC has never before scheduled a formal public hearing to consider disclosures related to the interests of "ethical investors."² Nor has the SEC ever announced publicly that it is considering disclosure rules that are not primarily focused on disclosure and financial and economic information.

The public proceeding is being held in response to Judge Charles Richey's decision in Natural Resources Defense Council v. Securities and Exchange Commission,³ which directed the SEC to take rulemaking action within 120 days with respect to the environmental and civil rights issues raised by plaintiffs NRDC and the Project on Corporate Responsibility.