As first reported by The Washington Times, Congressman Pat Fallon (TX-04) recently introduced The Securing American Families and Enterprises (SAFE) from PRC Investments Act. Right now, Chinese companies benefit from a lack of regulatory oversight and have been given an unfair advantage over U.S. enterprises. This legislation would change that.
This bill would require covered issuers to disclose previously concealed relationships and transactions with the CCP. Exchange Traded Fund issuers must also disclose similar information on any Chinese stocks held in their portfolios. These disclosures are vital to secure investments. Ultimately, the legislation would build on the Holding Foreign Companies Accountable Act and makes clear the need to protect American investors and enterprises from shady People’s Republic of China investments.
Representatives Jake Ellzey (TX-10) and Ronny Jackson (TX-13) were original co-sponsors of this legislation.
Congressman Fallon issued the statement below:
“Today, China is the antithesis of the foundational values of our great nation. Freedom of religion, speech, press, free markets, and the free exchange of ideas are nonexistent. American markets and capital are currently being manipulated to fund historic military build ups by the Government of the People’s Republic of China (PRC).
My bill, The Securing American Families and Enterprises (SAFE) from PRC Investments Act, is the first step to strategic economic disentanglement from China. Retail investors and institutional investors alike must be made aware of the pernicious activities their dollars are funding. Dissuading investment in China begins with this knowledge. This legislation would lead to an America whose economy does not support our adversaries and is buffered from future economic fallouts caused by China’s command economy.”
Congressman Ellzey added:
“For too long, Chinese companies have benefited from a lack of regulatory oversight. The Securing American Families and Enterprises (SAFE) from PRC Investments Act takes the first step to ensure that American investors do not directly aid the Communist Party of China's military modernization, state surveillance, and human rights abuses. Transparency is crucial, and American investors have the right to know what their money is funding, how it is being used, and who is benefiting."