Last Wednesday, twenty-eight Members of the House of Representatives, led by Rep. Darrell Issa (R-CA), reintroduced the Financial Transparency Act (H.R. 1530). If enacted, the Financial Transparency Act would be the nation’s first RegTech law.
The bill would modernize the U.S. financial regulatory reporting process from unstructured documents into fully searchable, standardized, and machine-readable data. The bipartisan proposal directs the eight major U.S. financial regulatory agencies to adopt consistent data fields and formats for the information that they already collect from the private sector under existing securities, commodities, and banking laws.
“Passing the Financial Transparency Act would be a milestone for data transparency and the openness of public information," said Congressman Darrell Issa (R-CA). “What my previous legislation, the DATA Act, is doing to open up government spending through online, searchable and freely accessible data, the Financial Transparency Act would do for financial reporting information. Financial reporting often relies on cumbersome – and duplicative – paper or PDF reports that make it difficult for regulators and the public to track down the information they need. By updating the process to an open data standard for the information already reported to the nation’s eight financial regulatory agencies, we’ll be able to reduce regulatory burdens on businesses, give the public and investors better access to information, and boost our ability to find, and prevent, instances of fraud.”
Continue reading the Data Coalition's press release here.