Elisse Walter of the Securities and Exchange Commission told reporters yesterday that her agency would be looking to allow shareholders a more direct means of nominating directors, according to Reuters. The commissioner said that access should be increased and made less restricted according to share volume control.
“I would like the commission to act with respect to proxy access as soon as it can,” said Walter, who predicted an SEC revision of proxy rules this year. Walter is a Democrat who had held the commissioner seat since January 2008.
The traditional means of nominating directors—only following a successful proxy battle—has long been maligned by shareholder activists who protest that such a system is too restrictive on minority company owners. Corporate directors generally support the existing system, as it largely prevents activists from rocking the boat.
SEC chairman Mary Schapiro has also made clear her stance on the issue, having told Congress that U.S. regulators should follow the lead set by other countries that allow smaller shareholders access to the proxy document.