Mississippi Representative Michael Guest made his mandatory stock trading report eight months late, which puts him in violation of the 2012 Congress Knowledge Stop Trading Act (STOCK Act), Business Insider reported.
According to Guest’s disclosure report, the Republican congressman bought between $ 1,001 and $ 15,000 of Exxon shares and sold between $ 1,001 and $ 15,000 of BP shares on January 22, but the clerk of the Chambre was not informed until October 22.
“October 22sd, 2021, I became aware of a stock transaction made by a family trust, ”Guest wrote in a comment on his disclosure report. “I don’t have a decision-making role in the trust; but my wife and sons are beneficiaries so i am required to report some details. I reported the transaction to the Clerk of the House on November 3, 2021 and paid the legal recourse of $ 200 late fees. “
As the second-longest-serving Republican on the House Ethics Committee, Guest is on the panel overseeing the enforcement of the STOCK law. Under the rule, members of Congress must report a stock transaction 30 days from the time they are notified of an imitated trade by them or their spouse.
The STOCK law aims to provide greater transparency on the sources of income of members of Congress. It also aims to show where they may have potential conflicts of interest. Forty-four members of Congress failed to properly report their transactions this year alone, according to Business Insider.
News week uncovered a number of transactions made earlier in the year by members of Congress that appeared to contradict their stated beliefs.
Congresswoman Lois Frankel has traded between $ 4,004 and $ 60,000 in shares in two of the country’s top greenhouse gas emitters, Duke Energy and Dominion Energy, in the past year. The disclosures from Congressman Ro Khanna included purchases of $ 30,000 to $ 100,000 of ExxonMobil and Chevron shares, as well as $ 3,003 to $ 45,000 of shares of Dominion Energy natural gas companies, Duke Energy and ConocoPhillips.
As members of the Progressive Caucus, these two join a group that seeks to “end our dependence on fossil fuels” and “recognize that environmental justice and economic prosperity must go hand in hand.”
When News week Contacted the two lawmakers, Khanna said the purchases were made in error by his wife’s financial manager and were sold soon after. Frankel said she did not manage her account and pointed to her “high marks from several national environmental groups” but did not promise to divest.
The issue of stock market transactions among Washington’s top policymakers remains a developing issue. At the end of October, the Federal Reserve announced its intention to implement new rules that would prohibit its key policymakers and senior executives from trading individual stocks. It remains to be seen whether Congress can institute similar rules.