A move reportedly under consideration by the Trump administration to suspend a rule requiring companies to disclose their source for gold and other potential “conflict minerals” could enrich abusive armed groups in Africa.  Suspension of the rule, known as Dodd-Frank 1502, would undermine positive efforts to eliminate conflict minerals from the supply chain of major companies. The trade in these minerals has enriched abusive armed groups in Congo and neighboring countries, Human Rights Watch said.

“If the Trump administration wants to ‘drain the swamp,’ it makes no sense to undermine companies trying to keep money out of the hands of abusive thugs,” said Arvind Ganesan, business and human rights director at Human Rights Watch. “Leading companies have embraced the rule and proven that it works.” This effort would suspend the implementation of 1502 for two years and may portend an effort to repeal the Dodd-Frank law that underpins it. Suspension would create a competitive disadvantage for responsible companies and benefit others that do not want to disclose their sourcing to deter the trade in conflict minerals, Human Rights Watch said.

The United States would also become a laggard on global efforts to halt the trade in conflict minerals if the rule was suspended. The European Union is considering a similar rule, and the Organization for Economic Cooperation and Development (OECD) has developed a guidance that encourages similar efforts...