Posted on 12/11/2014 12:29:07 PM PST by ConservingFreedom
WASHINGTON -- A last-minute addition to a giant spending bill that would ease a 2010 law that put restrictions on risky investments by banks after the 2008 economic crisis is threatening to derail the legislation.
A House procedural vote on the $1.01 trillion spending bill for the 2015 fiscal year almost went down to defeat via a 213-213 tie, until a Republican House member reversed his no vote to allow deliberations on the measure to continue. The bill had lost Democratic votes because of opposition to the language that changes safeguards in the 2010 Dodd Frank Law. The provision scaling back the safeguards was added by Republican lawmakers.
In the Senate, conservative Republican David Vitter of Louisiana joined with liberal Democrat Sherrod Brown of Ohio to demand the provision be struck from the bill.
The provision would remove language in Dodd Frank that forces banks to spin off risky derivative trading activities into units that aren't protected from government insurance programs for deposits.
"Ending too big to fail is a far from over," said Vitter who has previously teamed with Brown to fight against banks that are so big that their failure would hurt the economy so hard that it might force another government bailout.
"Before Congress starts handing out Christmas presents to the megabanks and Wall Street -- we need to be smart about this," Vitter continued. "Removing these risky derivatives that aren't even necessary for normal banking purposes is important, and Members of Congress need to rethink repealing this critical provision." [...]
(Excerpt) Read more at nola.com ...
The House provision is corporate welfare.
When banks lose money on bad investments, taxpayers are expected to cover their losses.
That’s the opposite of a free market.
The same big banks demand amnesty, and Obamacare. Screw em!
Translation: Decentralizes control of banks from the gummit.
Pray America is waking
” When banks lose money on bad investments, taxpayers are expected to cover their losses.”
They OWN the GOPe.
when is anybody going to stand up for the taxpayers, the real taxpayers who are not rich?
Allowing them to socialize their risk is not "decentralization."
don't think for one minute that Vitter would take a stand unless he knew he had covered his arse and his speaking out is just for show....
hiding your money under a mattress is maybe the best option for we rabble out here..
Opportunistic SOBs!
One of the rare instances where the interests of the Tea Party and the DUmmies intersect.
My greatest fear is that this country is about to elect the next Hitler on a promise to punish the banks.
‘This is not the thing to be slipped into the middle of a bill in secret, like some 8th grader guiltily sneaking a Playboy into his house. It can wait until next year and be done in the light of day if it is something good (which I doubt).’
+1
Are purposely trying to rile the FR’s resident capitalist shill? I sure hope so! ;-)
Likely it will go the other way. Remember what happened after Jimmy Carter’s disastrous term” Obama has often, and in many ways accurately, been compared to J. Carter. (Except in some areas Obama is far worse, obviously.) The pendulum tends to swing. We might just get a true conservative for the next term, God willing.
It is the bailouts that caused the Tea party to form, and now the GOPe is sneaking in the very thing that caused the banks to need bailouts. Right now Sen. Warren is out in front on this but we need to be right out there in the lead as well.
I find it interesting that it has to be ME who exposes these thugs.( 30 years in high finance)
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