McCain calls for firing of SEC Chairman (Chris Cox)

Marketwatch ^ | 091808 | Russ Britt

[Lions Gate]

Good move by John McCain to demand that Chris Cox be fired!

The SEC (Securities & Exchange Commission) is unquestionably partially responsible for the recent volatility and drop in the stock markets. They have done a terrible job protecting American investors and need to be reprimanded loud and clear by the Senate Banking Committee.

Here are some of the most glaring problems with the SEC that need to be addressed immediately:

1) On, July 6, 2007 the SEC got rid of the Uptick Rule regulating short sellers which had been in place since 1938 because of short selling bear raids during the Great Depression. Since the Uptick Rule was taken out, the volatility on the stock market has increased by 70% as measured by the VIX Index.

2) On November 2, 2007 the SEC allowed the NYSE to get rid of the Program Trading Curbs that had been in place since the 1987 stock market crash. The NYSE formerly implemented a curb on program trading whenever the NYSE Composite Index moved 190 points or more from its previous close, and permitted program sales to be executed only on upticks and program buys on downticks.

3) The SEC (effective today) has FINALLY passed a ruling to stop the abusive and criminal practice of Naked Short Selling, which is simply counterfeiting the shares of publically traded stock. WHY DID THIS TAKE UNTOLD YEARS AND A FINANCIAL CRISIS TO FINALLY BE DONE?

These are major problems that NEED TO BE FIXED IMMEDIATELY BY THE SEC. These problems have resulted in a massive amount of increased volatility and instability in the equity markets, reducing the net worth of American investors, driving companies out of business, substantially raising the cost of capital, and costing American taxpayers billions in government funded bailouts.

Because the SEC is regulated by the Senate Banking Committee, I urge FReepers to please email and write members of the Senate Banking Committee demanding that the SEC reinstate the Uptick Rule and Program Trading Curbs, and make sure that the criminal practice of Naked Short Selling is truly stopped once and for all.

In addition, a full investigation needs to be made and some heads definitely need to roll at the SEC for their gross incompetence.

[perfect_rovian_storm]

If that’s the statement (which btw contains nothing from the McCain campaign at all), we’re doomed.

I assume that there is more. I know he spoke up on it yesterday, but we’re talking about a campaign that was firing on all cylinders last week and has basically shut the engine off this week.

[perfect_rovian_storm]

Depends on how feckless the campaign is actually being. They have gone from kicking butt to laying down waiting to get run over in the course of a few days.

[Danae]

Obama’s “Advisors” RAN Fannie Mae and Freddie Mac! They are the ones, along with a few others, that CAUSED this whole debacle. Thats who is giving Obama his direction. That alone is ABHORRENT! If nothing else, it tells us that with Obama we can expect more of the same.

[SJackson]

I call for firing of McCain if he can’t grow some gonads and attack his opponents instead of attacking everyone else on planet earth.

Better yet, do both.

McCain goes on offense, links Obama to credit crisis

[perfect_rovian_storm]

Yes, thank God. He’s really taking control of the news cycle with that statement. It’s been all they talked about since he said it.

[Osage Orange]

There's enough blame to go around on this one....and IMO, that's why both sides are jigging around the core of the problems.

If the pure truth was known...both Parties will/would be exposed....And unfortunately, that probably won't happen.

I am convinced that TERM LIMITS...is the only way.

Surprised really....that very few people see this.

[Danae]

I disagree. The stock Market didn't crash last week. That has dominated the news cycle. And what are Dims saying about it? “Uh... we don't know what to do...” That Quote came off the McCain site, the link is right there for you to click, try it. What the Campaign is saying that you are refusing to hear: “They don't know what to do, we do. Start with firing Cox”

How hard is that to see and hear?

[Reagan Man]

I guess Greenspan can be blamed for pushing easy credit and the subprime factor. The Home Ownership and Equity Protection Act Congress passed in 1994 was fairly frivolous legislation. Its been pointed out that Carter started the original program to make loans more available to poor folks. Then in the 1990`s Clinton enlarged that program. It was Franklin Raines as head of Fannie Mae in 2002 who actually pushed through easier loans for low income Americans. Wall St CEO’s are also to blame for pushing bad lending practices.

Its a financial crisis. A credit crunch fiasco brought on by greed. Many people are to blame. A wise conservative once said: Government isn't the answer to our problems. Government is the problem.

[jwalsh07]

I’m fine with that. President Bush is also behind the curve again. He needs to do a prime time address and explain just WTF is going on to the masses who are cluelss. And yes I understand that he isn’t sure where this is all going but he needs to explain where we’ve been and how we got here. He can start with the Community Reinvestment Act.

[jwalsh07]

Greed isn’t the root cause of this fiasco. The housing bubble has long tentacles which have given the “greedy” plenty of room to run amok. Cheap money, zero equity and compassionate home ownership are this years root cause.

[nclaurel]

Did you see the rally? He said Obama was #2 recipient of FM/FM money and that Raines, who BTW earned $90 million there in 6 year, was advisor to Obama.

[Constitutions Grandchild]

I’d like to nominate Barney Frank for a position in the hot seat.

[petercooper]

bttt

[perfect_rovian_storm]

I’ve read it over now. I’m glad he’s finally getting on this. They have been very slow on the uptake here. Some of that might have been by design to bait Obama out on a limb, but forgive me if I get nervous when the biggest RINO in the senate starts acting like himself again...

[Constitutions Grandchild]

While I'm thinking of it, I'd also like to nominate ACORN, Mr. Greenspan, Presidents Clinton and G.W. Bush. Let's also not forget dishonorable mention of the CEOs of Freddie Mac, Fanny Mae, the Treasury Department, AIG, Lehman Broth., Merrill-Lynch, Morgan Stanley — all of whom refused to police themselves and their employees and forced products down the throats of their brokers. Go along or be left behind and disenfranchised — that's their motto.

There's enough blame to go around BELIEVE ME. So, all of us who have been good credit risks, paid our bills, taxes and may need credit now that the world they created is falling apart, will do without for an entirely different reason.

The people responsible for this mess (whom we elected because we couldn't afford to quit our jobs and do it ourselves) have absolutely no idea what to do about it. For the first time in my life, I'm looking around and finding out that I must do it myself — NO BODY, I mean NO BODY is capable of doing it for me.

[BARLF]

Christopher J. Dodd Chairman (D-CT)

Richard C. Shelby Ranking Member (R-AL)

Tim Johnson (D-SD)

Robert F. Bennett (R-UT)

Jack Reed (D-RI)

Wayne Allard (R-CO)

Charles E. Schumer D-NY)

Michael B. Enzi (R-WY)

Evan Bayh (D-IN)

Chuck Hagel (R-NE)

Tom Carper (D-DE)

Jim Bunning (R-KY)

Robert Menendez (D-NJ)

Mike Crapo (R-ID)

Daniel K. Akaka (D-HI)

Elizabeth Dole (R-NC)

Sherrod Brown (D-OH)

Mel Martinez (R-FL)

Robert P. Casey (D-PA)

Bob Corker (R-TN)

Jon Tester (D-MT)

[adorno]

McCain calls for firing of SEC Chairman McCain is about to snatch defeat from the jaws of victory. After a good convention, and a good two weeks in the polls, he has allowed Obama to tag him as out of touch and as part of the problem with what ails the economy. Why haven't McCain and Palin come out with the facts on the reasons for the failure of Fannie and Freddie? The historical facts about the reasons for those failures can be traced back to the Clinton policies and the Clinton cronies who were installed in leadership positions in those organizations.

So, Obama goes on the attack, and with no defense on the McCain side, Obama starts gaining in the polls. Obama is playing hardball while McCain is playing stickball.

Question to McCain: If you can't stand up to Obama and the lies from his side, how can we expect you stand up to our enemies abroad, and the corruption that is so rampant with so much of our government, including that within our congress?

[BARLF]

U.S. Senate Committee on Banking,Housing and Urban Affairs.

http://banking.senate.gov/public/index.cfm?FuseAction=Information.Membership

Sorry, should have attached to above list of members.

[Constitutions Grandchild]

Yeah, them. I want every one of them to get a place at the table before us, the folks who will work another quarter to pay for their malfeasance. Add them to my list.