Congress begins mapping financial reform

Reuters on Yahoo ^ | 10/21/08 | Kevin Drawbaugh

[NormsRevenge]

WASHINGTON (Reuters) – The long road to U.S. financial oversight reform began to take shape on Tuesday at a congressional hearing where many lawmakers clamored for more transparency in exotic debt securities.

With markets in turmoil over the worst financial crisis in generations, members of a House of Representatives committee sharply criticized bankers for a decade-long surge in leverage, risk and mortgage-lending abuses that produced a bonanza for a handful of elite investors, but a disaster for the economy.

As emergency measures to bail out banks and stabilize markets are implemented in the Bush administration's last days, Congress in the months ahead will tackle longer-term reforms likely to reshape the Washington-Wall Street relationship.

"Our financial regulatory system is broken and needs to be fixed," said New York Democratic Rep. Gary Ackerman.

A top goal must be to "never again have the taxpayers pay for Wall Street's mistakes," said Illinois Republican Rep. Judy Biggert at the House Financial Services Committee hearing.

Some committee members said they support forming a congressional select committee to deal with the issue.

"That's a reasonable idea," committee Chairman Barney Frank told reporters after the hearing.

[NormsRevenge]

a day late and a dollar short .. now we know how Custer felt.

[dr_who]

Barney Frank is the guy that the press party expects to fix our financial system. Doesn’t that make you feel better?

[NormsRevenge]

gives ya a real warm chrissy mathews feeeling all over.. yleeep

[FlyVet]

Last I heard, Barney Frank was still blocking reform of Fannie and Freddie, ACORN, and the Community Reinvestment Act.

Why are critters on the Banking Committee allowed to receive lobbying and campaign contributions from an industry they are charged with regulating and overseeing?

It doesn't take a genius to figure out this is totally corrupt. Legalized System of Bribes and Kickbacks.

I'm going to jail if I pull this crap, and so are you.

[mysterio]

I'm glad Bush and the dems are so excited about bailing out the banking industry. Unfortunately, the NSF grant that pays my salary didn't get renewed, so I'll be losing my job.

Just found out today. I guess I should have bought a lobbyist so that the government would print money for me.

[yongin]

Having Barney Frank fix the economy is like a wife beater hosting a Promise Keepers event.

[G-Man 1]

Like white water when the serial rapist clinton took office who fired all the attorney general lawyers, fannie and freddy will slowly disappear under nobamaIt's all Bushes fault.