Posted on 07/18/2011 7:40:34 AM PDT by Rational Thought
On the surface, it looks like the Dodd-Frank financial oversight law is in trouble. U.S. regulators are months behind schedule in rulemaking, Republicans have succeeded in holding agency funding hostage, and odds are good that the business community will win its first court challenge to an important provision.
On top of that, Republicans and Wall Street titans are selling a doomsday scenario of Dodd-Frank killing the struggling economic recovery. Behind the scenes, though, a sort of acceptance is setting in.
"There are people who are... using budget conversations and other delay-type of activities to water down or substantively change Dodd-Frank. But I'd say the majority of people are saying, 'It is what it is,"' said Todd Groome, the chairman of the Alternative Investment Management Association, a global hedge fund industry group.
(Excerpt) Read more at cnbc.com ...
Dodd-Frank is having a negative impact on an already sickly financial industry and (apparently) with little argument from the Republican Party.
Will this same Republican Party act in a similar manner in fighting against Obamacare?
Dodd-Frank, like Obamacare, is bad legislation and needs to be rescinded.
Admin, can you fix the title?
Well at least the culprits’ names are all over the legislation. It will give objective historians a place to start looking for the villains.
“Dodd-Frank”...enough said, I don’t trust it.
The Act is categorized into sixteen titles and by one law firm’s count, it requires that regulators create 243 rules, conduct 67 studies, and issue 22 periodic reports
The Financial Stability Oversight Council has ten voting members:
1.Secretary of the Treasury (chairs the Council)
2.Chairman of the Federal Reserve
3.Comptroller of the Currency
4.Director of the Bureau of Consumer Financial Protection
5.Chairperson of the U.S. Securities and Exchange Commission
6.Chairperson of the Federal Deposit Insurance Corporation
7.Chairperson of the Commodity Futures Trading Commission
8.Director of the Federal Housing Finance Agency
9.the Chairman of the National Credit Union Administration Board
10.an independent member (with insurance expertise), appointed by the President, with the advice and consent of the Senate, for a term of 6 years.
There are five non-voting advisory members who may go into the equivalent of executive session when discussing confidential supervisory information:
1.Director of the Office of Financial Research (part of the Treasury Department and established in this Act) who is the Council’s executive director
2.Director of the Federal Insurance Office (part of the Treasury Department and established in this Act)
3.a state insurance commissioner, to be designated by a selection process determined by the state insurance commissioners (2-year term)
4.a state banking supervisor, to be designated by a selection process determined by the state banking supervisors (2-year term)
5.a state securities commissioner (or officer performing like function) to be designated by a selection process determined by such state security commissioners (2-year term)
Resources
The Federal Advisory Committee Act, which limits the powers of advisory committees, does not apply to the council. The council has an almost unlimited budget in that the Council may draw on virtually any resource of any department or agency of the Federal government.
Authority
The Council has very broad powers to monitor, investigate and assess any risks to the US financial system. The Council has the authority to collect information from any State or Federal financial regulatory agency, and may direct the Office of Financial Research, which supports the work of the Council, “to collect information from bank holding companies and nonbank financial companies”.
http://en.wikipedia.org/wiki/Dodd%E2%80%93Frank_Wall_Street_Reform_and_Consumer_Protection_Act
Bachmann Moves to Repeal Dodd-Frank Finance Law
Thursday, 06 Jan 2011
“I’m pleased to offer a full repeal of the job-killing Dodd-Frank financial regulatory bill,” Bachmann said. “Dodd-Frank grossly expanded the federal government beyond its jurisdictional boundaries. It gave Washington bureaucrats the power to interpret and enforce the legislation with little oversight.”
Among other things, the law created new agencies, such as the Financial Stability and Oversight Council, the Office of Financial Research, and the Consumer Financial Protection Bureau, all endowed with sweeping regulatory and enforcement power over financial institutions. The law also gave regulators new powers to pursue fraud and conflict of interest.
The law covers a vast array of financial institutions from small banks and thrifts to the insurance industry and giant Wall Street traders. Edward L. Yingling, president and CEO of the American Bankers Association, said the measure contains a “tsunami of new rules and restrictions for traditional banks that had nothing to do with causing the financial crisis in the first place.”
“Implementation of this legislation will be challenging for regulators,” he said when the measure was signed into law. “The result will be over 5,000 pages of new regulations on traditional banks and years of uncertainty as to what the massive new rules will mean. The impact of these rules will be very real and will be felt not only by banks, but by consumers, businesses and the broader economy.”
Bachman said Dodd-Frank also failed to address the taxpayer-funded liabilities of Fannie Mae and Freddie Mac.
“Real financial regulatory reform must deal with these lenders who were a leading cause of our economic recession,” she said. “True reform must also end the bailout mind-set that was perpetuated by the last Congress. I am proud to work towards repeal of Dodd-Frank because Congress must protect the taxpayers, instead of handing out favors to Wall Street.”
Co-sponsors of the legislation, which the Club for Growth and Americans for Prosperity, endorsed, include Reps. Darrell Issa, R-Calif.; Todd Akin, R-Mo.; Tom McClintock, R-Calif.; and Bill Posey, R-Fla.
Its amazing to me that after Frank’s debacle with Fannie/Freddie, any congressman would vote for any legislation with Frank’s name on it.
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