Joe Nocera’s column Talking Business in today’s NY Times is interesting. It seems that the House subcommittee on financial institutions and consumer credit has summoned the great enemy, the great advocate for American consumers, Elizabeth Warren. Obama hired her last year to set up the new Consumer Financial Protection Bureau – he dared not appoint her director of the new agency because confirmation was very iffy. The banks don’t care for Ms. Warren you see. She won’t run interference for them and that’s just not right.
. . . the real purpose of the hearing: to allow the Republicans who now run the House to box Ms. Warren about the ears. The big banks loathe Ms. Warren, who has made a career out of pointing out all the ways they gouge financial consumers [us] — and whose primary goal is to make such gouging more difficult. So, naturally, the Republicans loathe her too. That she might someday run this bureau terrifies the banks. So, naturally, it terrifies the Republicans.
. . . rather than waiting until July to start helping financial consumers, Ms. Warren has been trying to help them now. Can you believe the nerve of that woman? . . . at the request of the states’ attorneys general, all 50 of whom have banded together to investigate the mortgage servicing industry in the wake of the foreclosure crisis, she has fed them ideas that have become part of a settlement proposal they are putting together.
She’s a hero and as clean as they come. You go Elizabeth, you go.
Posted in Congress critters, corporate power, economy, Government, Meet the 112th!, Politics
Tagged banking, consumer credit, Consumer Protection, Elizabeth Warren, financial reform, Joseph Nocera, Wall Street
Following up on my earlier post, this morning Washington Monthly gives us a nice summary of the outcome. (clipped from the NY Times story – link in the clip):
MARATHON SESSION LEADS TO BREAKTHROUGH ON WALL STREET REFORM…. It wasn’t easy, it wasn’t quick, and it wasn’t pretty, but seemingly-endless negotiations have produced a sweeping Wall Street reform package ready to be approved by both chambers.
Nearly two years after the American financial system teetered on the verge of collapse, Congressional negotiators reached agreement early Friday morning to reconcile competing versions of the biggest overhaul of financial regulations since the Great Depression.
A 20-hour marathon by members of a House-Senate conference committee to complete work on toughened financial regulations culminated at 5:39 a.m. Friday in agreements on the two most contentious parts of the financial regulatory overhaul and a host of other provisions. Along party lines, the House conferees voted 20 to 11 to approve the bill; the Senate conferees voted 7 to 5 to approve.
Members of the conference committee approved proposals to restrict trading by banks for their own benefit and requiring banks and their parent companies to segregate much of their derivatives activities into a separately capitalized subsidiary.
Sen. Mike Johanns (R-NE) is on CSpan and he’s deeply worried that we are going to chase all our derivates business off shore because our regulations are going to be sooooooo unfair. Why, these companies exposed themselves to HUGE risks, he says, and we need to keep that kind of spirit in the U.S.
Johanns is a new Senator; he’s a former Governor.
He thinks financial reform legislation was doing fine until Obama and the Democrats got involved in the process. The more he talks, the angrier he’s making me and that’s not the right way to start a day.
He is an idiot.