Dems Take Aim at Lawmakers' Potential for Insider Trading

[RamboLiberal]

Source: ABC News

Democratic lawmakers are pushing a new bill that would bar members of Congress from using their inside knowledge of congressional action to profit from investments. But experts doubt the move.

The bill, reintroduced Wednesday by Reps. Louise Slaughter, D-N.Y., and Brian Baird, D-Wash., would ban lawmakers from using nonpublic information to buy and sell stocks. Slaughter said that since members of Congress have access to market-moving information before the public does, "the potential for abuse is very real."

Slaughter pointed to the 2005 Securities and Exchange Commission probe into whether someone in former Senate Majority Leader Bill Frist's office shared inside information with Wall Street investors. Stock prices of some companies with asbestos-related liabilities rose just before Frist proposed a $140 billion public trust fund for asbestos liability claims.

Frist has denied any wrongdoing. An SEC spokesman refused to comment on the probe or Slaughter's pending legislation.



Read more: http://blogs.abcnews.com/theblotter/2007/05/ems_take_aim_at.html

[Donnachaidh]

1. now THAT would be a hornet's nest worth watching!

If that bill even sees the light of day I'll be surprised.

[salin]

2. Good!

They should not be able to use insider information to get rich - in any job, member of congress - part of a corporate board or any other way one has inside info. Period.