(Senator) Schumer Tells Wall Street More Regulation Is On the Way

[sabra]

Source: WSJ

Sen. Charles Schumer told the investment and banking community today to expect stepped-up regulation, potentially a financial super-regulator, from President-elect Barack Obama’s administration and the Democratic-led Congress.

Speaking at a conference in New York held by a financial sector trade and lobby group, Schumer said he expected to see the Treasury Department run by officials that have “an understanding of business and (are) pro-regulation.” The New York senator said he expected Obama to appoint “someone in the mold of” Clinton Treasury Secretary Lawrence Summers or New York Fed President Timothy Geithner, if not one of those two men. (Click here for a Wall Street Journal story on the two men.)

Schumer, a New York Democrat, is expected to play a big role in overhauling financial sector regulation as a member of the Senate Banking Committee. He decried the current overlap and gaps in regulation, calling troubled American International Group–whose federal rescue Treasury is now restructuring–an “example of our fractured regulatory system” where “no one is at home, looking over their shoulder.”

He said investment banks, hedge funds and insurers should expect tough new regulations from Democrats, saying that while commercial banks “are supervised closely” those institutions were regulated “lightly” which “leaves us needing significant and large reform.”

Read more: http://blogs.wsj.com/washwire/2008/11/10/schumer-tells-wall-street-more-regulation-is-on-the-way/

[RUMMYisFROSTED]

1. There better fucking be.

[nyc 4 Biden]

2. That's my Senior Senator laying down the law.

Now they just have to stay strong. There will be a lot of very special interests that will try and stave off the new regulation.

[Elidor]

4. He's not laying down the law

He's warning his buddies on Wall Street that he has to look tough now.

[nyc 4 Biden]

7. tomayto.. tomahto

Hey, I was happy living in my ideal world. Leave me be. ;-)

[dkofos]

3. And it better be tough!!

[defendandprotect]

5. Talkin' tough ...let's see what actually happens. Thanks for Mukasey, Shumer--!!!

Was that helpful, or what--??

[safeinOhio]

6. "Supply side" out. "Minsky moment" in.

I'd fire anyone on WS that argues with that.