Banking and Financial Reform BROAD POLICY: Established the National Commission on Fiscal Responsibility and Reform. ref Established President’s Advisory Council on Financial Capability to assist in financial education for all Americans. ref, ref , ref Restoring American Financial Stability Act of 2010. ref, ref Dodd-Frank (DF) Wall Street Reform and Consumer Protection Act, the biggest financial reform law since the Great Depression. ref Managed the Troubled Asset Relief Program (TARP) ref Assigned a Special Inspector General for the Troubled Asset Relief Program Act of 2009. ref Pension relief Act of 2010. ref Fraud Enforcement and Recovery Act. ref, ref Played a lead role in G-20 Summit re: financial crisis. ref Reformed deferral rules to curb tax advantages for investing overseas. ref Established new offshore investment policy that promotes in-sourcing. ref, ref FUNDING: Cut salaries for 65 bailout executives (Pay Czar). ref Banks have repaid 75% of TARP funds, bringing the cost down to $89B as of June 2010. ref Closed offshore tax safe havens, tax credit loopholes. ref , ref , ref TARGETED ACTIONS: Created the Financial Stability Oversight Council to monitor stability of the financial system and individual firms (DF). ref New requirements for reporting financial data (DF). ref Created self-funded Office of Financial Research (OFR) to collect information from financial firms (DF). ref OFR employees must wait a year before working for certain financial firms. ref Provided for orderly liquidation of financial companies (DF). ref Limited trading activities of banks (Volcker Rule) beginning 2 yrs after And all this for teh protection of teh consumerpassage (DF). ref RAS NOTE... And all for u people. To keep the wheeler dealers honest w ur money. Swaps Pushout Rule prevented federal assistance to swaps (including derivatives) traders (DF). ref Derivatives must be traded transparently through a clearing house (DF). ref Defined the amount and nature of assets required to meet capital requirements (DF). ref Originators of asset-backed securities must retain 5% ownership/risk (DF). ref Bureau of Consumer Financial Protection (DF). ref Stronger client fiduciary duty for broker-dealers (DF). ref Higher standards for securities advertising and disclosures (DF). ref Expanded “insider loans” (DF). ref Higher standards for sytemically important ($50 billion assets+) institutions, including annual stress tests and restrictions on bank acquisitions (DF). ref Executive compensation must be determined by an independent committee (DF). ref Issued compensation guidelines for bank executive salary and bonuses. ref , ref Financial agencies must establish Offices of Women and Minorities to promote more diverse hiring (DF). ref Credit Card Accountability, Responsibility and Disclosure Act. ref, ref Credit CARD Technical Corrections Act of 2009. ref Established a credit card bill of rights. ref Reformed credit card swipe fees. ref Created new criminal penalties for mortgage fraud. ref Congress pursued Goldman Sachs for securities violations. ref Permanently extended Research and Experimentation Tax Credit for domestic investments. ref RESULTS: (Treasury) Sold 1.5 billion shares of Citigroup at a profit. ref G-20 summit produced a $1.1 trillion deal to combat the global financial crisis. ref Negotiated deal with Swiss banks to permit US government to gain access to records of tax evaders and criminals. ref Financial reform has ‘strongest consumer financial protections in history.
Posted on: Sat, 22 Jun 2013 18:18:05 +0000
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