revision
05-28-2009, 06:46 AM
US plans new agency to control banking system
Thu, 28 May 2009 06:12:14 GMT
http://www.presstv.com/detail.aspx?id=96256§ionid=3510213
Senior US administration officials are close to recommending that the Congress create a single agency that controls and regulates the banking industry.
The new agency that would be formed under the overhaul of financial regulation could replace the controlling body of the Federal Reserve as well as three federal agencies: the Office of the Comptroller of the Currency (OCC), the Office of Thrift Supervision (OTS) and the Federal Deposit Insurance Corp. (FDIC), the Wall Street Journal reported late Wednesday, citing three unnamed people familiar with the matter.
The move -- which will be announced in the next few weeks -- comes as the current agencies failed to thwart US banks from spiraling into the current financial downturn.
"The president is committed to signing a regulatory reform package by the end of the year, and officials at the White House and the Treasury Department are continuing work with Congress on the final phases of a proposal, but there is no final proposal in place and any announcement will not be for a couple of weeks," White House deputy spokesman Jennifer R. Psaki said.
Officials also favor the creation of a new agency to enforce laws protecting consumers of financial products such as mortgages and credit cards.
The idea of creating a single banking regulator has in the past circulated on Capitol Hill from time to time; Former Treasury Secretary Henry M. Paulson Jr. last spring proposed a similar plan.
The new plan encompasses other features as well, but the sources were not willing to discuss more detail.
Thu, 28 May 2009 06:12:14 GMT
http://www.presstv.com/detail.aspx?id=96256§ionid=3510213
Senior US administration officials are close to recommending that the Congress create a single agency that controls and regulates the banking industry.
The new agency that would be formed under the overhaul of financial regulation could replace the controlling body of the Federal Reserve as well as three federal agencies: the Office of the Comptroller of the Currency (OCC), the Office of Thrift Supervision (OTS) and the Federal Deposit Insurance Corp. (FDIC), the Wall Street Journal reported late Wednesday, citing three unnamed people familiar with the matter.
The move -- which will be announced in the next few weeks -- comes as the current agencies failed to thwart US banks from spiraling into the current financial downturn.
"The president is committed to signing a regulatory reform package by the end of the year, and officials at the White House and the Treasury Department are continuing work with Congress on the final phases of a proposal, but there is no final proposal in place and any announcement will not be for a couple of weeks," White House deputy spokesman Jennifer R. Psaki said.
Officials also favor the creation of a new agency to enforce laws protecting consumers of financial products such as mortgages and credit cards.
The idea of creating a single banking regulator has in the past circulated on Capitol Hill from time to time; Former Treasury Secretary Henry M. Paulson Jr. last spring proposed a similar plan.
The new plan encompasses other features as well, but the sources were not willing to discuss more detail.