"Regulatory plan could strip SEC of some powers" by Robert Schmidt and Jesse Westbrook, Bloomberg News | May 21, 2009
WASHINGTON - The Obama administration may call for stripping the Securities and Exchange Commission of some of its powers under a regulatory reorganization that could be unveiled as soon as next week, people familiar with the matter said.
The proposal, still being drafted, is expected to give the Federal Reserve more authority to supervise financial firms deemed too big to fail. The Fed may inherit some SEC functions, with others going to other agencies, the people said. On the table: giving oversight of mutual funds to a bank regulator or a new agency to police consumer finance products, two people said.
Related: FDIC Takes on Fed
The 75-year-old SEC, chartered to oversee Wall Street and safeguard investors, has been blamed by some lawmakers and analysts for missing the incipient financial crisis and failing to detect Bernard L. Madoff's $65 billion Ponzi scheme.
See: Boston Globe Stays Mum On Madoff
Any move to rein in the agency would probably provoke a battle in Congress, which would need to approve the changes, and draw the ire of union pension funds and other advocates for shareholders. "It would be a terrible mistake," said Stanley Sporkin, a former federal judge and SEC enforcement chief. "Whatever the SEC has done or didn't do, it is still the premier investor protection agency around."
Which is why this economy is in such rough shape and why the American people where looted by that den of thieves on Wall Street.
SEC chairwoman Mary Schapiro's agency has been mostly absent from negotiations within the administration on the regulatory overhaul, and she has expressed frustration about not being consulted, according to people who have spoken with her. She has pledged to fight any attempt to diminish the SEC, they said....
Treasury Secretary Timothy Geithner was set to discuss proposals to change financial regulations last night at a dinner with National Economic Council director Lawrence Summers, former Fed chairman Paul Volcker, ex-SEC chairman Arthur Levitt, and Elizabeth Warren, the Harvard law professor who heads the congressional watchdog group for the $700 billion Troubled Asset Relief Program.
Look at all the crypto- or Zionist Jews.
Related: Censoring Larry Summers' Conflict-of-Interest
Levitt, in an interview yesterday with Bloomberg Television, said it's unlikely the SEC would be stripped of its responsibilities. Geithner yesterday told the Senate Banking Committee that financial "rules of the road" are needed to ensure against "manipulation, deception and abuse."
What a little piece of globalist s** he is!
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Related: Geithner the Liar
