Chuck Baldwin for President 2012

[NYBob]

Is Obama an elitez 100%bolshevikz nwo pawn clown? -
giving it all for the elitez fed banksterz and
doing absolute nothing for the people? -
Administration calls for financial system overhaul
15 minutes ago
By MARTIN CRUTSINGER
AP Economics Writer

(AP:WASHINGTON) The Obama administration says it is committed to
overhauling the country's financial rule book
by giving the Federal Reserve increased powers
to guard against the
types of risks
that could bring down the entire system.

All large institutions whose failure could threaten the stability of the financial system will be subjected to regulation by the Fed, administration officials said. The proposal also would create a council of regulators with broad coordination responsibility across the financial system.

The officials also said the administration will offer a stronger framework for investor protection, including increased oversight of consumer products ranging from credit cards to annuities.

Speaking in New York on Monday, Treasury Secretary Timothy Geithner said the regulatory overhaul will eliminate "gaps" in the financial system that encouraged risky behavior leading up to the meltdown.

"We had a financial system that was fundamentally too unstable and fragile, and it did a bad job of basic protection of consumers and investors," Geithner said during an economic conference hosted by Time Warner Inc. "Those are things we have to change."

The administration's regulatory proposals were included as part of an opinion piece by Geithner and Lawrence Summers, director of the president's National Economic Council, published Monday in The Washington Post.

The administration appears to have backed away from a more extensive overhaul that would have consolidated all banking regulation into one agency. Supporters of this approach, including Sen. Chuck Schumer, D-N.Y., have argued that the current system is inefficient.

"It does not make sense for up to four different regulatory bodies to retain oversight over the safety and soundness of banks and bank holding companies," Schumer said in a letter to Geithner on Friday. "Retaining multiple regulatory entities preserves the regulatory arbitrage that allows institutions to pick the oversight scheme that benefits them the most, often at the expense of consumers and the health of the system overall."

The White House said Monday that Obama would unveil his regulatory overhaul plan on Wednesday.

"Like all financial crises, the current crisis is a crisis of confidence and trust," Geithner and Summers wrote in The Washington Post. "Reassuring the American people that our financial system will be better controlled is critical to our economic recovery."

The two officials said the administration's overhaul will propose increasing capital and liquidity requirements for all financial institutions and will impose more stringent requirements on the largest and most interconnected firms.

Geithner said the administration would seek to ensure that tougher rules don't bog down the banking system with red tape. "You want to have a system where innovation is rich and healthy, so we have to find a balance. We did not get the balance right," he said.

At his appearance in New York, Geithner declined to give specifics on the regulatory reform plan or say whether it will include eliminating certain agencies. After Obama unveils the financial overhaul proposals on Wednesday, Geithner is scheduled to testify Thursday before both the Senate Banking Committee and the House Financial Services Committee.

The administration was still expected to call for the functions of the Office of Thrift Supervision to be merged into the Office of the Comptroller of the Currency. But it would leave the Fed, the OCC and the Federal Deposit Insurance Corp. as major banking regulators.

The administration's plan will impose "robust reporting requirements" on issuers of asset-backed securities and require institutions that sell them to retain a financial interest in their performance, Summers and Geithner wrote.

The sale of securities backed by subprime mortgages was among the major causes of the financial crisis that struck with force last fall.

"The basic objective is to have a system where people are less likely to be taken advantage of," Geithner said Monday, singling out the bad lending practices that helped trigger the meltdown.

The administration plan will give federal regulators greater powers to deal with any large financial holding company whose failure could disrupt the entire system. The opinion piece said those increased powers mean the government no longer will be forced to choose between bailouts and a financial collapse that could rock the entire system.

Officials said they had no good choices when faced the potential failure last fall of insurance giant American International Group Inc.

Summers and Geithner said the administration also will work to raise international standards for financial regulation.

"We don't want a situation where we have so many entities crawling over institutions and sending mixed signals," Geithner said. "We should be able to design a system where there are limits on excessive risk and more clarity on the rules of the game."

_____

AP Business Writer Stevenson Jacobs in New York and Jim Kuhnhenn in Washington contributed to this report.
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Marc Faber: 'It Will All End in Disaster' -- Seeking Alpha
Marc Faber will be long and gone by the time this all shakes out...for that .... nova · 364 Comments.
It is funny people expect to get accurate economic .....
Gold standard?
I now believe Americans will eventually have the option of a
...... banks controlled by the robber barons
and their immediate superiors. ...elitez bolshevikz 666pawns of
killerz nwo ussrz clownz -
www.seekingalpha.com/article/127659-marc-faber-it-will-all-end-in-disaster -

http://seekingalpha.com/article/127659-marc-faber-it-will-all-end-in-disaster

Ron Paul to Washington: "You don't care about these causes of the crisis! "(06/03/09)

http://investorshub.advfn.com/boards/board.aspx?board_id=15473
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Ron Paul's "Audit the Fed" bill now has 222 co-sponsors

which is more than enough to be passed

The Senate hurdle is next..


Audit the Fed Bill Reaches Crucial Benchmark

Washington, D.C. - Congressman Ron Paul's Federal Reserve Transparency Act, HR 1207, has reached and surpassed the level of 218 cosponsors in the House of Representatives, which means it is now cosponsored by a majority of the members.

The 218th cosponsor was Dennis Kucinich (OH-10), and the bill has since received its 222nd cosponsor.

“The tremendous grass-roots and bipartisan support in Congress for HR 1207 is an indicator of how mainstream America is fed up with Fed secrecy,” said Congressman Paul. “I look forward to this issue receiving greater public exposure.”

Hearings on Federal Reserve transparency are expected within the next month, as part of the Financial Services Committee's series of hearings on regulatory reform.


http://www.house.gov/apps/list/press/tx14_paul/audit.shtml


Obama has the bolshevikz banksterz 'pork' flu...nwo - owg -
for new US to become bolshevikz new ussrz and chinaz