Barney Frank: TARP's comp curbs could be extended to all businesses

[thundley4]

Congress will consider legislation to extend some of the curbs on executive pay that now apply only to those banks receiving federal assistance, House Financial Services Committee Chairman Barney Frank said.

“There’s deeply rooted anger on the part of the average American,” the Massachusetts Democrat said at a Washington news conference today.

He said the compensation restrictions would apply to all financial institutions and might be extended to include all U.S. companies.

The provision will be part of a broader package that would likely give the Federal Reserve the authority to monitor systemic risk in the economy and to shut down financial institutions that face too much exposure, Mr. Frank said.

Also included in the legislation: registration requirements for hedge funds and proposals aimed at curbing conflicts of interest at credit-rating agencies such as Standard & Poor’s.

The bill, which the committee is working on in consultation with the Obama administration, also will require financial institutions that bundle mortgages into securities to share in potential losses. This would give banks and mortgage-specialists an incentive not to make bad loans, he said. Institutions that securitize loans improperly will incur tougher penalties.

Facism Much?

[DumbAss Tanker]

I would say no way in Hell that would ever make it out of committee, but I think Frank runs the committee that has it.  Even the Dems are not stupid enough to let this get to the floor (but great hilarity would sure ensue if they did!), I expect this will be referred to another committee for 'Consultation' and die there if it makes it out of Banking.

These guys are their own worst enemies.  Thank God.

[JohnnyReb]

So, will we be limiting what we pay politicians to what they are worth too?










I know, stupid question.

[thundley4]

I wonder how many corporate executives will continue to donate to Bawney Fwank's campaign?

[RightCoast]

Anybody ask Frank whose going to pay for the stimuless package if there are caps on income???


Other then just flat out steal it from the corporations stupid enough to not shift HQ outside the US?

[Chris_]

So, will we be limiting what we pay politicians to what they are worth too?










I know, stupid question.

Under that plan, who's gonna collect on all the back pay they owe us?