Waters’ Opening Statement at Mark-up on Derivatives Legislation
Congresswoman Maxine Waters, Ranking Member of the House Financial Services Committee, made the following statement at a meeting of the Committee held today to mark up legislation addressing the nation’s derivatives markets:
Mr. Chairman, thank you for holding this mark-up this morning on a broad package of bills related to a wide-range of issues facing this Committee.
These concerns are shared by the Treasury Department as well. In a recent letter to our Committee, the Treasury Secretary Lew writes that “in many instances legislation is premature and aspects would be disruptive and harmful to the implementation of key reforms.”
My reluctance is also heightened by the fact that there have been a significant number of financial scandals that have emerged since we passed the Reform Act, underlining the need for strong regulations and empowered regulators. These scandals include, but aren’t limited to, money laundering to drug cartels, Libor manipulation, and the case of the “London Whale,” which underscores the importance of loophole-free global swaps regulation. A number of lawsuits seeking to overturn Reform Act regulations also demonstrate that our accomplishments under Dodd-Frank are precarious, and continue to be at risk. And the duplicative and onerous cost-benefit analysis bill we will consider today would further imperil our reforms, essentially stopping Dodd-Frank implementation dead in its tracks.
With that said, I should also note that there are a number of bills we’re considering today that I will support, and that I will urge my colleagues to support. I appreciate the hard work of many of my colleagues from both sides of the aisle on these pieces of legislation, and I value their willingness to create clarity and certainty for market participants where it’s needed.