Tuesday
May042010
Dorgan Proposes Amendment To Stop Financial Institutions From Growing Too Big To Fail
Tuesday, May 4, 2010 at 4:42PM
By: Antonia Aguilar / University of New Mexico - Talk Radio News
Sen. Byron Dorgan (D-ND) proposed an amendment to the Wall Street Reform bill Tuesday to prevent financial institutions from expanding into powerhouses that are “Too Big To Fail.”
“This amendment that I offer would be mandatory rather than permissive,” said Dorgan. “If you have risen to be judged to have been 'too big to fail,' which would cause a grave financial risk to our entire economy ... the best most direct and most effective approach will be to have those institutions divest those activities and those portions of their business that have made them 'too big to fail.'”
According to Dorgan, his amendment will stop the future risk of taxpayer bailouts on Wall Street. The amendment will appoint the Financial Oversight Council to identify companies that pose a high risk to the financial stability of the U.S. and restrict their business activities until they are no longer a concern.
“It is another approach that is far superior, much more direct, more decisive and one that will produce better results,” said Dorgan. “It is the only one I think that effectively will end 'too big to fail.'”
Sen. Byron Dorgan (D-ND) proposed an amendment to the Wall Street Reform bill Tuesday to prevent financial institutions from expanding into powerhouses that are “Too Big To Fail.”
“This amendment that I offer would be mandatory rather than permissive,” said Dorgan. “If you have risen to be judged to have been 'too big to fail,' which would cause a grave financial risk to our entire economy ... the best most direct and most effective approach will be to have those institutions divest those activities and those portions of their business that have made them 'too big to fail.'”
According to Dorgan, his amendment will stop the future risk of taxpayer bailouts on Wall Street. The amendment will appoint the Financial Oversight Council to identify companies that pose a high risk to the financial stability of the U.S. and restrict their business activities until they are no longer a concern.
“It is another approach that is far superior, much more direct, more decisive and one that will produce better results,” said Dorgan. “It is the only one I think that effectively will end 'too big to fail.'”
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