US Rep. McCollum Questions Wall Street CEO About Market Collapse

Press Release

Dear Friends:

America is in a financial crisis and it is time for strong leadership from Washington. Far too many American families are bearing the brunt of this economic disaster. Last week, we learned that 159,000 Americans lost their jobs in the month of September and the Labor department reports that more than 750,000 people have been added to the unemployment rolls this year alone. For all of us who are looking toward retirement, and working hard to save, we have now learned that about $2 trillion of retirement savings were wiped out in the past 15 months as a result of the financial meltdown.

These are hard times for Minnesota workers and families. This credit crisis is taking hold and we are seeing it manifest itself in the inability of consumers with good credit to get auto loans, banks refusing to lend to banks, and municipalities unable to access financing for needed projects like roads, hospitals and water treatment plants. The reality is the entire credit system is frozen and simply waiting it out and doing nothing would be reckless.

Last week, Congress took decisive action to salvage our economy after years of excess, abuse, and corruption by Wall Street. The $700 billion package Congress passed is a targeted attempt to remove the mortgage-backed securities that are strangling the credit market for companies, small business, and families. Many economic experts anticipate that taxpayers could break even or earn a profit in the long term. In the meantime, I believe this crisis demands a renewed emphasis on oversight, accountability, and government regulations. This must be a top priority in the next Congress.

This week, I questioned the CEO of Lehman Brothers and pressed the nation's top financial experts to get answers about the regulatory mistakes and financial excesses that led to the market collapse. These hearings are part of sweeping Congressional investigations to get to the root of the problem and lay the foundation for common sense regulation of the financial and home lending industries. I fully expect more hearings, investigations, and, if information is forthcoming about illegal behavior, prosecutions.

My two votes for the emergency rescue bill were to protect the jobs, pensions, college accounts, and the savings of millions of working Americans. We must restore our nation's economy, protect jobs, and build back taxpayer confidence.

Sincerely,

Betty McCollum Signature
Congresswoman Betty McCollum
Serving Minnesota's Fourth Congressional District

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