Congresswoman Chellie Pingree Calls For Crack Down On Wall Street

Statement

Congresswoman Chellie Pingree today called for a crack down on Wall Street with tough, comprehensive reform of the financial services industry.

"The big banks and credit card companies have run rough-shod over American consumers," Pingree said. "And we have all paid the price. The news last week that Goldman Sachs was coming up with risky schemes that they knew were likely to fail is just the latest example of how these big companies have damaged our economy."

Pingree led the debate on comprehensive reform legislation last winter when the House passed a bill that creates a new Consumer Financial Protection Agency that has the power to regulate big banks and credit card companies. The Senate has yet to act on the bill.

"The sole purpose of this agency is to protect American consumers from the deceptive, unfair and abusive practices of the big banks and credit card companies," Pingree said. "For example, this agency could require that credit card companies explain their terms in plain language that everyone can understand. This kind of common-sense regulation is long over due."

As the Senate is preparing to consider broad reform of the financial system President Obama has also called on Congress to pass tough restrictions on derivatives--complex financial products that ended up creating billions of dollars in losses for investors and leading to the Wall Street bailout.

"We must end the era of too-big-to-fail and put a stop to taxpayer funded bailouts of Wall Street," Pingree said. "And we need to restrict these complex, risky investments that caused so much damage to our economy. It's time for Congress to put tough, common-sense reform on the President's desk so he can sign it."

Pingree said financial reform will create predictable rules that are fair and open, encouraging economic growth and making it easier for business to get the capital they need to expand and families to get mortgages they can afford.

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