To: Hillary Clinton
Will Hillary Clinton Help Jam the Revolving Door between Wall Street and Federal Agencies that Re...
Please follow Senator Elizabeth Warren’s call and join fellow presidential candidates Bernie Sanders and Martin O’Malley in endorsing the Financial Services Conflict of Interest Act to slow down the revolving door between Wall Street and federal agencies that regulate the Big Banks.
Why is this important?
It’s known as the “revolving door.”
Many government officials responsible for overseeing Wall Street are — wait for it — former Wall Street executives. It turns out the Big Banks even give big bonuses to executives who go slumming in government. Of course, these ex-executives often seem more interested in staying cozy with their former employers (who they’ll probably go back to work for anyway) than enforcing the law.
Meanwhile, regulators who didn’t come from Wall Street in the first place are constantly wooed by the prospect of lucrative job offers to leave public service and go to work for the financial institutions they’re supposed to be keeping an eye on.
Thankfully, a bill recently introduced in Congress — the Financial Services Conflict of Interest Act — would jam the revolving door between Wall Street and federal regulators.
This commonsense package of ethics reforms would:
- Prevent new agency officials from taking official actions that directly benefit their former employers.
- Prohibit Wall Street firms from offering “golden parachutes” to executives who take government positions.
- Restrict former regulators from lobbying for two years.
- Require departing bank examiners to wait at least two years before taking a job with any bank they oversaw.
Senator Elizabeth Warren noted that the Financial Services Conflict of Interest Act is “a bill any presidential candidate should be able to cheer for.”
And, in fact, Democratic presidential candidates Bernie Sanders and Martin O’Malley have both already endorsed the measure.
Hillary Clinton should make it clear that she supports this much-needed legislation, too.