Report: On Dodd-Frank Anniversary, Regulators Implementing Wall Street Reform Miss 79 Percent of Deadlines for Rules to Safeguard Americans from Financial Harm
Public Citizen Study Explores Delayed and Diluted Rules Resulting From Industry Lobbying
WASHINGTON, D.C. – Two years after Congress approved the Dodd-Frank Wall Street Reform and Consumer Protection Act, many of the law’s primary provisions have yet to take effect, according to a Public Citizen report issued today, which found the agencies missed 79 percent of the deadlines required by the law.
Public Citizen released the report, “Delayed and Diluted,” in conjunction with the second anniversary of July 21, 2010, when President Barack Obama signed the law.
“This disappointing record largely results from a multi-pronged industry campaign to weaken and delay regulations called for in the act,” said Bartlett Naylor, financial policy advocate for Public Citizen’s Congress Watch division and co-author of the report. “Many of the very problems that prompted the passage of Dodd-Frank continue to endanger our economic stability.”
“From the JPMorgan Chase trading loss that erased 20 percent of the share value of JPMorgan to months of $4-per-gallon gasoline, failure to implement Wall Street reform carries a significant cost,” Naylor added.
Public Citizen’s report outlines a four-part industry strategy to combat reform. This includes lobbying regulators directly and through Congress, promoting repeal, reducing regulators’ budgets and using the courts. Regulators such as Bart Chilton, a member of the Commodity Futures Trading Commission, acknowledge this attack, which Chilton dubs the “quadrakill.”
“Speculators now dominate energy markets,” said Allison Fisher, outreach director for Public Citizen’s Energy Program and report contributor. “Robust oversight provided in the law must be implemented urgently to protect consumers.”
The analysis by Negah Mouzoon, researcher for Public Citizen’s Congress Watch division, draws on data from the U.S. General Services Administration.
The report is available at https://www.citizen.org/sites/default/files/dodd-frank-second-anniversary-report.pdf.