Sept. 16, 2014
Judge Sides With Bank Cops Policing Overseas Gambling
Statements by Bartlett Naylor and Amit Narang, Public Citizen’s Congress Watch Division
Note: Public Citizen welcomes a U.S. District Court ruling in Securities Industry and Financial Markets Association (SIFMA) et al. v. Commodity Futures Trading Commission (CFTC), which upholds the ability of the CFTC regulators to oversee risky swaps gambling even when it is conducted outside the United States.
“Wall Street gambling threatens U.S. taxpayers, whether the banks use a ‘.com’ address or ‘co.uk’ for their business,” said Bartlett Naylor, financial policy advocate of Public Citizen’s Congress Watch division. “The biggest single taxpayer-funded bailout from the crash six years ago this week went to the London affiliate of American International Group Inc.”
“The judge appropriately agreed that the Dodd-Frank Wall Street Reform and Consumer Protection Act authorized the CFTC to guard Americans against reckless gambling all across American banks’ operations,” added Naylor.
“Though cost-benefit analysis is a highly imperfect way of evaluating and justifying financial reforms, I am confident that the CFTC will find that these Wall Street reforms result in significant benefits to the stability of our financial markets,” said Amit Narang, regulatory policy advocate of Public Citizen’s Congress Watch division.