Newspaper article THE JOURNAL RECORD

Clinton Bank Reform Plans Due out Today

Newspaper article THE JOURNAL RECORD

Clinton Bank Reform Plans Due out Today

Article excerpt

WASHINGTON -- U.S. Treasury Secretary Robert Rubin will unveil the Clinton administration's plan to revamp federal banking laws today.

Rubin is likely to propose further breaking down walls that now limit the intersection of the banking, securities, and insurance industries. Removing these barriers would mean banks, such as First Union Corp., and brokerage houses, such as Merrill Lynch & Co., would gain greater access to each other's markets, and to billions of dollars in new business.

Some U.S. lawmakers hope the Treasury proposal will bring banking reform efforts back to life. Over the last 10 years, Congress has struggled, and failed, to revise federal banking laws, and it looks like this year will be no different. "The word on the street is that it is dead," said Martin Mayer, author of The Bankers: The Next Generation. Treasury officials wouldn't provide details of the administration plan, and it was unclear whether the proposal would contain precise changes or simply advocate general principles and ideas. Still, some banking lobbyists were willing to make educated guesses. The proposal will probably tear down walls between smaller non-financial companies and banks, while endorsing the status quo for the 1,000 largest U.S. commercial firms, said Paul Quinn, who represents Fleet Financial Group Inc., as a lawyer at the law firm of Wilkinson Barker Knauer & Quinn. The Treasury Department indicated it was considering a similar proposal in April. Some industry representatives were hopeful the long-awaited banking plan will reignite the debate over U.S. banking laws. Treasury was originally expected to deliver its plan to Congress on March 31. "We are going to get out of the warm-up and layup drills and go to the tip off," said Jeff Myers, a spokesman for the Independent Insurance Agents of America. Legislators are already weighing several proposals before the House Banking Committee. …

Search by... Author
Show... All Results Primary Sources Peer-reviewed

Oops!

An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.