Rubin Warns against Rushing to Revamp Financial Industry
de Senerpont Domis, Olaf, American Banker
WASHINGTON - Former Goldman Sachs co-chairman Robert Rubin, en route to winning Senate confirmation as Treasury secretary, warned lawmakers against moving too quickly on financial industry modernization.
"We can make American financial markets more competitive and more efficient through modernizing regulatory structure and regulations, but the issues are very complex and competing considerations must be weighed carefully and thoughtfully," Mr. Rubin said.
Both the House and Senate banking committees are expected to consider legislation this year to overhaul the regulation of the banking and financial services industry.
For the administration, financial industry modernization could be the major banking issue on its agenda.
In a brief confirmation hearing before the Senate Finance Committee on Tuesday, Mr. Rubin also cited the Community Reinvestment Act as part of the administration's effort to make capital available to small business.
"The Community Reinvestment Act was designed for a particular purpose within that context, which is to make sure that economically depressed regions are not treated unfairly by lending institutions, and to make sure that capital is available on an economic basis in those regions," Mr. …