Friday, July 2, 2010


This is Lynn Jenkins, she does not represent us.

H.R. 4173, the Restoring American Financial Stability Act of 2010, is a prime example of compromise being essential to the art of politics. The bill got watered down over in the Senate, where Democrats have a tenuous majority. We have lost two Senators in this Congress. Senator Edward M. Kennedy passed away and a Republican was elected to replace him. Now the Dean of the Senate, Senator Robert C. Byrd, has died and with his passing the margin is razor thin in the upper house.

Some members of Congress believe that "too big to fail" has ended because the way to dissolve failing financial institutions requires that financial institutions foot the bill, not the taxpayers. Others wanted banks to have skin in the game and let the bankers fail if the bank goes under. Those are the bankers for whom Lynn Jenkins has been hard at work protecting their exorbitant salaries and Golden Parachutes.

When it comes to "too big to fail" this is what happens when a bank dies. First, comes a determination by the Federal Reserve Bank that such action is necessary for purposes of the financial stability and not for the purpose of preserving the covered company.

Second, they would have to ensure that the shareholders do not receive payment until the claims are paid.

Third, the Federal Reserve Bank would have to ensure that unsecured creditors bear losses in accordance with the priority of claims in section 210. That is the FDIC.

Fourth. the Federal Reserve Bank has to ensure that the management is removed, and they would have to ensure that the members of the board of directors are removed.

Representative Melvin Watt, [D] North Carolina

The first Anti-Predatory lending bill was introduced by North Carolina Democratic Representative Melvin Watt together with another North Carolina Democrat, Representative Brad Miller. Their bill was introduced on March 16, 2004. Their bill denounces the lies that no one could have seen this economic meltdown coming. At long last this important piece of Anti-Predatory lending has been incorporated into H.R. 4173.

Representative Brad Miller, [D] North Carolina

Pennsylvania's Democratic Representative Paul E. Kanjorski, like me, found H.R. 4173 to be a less than perfect bill. He said: 
 "[O]ur work today is only a beginning, not an end. Going forward, Congress needs to attentively watch our changing financial marketplace and carefully monitor our regulators in order to protect against systemic risk, forestall potential abuses of corporate power, safeguard taxpayers, and defend the interests of consumers and investors. Moreover, the United States must continue to encourage its allies abroad to adopt strong financial services regulatory reforms so that we will have a strong, unified global financial system.

Although we may be completing our work on this bill, it is important for us to remain vigilant."

Representative Paul Kanjorski, [D] Pennsylvania

Lynn Jenkins voted to kill the bill on roll call 412, the Motion to Recommit, That motion failed by a vote of 198 to 229. On the next roll call Lynn Jenkins voted for the fat cat Wall Street Bankers for whom she works, she voted against increasing regulatory scrutiny over financial institutions, she voted against stockholder protection, and she voted against ending "too big to fail." On roll call 413 Lynn Jenkins and the Party of No voted against H.R. 4173, the vote was 237 to 192. 

Lynn Jenkins is beholden to Republican Party Leadership PACs to the tune of $140,000 and also to Commercial Banks to the tune of $119,000.  She's got to pay the piper.  

Action on H.R. 4173 is pending at the Clerk's desk in the Senate.

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