Last week, Senator Warren asked Federal Reserve Bank of New York President William Dudley if he considered himself a ‘cop on the beat.’
He responded no, and that he thought of himself as a fire marshal.
Yes, you heard that right. There are new scandals breaking almost every week, and one of the main bank regulators says that his job isn’t to stop crimes, but to put out the fires later.
We think this is the wrong message and wrong perspective for one of the most important bank regulators in the U.S.
Join CRC in telling the New York Federal Reserve that we DO want a cop on the beat when it comes to regulating Wall Street.
A first step the Federal Reserve could take would be to hold PUBLIC hearings about a bank merger that was recently proposed in California. The merger would combine OneWest bank (renamed Indymac- which cost the FDIC $10 billion and counting) with CIT Group ($CIT) (borrowed $2.3 billion under TARP, and then declared bankruptcy, meaning it doesn’t have to pay back the debts).
Join us and urge the Federal Reserve to hold hearings: