Sen. Warren Presses Fed Chairman Bernanke on Too Big to Fail, Transparency at Banking Hearing
Asks Fed Chair About Wall Street Risk and Continues Push for Transparency on Independent Foreclosure Review Settlement Process
WASHINGTON, DC – At a Senate Banking Committee Hearing today, United States Senator Elizabeth Warren asked Federal Reserve Chairman Ben Bernanke about rising profits on Wall Street and concerns that banks are loading up on risk.
She also pressed Chairman Bernanke whether he agrees with Secretary Lew’s recent comments that if we have not ended Too Big to Fail by the end of the year, other options to address the issue should be considered. Senator Warren mentioned the 21st Century Glass-Steagall Act she introduced last week with Senators John McCain (R-AZ), Maria Cantwell (D-WA), and Angus King (I-ME) as a possible tool to help end Too Big to Fail.
Senator Warren then asked Chairman Bernanke questions related to transparency around the the Independent Foreclosure Review Process. For six months, Senator Warren has been requesting information from Federal Reserve and the Office of the Comptroller of the Currency (OCC) related to what the banks did wrong and how compensation was determined. The Fed and OCC have provided very little of the requested documentation.