Democrats fight back against Dodd-Frank replacement

by Ryan Smith02 May 2017
House Democrats have signaled they’ll put up a fight to save the controversial Dodd-Frank Act.

Democrats on the House Financial Services Committee held their own hearing on the Financial CHOICE Act — the Republican alternative to Dodd-Frank — Friday, and they strongly defended the Dodd-Frank Act —and slammed the Financial CHOICE Act as the “Wrong Choice Act.”

“We’ve asked for this second hearing to hear from experts and well-informed witnesses who know, understand and appreciate the importance of the Dodd-Frank Wall Street Reform and Consumer Protection Act, and who can point out the dangers of the Wrong Choice Act,” Rep. Maxine Waters (D-Calif.) said. “Now, even with this additional hearing, we cannot fully cover all of the many ways this bad bill would hurt hardworking Americans. We would need dozens more hearings to do that. But with this slate of outstanding experts here today, we will have the opportunity to educate the public about some of the harmful repercussions of the Wrong Choice Act.”

No Republicans attended the Democratic hearing. Witnesses included Sen. Elizabeth Warren (D-Mass.), who helped mastermind the formation of the Consumer Financial Protection Bureau. Warren said that the passage of the Financial CHOICE Act would be a move “in the opposite direction” of President Donald Trump’s promises on the campaign trail.

“This is a 589-page insult to working families,” Warren said.

Hensarling hit back by blasting Warren — and former President Barack Obama — as tools of Wall Street.

“Barack Obama is pocketing $400,000 for a Wall Street speech and Professor Warren is joining Wall Street CEOs in defending Dodd-Frank,” Hensarling said in a statement.
“How awkward for the Democrats. The Financial CHOICE Act ends bailouts for Wall Street and imposes the toughest penalties in history for those who commit financial fraud and insider trading. Community banks and credit unions are supporting the Financial CHOICE Act. Wall Street CEOs and Democrats are the ones saying, ‘Don’t repeal Dodd-Frank.’”

Related stories:
Treasury secretary throws weight behind Dodd-Frank replacement
Hensarling promises new bill to overhaul Dodd-Frank by end of April


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