Financial Regulatory Forum

Full text of Federal Reserve’s Bernanke to Congress

FINANCIAL-REGULATION/    WASHINGTON, Sept 30 (Reuters) – The following is the full text of remarks due to be delivered to the U.S. House Financial Services Committee on Thursday, Oct. 1 by Federal Reserve chairman, Ben Bernanke: (more…)

Moody’s secretive nature described to Congress

moodys    By Rachelle Younglai
    WASHINGTON, Sept 30 (Reuters) – Lawmakers slammed a “culture of secrecy” at Moody’s <MCO.N> and expanded a credit ratings industry probe to find out why securities regulators ignored a tip that Moody’s managers routinely put profits above
ratings quality. (more…)

U.S. Treasury launches first toxic asset funds

U.S. Treasury launches first toxic asset funds
A "For Sale- Bank Owned" sign sits in front of a home in Pontiac, Michigan June 19, 2009. The decline of U.S. automakers has for years affected those who live in Pontiac. Now the city's dead look set to feel the pain as well. Mayor Clarence Phillips says "we can no longer afford" the $400,000 the city spends each year on the upkeep of cemeteries in light of fresh local plant closures and job losses at General Motors Corp, the largest employer and taxpayer in the city of 66,000. Picture taken June 19, 2009. REUTERS/Rebecca Cook (UNITED STATES TRANSPORT BUSINESS EMPLOYMENT)    WASHINGTON, Sept 30 (Reuters) – The first two funds involved in the government’s plan to purchase toxic assets have raised about $1.13 billion, the U.S. Treasury Department said on Wednesday. (more…)

SEC changes U.S. municipal bond syndicate rules

msrb-logo    WASHINGTON, Sept 30 (Reuters) – The Securities and Exchange Commission has shortened the time period when U.S. municipal bond underwriting syndicates and account managers settle their accounts and when they can sell in the secondary market. (more…)

COLUMN-Beware the bull market in derivatives: Matthew Goldstein

COLUMN-Beware the bull market in derivatives: Matthew Goldstein
Matthew Goldstein– Matthew Goldstein is a Reuters columnist. The views expressed are his own – 
   By Matthew Goldstein
   NEW YORK, Sept 29 (Reuters) – The Dow is near 10,000 again. The business press is full of stories about the resurgence in mergers, IPOs and even so-called blank check companies.
   There’s one statistic, however, that should give investors pause: the growth in the total dollar value of derivative contracts at the top too-big-to-fail banks in the United States. (more…)

Madoff scandal prompts dozens of SEC reforms

MADOFF/    By Rachelle Younglai
    WASHINGTON, Sept 29 (Reuters) – After dismissing complaints that might have uncovered Bernard Madoff’s $65 billion fraud, the U.S. Securities and Exchange Commission must reform how it reviews tips and conducts examinations, the SEC’s internal watchdog said on Tuesday. (more…)

U.S. Sen. Dodd urges plan to create super bank cop

SENATE    WASHINGTON, Sept 29 (Reuters) – A top U.S. senator said on Tuesday that he is moving forward with his effort to consolidate bank supervision into a single federal regulator, despite criticism from current bank regulators who do not want to lose their authorities.
   “It’s clear that we need to end charter shopping, where institutions look around for the regulator that will go easiest on them,” said Christopher Dodd, the Democratic chairman of the Senate Banking Committee.
   Dodd’s plan would consolidate the Office of the Comptroller of the Currency and the U.S. Office of Thrift Supervision into one regulator. It would also strip direct bank supervision powers from the Federal Deposit Insurance Corp and the Federal Reserve, transferring those powers to the new regulator. (Reporting by Karey Wutkowski, editing by Gerald E. McCormick) (( +1 202 898 8374)) Keywords: FINANCIAL/REGULATION BANKS 
Tuesday, 29 September 2009 18:54:24RTRS [nWEN4142  ] {C}ENDS

U.S. firms oppose rules to curb short selling

GOLDMANSACHS/RESULTS   NEW YORK, Sept 29 (Reuters) – Goldman Sachs Group Inc <GS.N> and Vanguard Group Inc are among U.S. companies opposed to rules proposed by U.S. regulators to limit short selling, according to letters filed by the companies. (more…)

New Jersey man pleads guilty for hiding UBS account

LIECHTENSTEIN-TAX/   WASHINGTON, Sept 25 (Reuters) – A New Jersey man pleaded guilty on Friday for failing to report about $6.1 million he had held in a UBS AG <UBSN.VX><UBS.N> Swiss bank account, the latest plea in the U.S. crackdown on tax fraud. (more…)

US regulators-Banks’ large-loan losses triple to $53bln

fed-logo     Sept 25 (Reuters) – U.S. regulators say that the level of losses from syndicated loans facing banks and other financial institutions tripled to $53 billion in 2009, due to poor underwriting standards and the continuing weakness in economic conditions. (more…)