When the Senate passed the STOCK Act, the bill that bans insider trading on non-public information picked up in Congress (yes, that’s not against the law right now) along with some other ethics reforms, I thought that could be a vehicle that would move expeditiously through the House. However, even though Majority Leader Eric Cantor made promises that the STOCK Act would get a vote this week, instead what has happened is a free-for-all, with lobbyists gutting the bill at Cantor’s behest.
House Republicans and their floor leader, Representative Eric Cantor of Virginia, said they would amend the bill, going to the House floor this week, to strengthen it.
But Representative Louise M. Slaughter, Democrat of New York, said, “I think ‘strengthening’ here is a euphemism for ‘weakening.’ ”
And Representative Tim Walz, Democrat of Minnesota, said the bill, to ban insider trading by members of Congress, was being rewritten behind closed doors by House Republican leaders.
“How ironic,” Mr. Walz said. “Insiders now appear to be writing a bill meant to ban insider trading.”
In particular, House Republicans have killed the provision that requires individuals who collect “political intelligence” to register with the government the way lobbyists do. This has drawn condemnation from Chuck Grassley, the provision’s sponsor, who claimed that House Republicans were “doing Wall Street’s bidding” by watering down that part of the bill. Certainly K Street is alarmed by it, and they are moving with great speed to weaken that element.
Moreover, you can see pretty clearly that House Republicans are less concerned about the legislation than about creating another “message bill”:
House Republicans said they would add a provision to prohibit members of Congress, their aides and executive branch officials from receiving special access to initial public stock offerings because of their positions.
Republicans call this “the Pelosi provision” because, they say, it was inspired by an investment in 2008 by Representative Nancy Pelosi of California, who was then the speaker and is now the House Democratic leader. An aide to Ms. Pelosi said that neither she nor her husband, Paul F. Pelosi, had received “preferential treatment” when the company, Visa Inc., went public.
This was the most wrong part of the 60 Minutes piece on Congressional insider trading, as I pointed out at the time. But that’s hardly crucial to the House GOP efforts to stick it to the opposition.
So much for that whole bipartisan ethics reform thing. Democrats probably have an opening on this if they want to take it.




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“Democrats probably have an opening on this if they want to take it.”
I love the smell of snark in the morning.
Or anytime for that matter.
Well, so much for “that” …
“Democrats probably have an opening on this if they want to take it.”
DDay, you are, absolutely, the best reporter in America, and a comedian among the best of them. However, me old heart would appreciate a wee warning before you toss in a line like that one.
;~DW
Political and financial corruption, hallmarks of a fascist state.
Imagine that.
“The better to bribe you with, my dear,” said “Grandma.”
Surprise! Surprise! In my best Gomer Pyle voice. Crooks, every single one of them. Corrupt to the core.
Slaughter BTW usta be one of the more stand up members of the house. She reps the district of several of my nieces & nephews (Rochester, NY area) so I have a nodding knowledge of her but haven’t really kept up. She was prolly put in the veal pen, like Hinchey (mine) when O was elected. And like Hinchey (who is also ill and will retire this year) Slaughter’s getting up in age.
Cantor loves the Congressional insider trading. Its been making him rich. Cantor holds a lot of short positions in the market. Cantor is intimate with the Market and Legal Insider Trading for Congressmembers.
In a sane world, it would take brass balls for the Dirty Cantor to get close to this issue. Cantor has brass balls because he knows the Media will cover for him because he is a golden boy.
Golden boy with brass balls. Would you care to unmix that metaphor and just say he has gold balls?
BTW, insider trading, while usually very profitable (told the endowment investment committee I serve on that is one way of making above average returns that is not open to little ole us), sometimes burns. Insiders don’t know everything. Insiders lie. (Imagine that.) There’s a non-zero chance that insider traders could get taken.
Heard from a friend that Madoff clients thought they were ‘earning’ their above average returns bc they thought Madoff was trading on inside info.
LOLOLOLOLOL.
I remember reading that about Madoff’s clients and thinking that they were perfectly willing to be part of a crime. Money makes people crazy.
Heh, healthcare reform all over again, and again, and again.
At least the charades are out in the open nowadays.
Thanks to Mr. Dayen, Walker and and others (the internet).
On we trudge without them erected offals serving their corporate fascist masters.
Those who resist the Call Of The Veal are taken for a joyride on Air Force 1.
Them damned bleating veals are worse than the Sirens of Greek/Roman mythology . . ;-)
Sharp, short and concise writing insists it.
Yer good . . . ;-)
Points well taken thanks for sharing.
Loved the story, too . . . more please.
Blind and ignorant and mean as hayall, too,
Also.
You betcha.
;-)
I’ve been between Scylla and Charybdis on the Rhine. Closest I’ve come to Greek mythology.
Well no, not quite. In HS we did a musical comedy of Oed Rex featuring “I want a girl just like the girl who married dear old dad.”
And in college we had an outdoor “Greek” style theater. Attended production of Bacchae there in 1960s. Though nothing so high quality nor dramatic as link.
I am laughing so hard I’m crying – Oed Rex – how delightful. I love it.
I’ve told the denouement before. Bears repeating. First woman partner of Goldman Sucks, Jeanette Winter Loeb, lost all her $22 million in financial net worth with Madoff. Linked to court filing so that might be accurate. Friend also said Jeanette has RE investments that were separate so wouldn’t spend her waning years in penury.
Though given the RE bubbles, I wonder…
Off to email my friend to find out the gossip.
Normally I hate gossip, but make exceptions. No rules can be real rules without violations.
Whew. Need a little laugh in this post.
Gettin’ tired of the onlly appropriate response being: quelle surprise (to the topic).
Guess now that Time magazine has blessed somebody with ‘taking on Wall Street” they only need to pretend for the rubes in public.
SWINE.