Senate Committee on Homeland Security and Governmental Affairs
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	Press Releases November 13, 2003   LIEBERMAN APPLAUDS DODD/CORZINE PLAN   WASHINGTON - Governmental Affairs Committee Ranking Member Joe Lieberman, D-Conn., Thursday commended Senators Chris Dodd, D-Conn., and Jon Corzine, D-N.J., for proposing mutual fund industry reform that covers ground similar to Lieberman’s proposals to make the industry more accountable to its investors. Lieberman said comprehensive reform legislation must: · Strengthen the independence and effectiveness of mutual fund boards by increasing the number of independent directors, installing a compliance officer reporting directly to independent directors and limiting the number of boards on which any one member can serve · Require clearer disclosure to investors in their monthly statements of all fees, expenses, and other fund costs · Require comparative information of fees among funds · Implement a strict time deadline for trades to arrive at the mutual fund · Use consumer research to make fund materials more understandable to the average investor · Improve the Securities and Exchange Commission’s examinations of mutual funds to more effectively detect abuse In a letter to SEC Chairman William Donaldson, dated November 3, 2003, Lieberman outlined the six points listed above and criticized the SEC for failing to detect mutual fund industry abuses which include favored treatment of large investors and personal profit by fund officials at the expense of their customers. Lieberman has co-sponsored reform legislation with Senator’s Daniel Akaka, D-Hi., and Peter Fitzgerald, R-Ill., but lauded Dodd and Corzine for requiring additional prescriptions similar to those Lieberman outlined in his letter to Donaldson. “Mutual fund investment is, for many Americans, the path to their kids education and their own retirement,” Lieberman said. “These working families must be assured that their investments are handled honestly and transparently. I look forward to working with Senators Dodd and Corzine, as well as Akaka and Fitzgerald, to make sure this happens.” As Governmental Affairs Committee Chairman in 2002, Lieberman examined the malfeasance of Enron Corp., and the Wall Street analysts whose conflicts of interest led them to recommend worthless stock to unsuspecting investors. The Committee staff produced a report in October 2002 that charged the system of public and private financial watchdogs with “systemic and catastrophic failure” to protect investors from fraud and abuse. The SEC’s failure to detect mutual fund industry abuses is reminiscent of the agency’s failure to catch onto Enron Corp.’s deceptions.   ###   Printable Version   « previous Press Release next Press Release »   1998 - 1999 - 2000 - 2001 - 2002 - 2003 - 2004 - 2005 - 2006 - 2007 November 2003 Press Releases October   |  December   --   2002   |  2004     November 25 - Waxman, Dingell, Lieberman Seek Investigations of Halliburton Gasoline Importations to Iraq   November 20 - Lieberman Troubled By “Unreasonable” White House Limits On 9/11 Commission Access To Key Documents   November 20 - Lieberman Calls August Blackout "Entirely Avoidable"   November 19 - Lieberman Urges Stronger Measure to Restore Investor Confidence in Mutual Funds   November 18 - Lieberman Says Tax Shelters Must Have Economic Substance To Deter Industry Built Around Tax Evasion   November 18 - Lieberman Supports Amendment Outlawing Senior Discount   November 13 current Press Release   November 13 - NPS Employees Say Parks Are In Danger   November 13 - Iron Curtain Of Secrecy Around White House Must Be Raised   November 12 - Administration Fails To Certify Labs Using Anthrax, Smallpox   November 11 - Federal Poverty Calculations Mask True Economic Status of Most Vulnerable Citizens   November 7 - Lieberman, Durbin Press OIRA On Openness, Accountability   November 6 - Lieberman Says NYSE Cannot Regulate Itself   November 5 - Lieberman Calls on Halliburton to Refund American Taxpayers   November 5 - Lieberman: Mutual Fund Reform Bill is Important Step Toward Restoring Integrity to Embattled Industry   November 4 - Leading Senators Pressure President to Provide Key Documents Condemn White House's "Poor Record of Cooperation"   November 3 - Lieberman Demands Report on Simulation of Terorist Attack Analysis Details Shortcomings of Government Response   November 3 - Congress Votes to Name Hartford Post Office After Former US Rep Barbara B. Kennelly   November 3 - Lieberman Strafes SEC for Lax Oversight of Mutual Funds Middle Class Investors' Trust Abused all Over Again
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Committee on Homeland Security and Governmental Affairs 340 Dirksen Senate Office Building Washington, D.C. 20510