Press Release

For Immediate Release: October 10, 2008

Financial Services Committee to Hold Hearing on Financial Regulation

 Hearing set for 10:00 a.m. on Tuesday, October 21st

Washington, DC - House Financial Services Committee Chairman Barney Frank (D-MA) today announced that the Committee will hold a hearing to address the need for broad regulatory restructuring and reform for the financial markets, including financial institution oversight and regulation, systemic risk, and housing finance.  This is a continuation of two hearings held by the committee in July focused on regulatory restructuring and systemic risk, which the Committee heard from regulators.

This hearing will focus on the extent to which an outdated and weak regulatory system contributed to the current market turmoil and whether adoption of a stronger and more robust financial regulatory system could contribute to a more rapid recovery in the financial markets and the economy.  Specifically, the hearings will examine:

• Current state of the financial regulatory system, both in the United States and abroad, and ways to measure and limit risk without stifling innovations while improving market liquidity and breadth.
  
• The implications of current governmental lending and support facilities for the regulatory structure.
  
• Proposals to improve the regulatory structure to restore confidence in financial markets and institutions through a stronger system of regulation and oversight.
  
• The need for enhanced capital and reserve requirements for financial firms.
  
• The adequacy of current powers and coverage of the existing regulatory structure.