* WASHINGTON (9/24/08)--The Treasury Department and Democrats in Congress Tuesday were discussing legislation to purchase $700 billion of troubled bank assets--specifically, two provisions involving executive compensation and mortgages in the bankruptcy process (American Banker
Sept. 23). As of Tuesday, the Treasury agreed to require mortgage servicers to rework loans purchased by the government, but the outcome of the other provisions was not clear. Sen. Richard Shelby (R-Ala.) said the Treasury proposal was not workable and too expensive. Sen. John McCain (R-Ariz.), presidential candidate, said he was not comfortable with the proposal but did not formally oppose it ... * WASHINGTON (9/24/08)--An order by the Securities and Exchange Commission (SEC) to short-sell 800 financial stocks did not mention Fifth Third Bancorp, M&T Bank Corp. and Capital One Financial Corp. The companies’ sales exceeded 10% of the shares for trading as of Aug. 31 (American Banker
Sept. 23). An SEC spokesman, John Heine, said the agency may add other companies to the list ... * WASHINGTON (9/24/08)--Securities and Exchange Commission (SEC) Chairman Christopher Cox encouraged Congress to regulate corporate debt insurance, or credit default swaps because of their role in the financial market crisis. Regulation of the insurance should go along with a regulatory overhaul of the entire U.S. financial system, he said (Associated Press
Sept. 23) ... * WASHINGTON (9/24/08)--National Credit Union Administration (NCUA) Chairman Michael E. Fryzel
welcomed Stan Hollen, CEO of the CO-OP Network, and Carroll Beach, president of the Credit Union Services Corp., to the NCUA headquarters in Alexandria, Va., Tuesday. “I am committed to making certain that credit union relationships with third parties provide benefits to members in a safe and sound fashion, and will continue my outreach to all facets of the credit union system as part of a vigilant and active approach to regulation,” Fryzel said. From left are: Beach, Fryzel and Hollen. (Photo provided by the National Credit Union Administration) ...