Obama's plan to give the Fed ultimate regulatory power over big financial firms rejected?

[JDPriestly]

I certainly hope that Obama's nutty idea of putting the Fed in charge of the rat's nest fails. Bernanke still has not told Congress where the bail-out money really went. He leaves us guessing. That is unacceptable arrogance. Looks like Congress just might do something right for once.

A top Congressional leader said Thursday that the Fed will not have the power to override other federal regulators when it comes to policing firms whose size or activities pose a threat to the entire financial system. This is a sharp break from the proposal first put forward by the Obama administration.
In the Obama proposal, which was released in the House last week in the form of a draft bill, the Federal Reserve would have the authority to ignore the recommendations by a firm's primary regulator (be it a bank or securities regulator) and simply impose its own standards on the firm. The Fed would also have the power to examine the firm, and force the firm to comply with those standards if necessary.


Read more at: http://www.huffingtonpost.com/2009/11/05/federal-reserve-loses-exp_n_347130.html&cp