By Allied Progress
This week House Financial Services Committee Chairman Jeb Hensarling (R-Texas) will announce his widely anticipated proposal to dismantle key pieces of 2010’s Dodd–Frank Wall Street Reform and Consumer Protection Act, which, among other things, created the Consumer Financial Protection Bureau (CFPB).
The financial services industry has spent at least $3.25 billion on campaign contributions, lobbying, and other political efforts to influence Congress since the legislation was signed into law. According to the Davis Polk law firm, in the five years since the measure was first enacted, Congress held at least 119 hearings “related to Dodd-Frank” and introduced at least 139 bills “to amend or repeal the Act.”
Simply put, Dodd-Frank is cutting into the bottom line of the financial services industry and Hensarling is coming to its rescue. By July 2015, the CFPB (which again, was created by Dodd-Frank) had returned more than $10.8 billion to more than 25 million Americans harmed by illegal practices of the financial industry.
It is no surprise that Rep. Hensarling would announce his intentions to gut Dodd-Frank; he has received nearly $5.5 million in campaign contributions from key financial industry interests since 2010. Furthermore, as this report details, Hensarling’s House Financial Services Committee has become a revolving door with numerous members of his staff either coming from, or leaving to work in, the financial industry.
Further highlighting the blatant conflicts of interest created by significant financial industry campaign contributions to Hensarling since 2010, this report details how many on his staff…