Sen. Warren on Federal Reserve Chair Jerome Powell: 'He has had two jobs. One is to deal with monetary policy. One is to deal with regulation. He has failed at both.'
Warren, who has been pressing for stricter banking regulations, said Powell “took a flamethrower to the regulations” when Trump took office, adding that Trump gave Congress the “authority to lighten the regulations even more.”
"And then the CEOs of the banks did exactly what we expected. They loaded up on risk that boosted their short-term profits. They gave themselves huge bonuses and salaries and exploded their banks," Warren said.
“The bank’s executives, who took unnecessary risks or failed to hedge against entirely foreseeable threats, must be held accountable for these failures,” Warren wrote in the letter, asking for preliminary findings of the probe to be delivered to Congress within 30 days.unveiled legislation last week to restore bank regulations that were undone under the Trump administration in 2018 — an effort they say would address the cause of SVB's collapse.
At that time, Republicans in Congress pushed a bill — with the support of some centrist Democrats — that eased Dodd-Frank financial regulations on midsize banks, raising the “too big to fail” threshold from $50 billion in assets to $250 billion. The
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