The Panel is currently scheduled to hear from the following witnesses:

Dean Baker, Co-Director, Center for Economic and Policy Research

Charles Calomiris, Henry Kaufman Professor of Financial Institutions, Columbia Business School

Simon Johnson, Professor of Global Economics and Management, MIT Sloan School of Management, and Senior Fellow, Peterson Institute for International Economics

Alex Pollock, Resident Fellow, American Enterprise Institute

Mark Zandi, Chief Economist and Cofounder, Moody's Economy.com

Congress created the Congressional Oversight Panel to oversee the $700 billion Troubled Asset Relief Program. In carrying out its responsibilities under the Emergency Economic Stabilization Act of 2008, the Panel has published 12 monthly reports, two special reports, and held 13 hearings on a wide range of TARP and related financial stabilization initiatives.

This hearing will provide a better understanding of the Administration's financial stabilization efforts, and it will inform the Panel's December report reviewing TARP's performance to date.

WHO: Members of the TARP Congressional Oversight Panel

WHAT: "Taking Stock: Independent Views on TARP's Effectiveness"

WHEN: Thursday, November 19, 2009, 9:30 a.m.

WHERE: 138 Dirksen Senate Office Building

The hearing is open to press and public and will be webcast on the Panel's website at www.cop.senate.gov. Individuals with disabilities who require an auxiliary aid or service, including closed captioning service for webcast hearings, should contact the Panel's staff at 202-224-9957 at least two business days in advance of the hearing date.

The Congressional Oversight Panel was created to oversee the expenditure of the Troubled Asset Relief Program (TARP) funds authorized by Congress in the Emergency Economic Stabilization Act of 2008 (EESA) and to provide recommendations on regulatory reform. The Panel members are: former Securities and Exchange Commissioner Paul S. Atkins, Congressman Jeb Hensarling (R-TX), Richard H. Neiman, Superintendent of Banks for the State of New York, Damon Silvers, Policy Director and Special Counsel for the AFL-CIO, and Elizabeth Warren, Leo Gottlieb Professor of Law at Harvard Law School.]]>Thu, 12 Nov 2009 16:42:35 -0500release-111209-hearing http://cop.senate.gov/blog/entries/blog-110609-guarantees.cfmWhile Taxpayers Will Likely Profit, Guarantees Carry Enormous Risk and Created Significant Moral Hazard

WASHINGTON, D.C. - The Congressional Oversight Panel today released its November oversight report, "Guarantees and Contingent Payments in TARP and Related Programs." The Panel found that the programs' income will likely exceed their direct expenditures, and that guarantees played a major role in calming financial markets. These same programs, however, exposed American taxpayers to trillions of dollars in guarantees and created significant moral hazard that distorts the marketplace.

During the financial crisis, the federal government dramatically expanded its role as a guarantor. Treasury, the FDIC, and the Federal Reserve Board together negotiated to secure hundreds of billions of dollars in assets belonging to Citigroup and Bank of America. In addition to increasing the deposit insurance coverage of bank accounts, the FDIC established the Debt Guarantee Program (DGP) to stimulate the market for banks to issue debt and raise capital, and Treasury acted to reassure anxious investors by guaranteeing that money market funds would not fall below $1.00 per share.

Altogether, the federal government's guarantees have exceeded the total size of TARP, making guarantees the single largest element of the government's response to the financial crisis. At its high point, the federal government was guaranteeing or insuring $4.3 trillion in face value of financial assets under the three guarantee programs discussed in the Panel's report. The enormous scale of these guarantees played a significant role in calming the financial markets last year. Lenders who were unwilling to risk their money in distressed and uncertain markets became much more willing to participate after the U.S. government promised to backstop any losses.

The Panel found that Treasury took an aggressive stance in protecting taxpayer interests, and the Panel did not identify any major flaws with their implementation of the guarantee programs. Even so, these programs carried significant risk. In many cases, the American taxpayer stood behind guarantees of high-risk assets held by potentially insolvent institutions.

These guarantee programs also created significant moral hazard. Guarantees create price distortions and can lead market participants to engage in riskier behavior than they otherwise would. In addition to the explicit guarantees analyzed in the Panel's report, the government's broader economic stabilization effort may have signaled an implicit guarantee to the marketplace: the American taxpayer stands ready to provide a financial backstop for certain markets and large market players to avert possible economic collapse. To the degree that investors, lenders and borrowers believe that such an implicit guarantee remains in effect, moral hazard will continue to distort the market.

The extraordinary scale of these guarantees, the significant risk to taxpayers, and the corresponding moral hazard leads the Panel to conclude that these programs should be subject to extraordinary transparency. The Panel specifically identified the guarantee of Citigroup assets under AGP -- the largest single guarantee offered to date -- and strongly urges Treasury to provide regular, detailed disclosures about the status of the assets backing up this guarantee. Treasury should disclose greater detail about the rationale behind guarantee programs, the alternatives that may have been available and why they were not chosen, and whether these programs have achieved their objectives. This should include an analysis of why Citigroup and Bank of America were selected for AGP and not others.

Recommendations are provided in the full report, which can be found at cop.senate.gov.

The Congressional Oversight Panel was created to oversee the expenditure of the Troubled Asset Relief Program (TARP) funds authorized by Congress in the Emergency Economic Stabilization Act of 2008 (EESA) and to provide recommendations on regulatory reform. The Panel members are: former Securities and Exchange Commissioner Paul S. Atkins, Congressman Jeb Hensarling (R-TX), Richard H. Neiman, Superintendent of Banks for the State of New York, Damon Silvers, Policy Director and Special Counsel for the AFL-CIO and Elizabeth Warren, Leo Gottlieb Professor of Law at Harvard Law School.

WHAT: Congressional Oversight Panel Hearing with Herbert M. Allison, Jr., Assistant Secretary of the Treasury for Financial Stability

WHO: Members of the TARP Congressional Oversight Panel

WHEN: Thursday, October 22, 2009, 10:00 a.m.

WHERE: Dirksen Senate Office Building, Room 562

The hearing is open to press and public and will be webcast on our website at www.cop.senate.gov.

The Congressional Oversight Panel was created to oversee the expenditure of the Troubled Asset Relief Program (TARP) funds authorized by Congress in the Emergency Economic Stabilization Act of 2008 (EESA) and to provide recommendations on regulatory reform. The Panel members are: former Securities and Exchange Commissioner Paul S. Atkins, Congressman Jeb Hensarling (R-TX), Richard H. Neiman, Superintendent of Banks for the State of New York, Damon Silvers, Associate General Counsel of the AFL-CIO and Elizabeth Warren, Leo Gottlieb Professor of Law at Harvard Law School.]]>Wed, 21 Oct 2009 10:35:23 -0400release-101509-allison http://cop.senate.gov/blog/entries/blog-100909-foreclosure.cfmTreasury's Strategy is 'Inadequate' to Address Coming Wave of Foreclosures; For Many Homeowners, Foreclosure Will Be Delayed, Not Avoided

WASHINGTON, D.C. - The Congressional Oversight Panel today released its October oversight report, "An Assessment of Foreclosure Mitigation Efforts after Six Months." The Panel expresses concern about the limited scope and scale of the Making Home Affordable program and questions whether Treasury's strategy will lead to permanent mortgage modifications for many homeowners.

Rising unemployment, weak home prices, and impending mortgage rate resets still threaten to cast millions of Americans out of their homes, with devastating effects on families, local communities, and the broader economy. One in eight mortgages is currently in foreclosure or default, and this crisis is estimated to produce 10 to 12 million foreclosures. While Treasury is still in the early stages of implementing its centerpiece foreclosure mitigation program, called the Home Affordable Modification Program (HAMP), the Panel has three concerns with the current approach.

The Panel found, "It increasingly appears that HAMP is targeted at the housing crisis as it existed six months ago, rather than as it exists right now." The program is limited to certain mortgage configurations. Many of the coming foreclosures are likely to be payment option adjustable rate mortgage and interest-only loan resets, many of which exceed HAMP eligibility limits. Treasury's strategy also makes no provision for foreclosures due to unemployment, which now appear to be one of the biggest drivers of foreclosure.

Foreclosures continue every day as Treasury ramps up the program, with foreclosure starts outpacing new HAMP trial modifications at a rate of more than two to one. Some homeowners who would have qualified for modifications may have lost their homes before the program could reach them. Even once the program is fully operational, Treasury's own projections indicate, in the best case, fewer than half of the predicted foreclosures would be avoided.

The Panel found, "The result for many homeowners could be that foreclosure is delayed, not avoided." HAMP modifications are often not permanent: For many homeowners, payments will rise after five years, and although the program is still in its early stages, only a very small proportion of trial modifications have converted into longer term modifications. The Panel is also concerned about homeowners who face negative equity or are "underwater" - that is, the value of the loan exceeds the value of their home. For many borrowers, HAMP modifications increase negative equity, a factor that appears to be associated with increased rates of re-default.

The full report can be found at cop.senate.gov. The Panel held a field hearing in Philadelphia with senior executives of Treasury, Fannie Mae, Freddie Mac, representatives for major financial institutions and housing advocates to inform the findings of this report. Testimony from the hearing can be found on the Panel's website.

The Congressional Oversight Panel was created to oversee the expenditure of the Troubled Asset Relief Program (TARP) funds authorized by Congress in the Emergency Economic Stabilization Act of 2008 (EESA) and to provide recommendations on regulatory reform. The Panel members are: former Securities and Exchange Commissioner Paul S. Atkins, Congressman Jeb Hensarling (R-TX), Richard H. Neiman, Superintendent of Banks for the State of New York, Damon Silvers, Associate General Counsel of the AFL-CIO and Elizabeth Warren, Leo Gottlieb Professor of Law at Harvard Law School. ]]>Fri, 09 Oct 2009 00:00:01 -0400release-100909-foreclosure http://cop.senate.gov/blog/entries/blog-091709-philadelphia.cfmWASHINGTON, D.C. - The Congressional Oversight Panel today announced that it will hold a field hearing to examine foreclosure mitigation efforts under the Troubled Asset Relief Program (TARP) on Thursday, September 24 at 10:00 a.m. in the Kirby Auditorium of the National Constitution Center in Philadelphia, Pennsylvania.

The Panel is currently scheduled to hear from the following witnesses:

Seth Wheeler, Senior Advisor, U.S. Department of the Treasury
Edward L. Golding, Senior Vice President, Economics and Policy, Freddie Mac
Eric Schuppenhauer, Senior Vice President and CFO/Program Executive for the Home Affordability and Stability Plan, Fannie Mae
The Honorable Annette M. Rizzo, Judge, Philadelphia Court of Common Pleas and Co-Chair, Philadelphia Mortgage Foreclosure Steering Committee
Eileen Fitzgerald, Chief Operating Officer, Neighborworks America
Deborah Goldberg, Director, Hurricane Relief Project, National Fair Housing Alliance
Irwin Trauss, Supervising Attorney, Consumer Housing Unit, Philadelphia Legal Assistance
Dr. Paul Willen, Senior Economist and Policy Advisor, Research Department, Federal Reserve Bank of Boston
Joe Ohayon, Vice President for Community and Client Relations, Wells Fargo Home Mortgage
Bank of America (invited)
Saxon Mortgage (invited)

In establishing the Congressional Oversight Panel in the Emergency Economic Stabilization Act of 2008, Congress charged the Panel to examine, among other subjects, "the effectiveness of foreclosure mitigation efforts." The Philadelphia hearing will inform the Panel's forthcoming October oversight report, which will consider foreclosure mitigation programs under TARP, including the Making Home Affordable program.

WHO: Members of the TARP Congressional Oversight Panel

WHAT: Field Hearing on Foreclosure Mitigation

WHEN: Thursday, September 24, 2009; 10:00 a.m.

WHERE:
Kirby Auditorium (Google Map)
The National Constitution Center
Independence Mall
525 Arch Street
Philadelphia, Pennsylvania 19106

The Congressional Oversight Panel was created to oversee the expenditure of Troubled Asset Relief Program (TARP) funds authorized by Congress in the Emergency Economic Stabilization Act of 2008 (EESA). The Oversight Panel members are former Securities and Exchange Commissioner Paul S. Atkins, Congressman Jeb Hensarling (R-TX), Richard H. Neiman, Superintendent of Banks for the State of New York, Damon Silvers, Associate General Counsel of the AFL-CIO, and Elizabeth Warren, Leo Gottlieb Professor of Law at Harvard Law School. ]]>Thu, 17 Sep 2009 17:19:40 -0400release-091709-philadelphia http://cop.senate.gov/blog/entries/blog-090909-auto.cfmTreasury Tough Negotiator, but Unlikely to Recover Full Investment

Recommends Placing Chrysler, GM Shares in Independent Trust

WASHINGTON, D.C. - The Congressional Oversight Panel today released its September oversight report, "The Use of TARP Funds in Support and Reorganization of the Domestic Automotive Industry." In protecting the interests of taxpayers, the Panel found Treasury negotiated aggressively with all the players in the automotive industry. While Treasury has conceded that it is unlikely to recover the entire amount invested, other goals also influenced Treasury's overall strategy.

Even before last year's financial crisis, the American automotive industry was facing severe strains. In 2008, U.S. automotive sales fell to a 26-year low. By the end of the year, a long-term slump became an acute crisis, with Chrysler and General Motors (GM) unable to secure credit and facing reduced consumer demand. Without new financing, they faced collapse – a potentially crippling blow to the American economy that could eliminate nearly 1.1 million jobs. Facing this prospect, the Troubled Asset Relief Program (TARP) was used to provide American automotive companies with short-term financing and additional loans to finance the bankruptcy reorganizations of Chrysler and GM.

American taxpayers now own 10 percent and 61 percent of the new Chrysler and GM companies respectively. Treasury's support for the automotive industry differed significantly from its assistance to the banking industry. The bulk of the funds were available only after the companies had filed for bankruptcy, wiping out their old shareholders, cutting their labor costs, reducing their debt obligations and replacing some top management. The government's role raises serious oversight issues, particularly Treasury's conflict between competing objectives.

The Panel recommends that, to mitigate the potential conflicts and political issues inherent in owning Chrysler and GM shares, Treasury should take exceptional care to explain its decision making and provide a full, transparent picture of its actions. The Panel also recommends that Treasury consider placing its GM and Chrysler shares in an independent trust that would be insulated from political pressure and government interference.

Given the questions about whether Treasury had the authority to use of TARP funds to aid the ailing domestic automotive industry, Treasury should provide a legal analysis justifying this decision. The Panel found that further questions about the propriety of the bankruptcy proceedings – accusations of illegal behavior and allegations that statutory bankruptcy priorities were overturned – are overblown and inaccurate. The full report can be found at cop.senate.gov.

The Congressional Oversight Panel was created to oversee the expenditure of the Troubled Asset Relief Program (TARP) funds authorized by Congress in the Emergency Economic Stabilization Act of 2008 (EESA) and to provide recommendations on regulatory reform. The Panel members are: former Securities and Exchange Commissioner Paul S. Atkins, Congressman Jeb Hensarling (R-TX), Richard H. Neiman, Superintendent of Banks for the State of New York, Damon Silvers, Associate General Counsel of the AFL-CIO and Elizabeth Warren, Leo Gottlieb Professor of Law at Harvard Law School.

###

WHO: Members of the Congressional Oversight Panel on TARP
WHAT: Congressional Oversight Panel Hearing with Secretary Geithner
WHEN: Thursday, September 10, 2009; 1:00pm
WHERE: 485 Russell Senate Office Building

The Congressional Oversight Panel was created to oversee the expenditure of Troubled Asset Relief Program (TARP) funds authorized by Congress in the Emergency Economic Stabilization Act of 2008 (EESA). The Oversight Panel members are former Securities and Exchange Commissioner Paul S. Atkins, Congressman Jeb Hensarling (R-TX), Richard H. Neiman, Superintendent of Banks for the State of New York, Damon Silvers, Associate General Counsel of the AFL-CIO, and Elizabeth Warren, Leo Gottlieb Professor of Law at Harvard Law School.

### ]]>Tue, 08 Sep 2009 09:30:52 -0400release-090309-geithner http://cop.senate.gov/blog/entries/blog-082009-atkins.cfmWASHINGTON, D.C. - Congressional Oversight Panel Chair Elizabeth Warren released the following statement welcoming former Securities and Exchange Commissioner Paul S. Atkins to the Panel:

"Paul Atkins will bring valuable insights to the Congressional Oversight Panel's efforts to increase the accountability of the Troubled Asset Relief Program. I look forward to working with him and I welcome his service on behalf of the American people."

The Congressional Oversight Panel was created to oversee the expenditure of the Troubled Asset Relief Program (TARP) funds authorized by Congress in the Emergency Economic Stabilization Act of 2008 (EESA) and to provide recommendations on regulatory reform. The Panel members are former Securities and Exchange Commissioner Paul Atkins; Congressman Jeb Hensarling (R-TX); Richard H. Neiman, Superintendent of Banks for the State of New York; Damon Silvers, Associate General Counsel of the AFL-CIO; and Elizabeth Warren, Leo Gottlieb Professor of Law at Harvard Law School.

###

WASHINGTON, D.C. — The Congressional Oversight Panel (COP) today released its August oversight report, "The Continued Risk of Troubled Assets," which examines the economic implications of troubled assets and assesses Treasury's strategy for removing these assets from bank balance sheets. The Panel found that the future performance of the economy and the performance of the underlying loans, as well as the method of valuation of the assets, are critical to the continued operation of the banks.

Last fall, as increasing numbers of subprime mortgage-holders defaulted on their loans, the financial markets for these assets effectively ceased to function. In response to the crisis, Treasury proposed a major government program to move hundreds of billions of dollars in troubled assets off the banks’ books. But by the time the Troubled Asset Relief Program (TARP) was signed into law in early October, Treasury had decided to use TARP funds to pursue a different strategy: providing banks with a capital buffer to write-down many of their troubled assets and to build reserves for the future. Today, ten months later, substantial troubled assets remain on banks' balance sheets.

Treasury has launched the new Public-Private Investment Program (PPIP) in an effort to restart the mortgage-backed asset market. The Panel's report raises several questions about the program, including whether accounting rules that allow banks to carry assets at higher valuations will diminish their willingness to sell, and whether potential buyers may decline to participate due to concerns about political interference or government restrictions. PPIP could help to jump-start the troubled asset market, but serious questions remain about its effectiveness.

For smaller banks, those not among the 19 stress tested bank holding companies, troubled assets pose special challenges that have not been acknowledged. These banks' troubled assets are generally whole loans, which are not currently being addressed by Treasury's PPIP program. These banks also hold greater concentrations of commercial real estate loans, which pose a threat of high defaults. These banks also have more difficulty accessing the capital markets, which heighten concerns about their stability.

Treasury and relevant government agencies should move toward greater disclosure of the terms and volume of troubled assets on banks' balance sheets. Because banks typically disclose few details about the toxic assets on their books, it is difficult to gauge the magnitude of the risk that these assets pose to the financial system. Greater transparency would allow for better judgments about the scale of the problem and the adequacy of the government's response.

If the economy worsens beyond the levels considered in the recent stress tests, these tests should be repeated. Stress tests have the potential to gauge the impact of troubled assets on bank capitalization and to measure the risk that troubled assets could once again trigger instability. The Panel recommends that stress tests be adapted to consider the challenges facing smaller banks, including the adequacy of these banks' capital.

The full report can be found at cop.senate.gov.

The Congressional Oversight Panel was created to oversee the expenditure of the Troubled Asset Relief Program (TARP) funds authorized by Congress in the Emergency Economic Stabilization Act of 2008 (EESA) and to provide recommendations on regulatory reform. The Panel members are: Congressman Jeb Hensarling (R-TX), Richard H. Neiman, Superintendent of Banks for the State of New York, Damon Silvers, Associate General Counsel of the AFL-CIO, former U.S. Senator John E. Sununu (R-NH) and Elizabeth Warren, Leo Gottlieb Professor of Law at Harvard Law School.]]>Tue, 11 Aug 2009 00:00:01 -0400release-081109-troubled http://cop.senate.gov/blog/entries/blog-072309-detroithearing.cfmWASHINGTON, D.C. - The Congressional Oversight Panel announced today that it will hold a field hearing on the Auto Industry Financing Program (AIFP) under the Troubled Asset Relief Program (TARP) on Monday, July 27 at 10:00am in the Spencer M. Partrich Auditorium at the Wayne State University Law School in Detroit, Michigan.

The Panel is currently scheduled to hear from the following witnesses:

• Ron Bloom, Senior Advisor, U.S. Department of the Treasury
• Jan Bertsch, Senior Vice President, Treasurer, and Chief Information Officer, Chrysler
• Walter Borst, Treasurer, General Motors Company
• Sean McAlinden, Executive Vice President and Chief Economist, Center for Automotive Research
• Barry Adler, Charles Seligson Professor of Law, New York University School of Law
• Stephen Lubben, Daniel J. Moore Professor of Law, Seton Hall University School of Law
• Richard Mourdock, Indiana State Treasurer

In the Emergency Economic Stabilization Act of 2008 (EESA), Congress created the Congressional Oversight Panel to "review the current state of financial markets and the regulatory system" including the "impact of purchases made" and the "extent to which information made available on transactions under the program has contributed to market transparency." The Department of Treasury announced the creation of AIFP on December 19, 2008, to support the domestic automobile industry through TARP in order to further stabilize the nation's economy.

The Panel will release a report on Treasury's use of its authority under TARP with respect to the automobile industry on September 9, 2009, and the field hearing in Detroit will allow the Panel to gain a better understanding of the use of TARP in the government's intervention in the auto industry.

WHO: Members of the TARP Congressional Oversight Panel

WHAT: Congressional Oversight Panel Hearing: Field Hearing on Auto Industry Financing Program

WHEN: Monday, July 27, 2009; 10:00 a.m.

WHERE:
Wayne State University Law School
Spencer M. Partrich Auditorium
471 W. Palmer St.
Detroit, MI 48202

Campus Map Courtesy of Wayne State University available at: http://www.campusmap.wayne.edu/location/LAW

Audio will be streamed online during the hearing and later posted in its entirety on the Panel's website at cop.senate.gov.

The Congressional Oversight Panel was created to oversee the expenditure of Troubled Asset Relief Program (TARP) funds authorized by Congress in the Emergency Economic Stabilization Act of 2008 (EESA). The Oversight Panel members are Congressman Jeb Hensarling (R-TX), Richard H. Neiman, Superintendent of Banks for the State of New York, Damon Silvers, Associate General Counsel of the AFL-CIO, former US Senator John E. Sununu (R-NH), and Elizabeth Warren, Leo Gottlieb Professor of Law at Harvard Law School.

WASHINGTON, D.C. - The Congressional Oversight Panel today released its "Special Report on Farm Loan Restructuring" fulfilling a mandate under the Helping Families Save Their Homes Act of 2009 to analyze "the state of the commercial farm credit markets and the use of loan restructuring as an alternative to foreclosure by recipients of financial assistance under the Troubled Asset Relief Program (TARP)."

The Panel's report first examines the state of the agricultural sector and notes that, in general, it has fared somewhat better than the broader economy. The balance sheets of farmers and agricultural lenders have remained relatively strong, though some parts of the agricultural economy, most notably dairy are in crisis. Rural areas were generally less exposed to the housing bubble, providing some protection for rural community banks from the shock of the financial crisis, until more recently.

Recent trends and projections in farm lending are troubling. The U.S. Department of Agriculture (USDA) expects net farm income to decline by 20 percent in 2009, which may reduce some farmers' ability to repay loans later in the year, although the impact may be mitigated by an increasing reliance on off-farm income. Demand for direct operating loans from the agricultural lender of last resort, the Farm Service Agency (FSA), increased 81 percent over the last year, and demand for direct ownership loans increased 132 percent.

Congress asked the Panel to examine the possibility of establishing a farm loan restructuring mandate for TARP-recipient commercial banks in order to prevent agricultural foreclosures. The Panel looked at several existing programs: the Farm Service Agency's process, the Farm Credit System and the Home Affordable Modification Program (HAMP) as possible models for actions under TARP to aid farmers.

The report notes that the effects of any loan restructuring mandate for TARP recipient commercial banks could be limited, as TARP-recipient banks only hold about 10 percent of total farm real estate debt. That share could shrink when more banks exit TARP.

In addition to actions under TARP, the Panel noted that Congress could also choose to help struggling farmers by creating a voluntary restructuring program, funded through TARP, and open to wider participation, or by expanding existing farm assistance programs to target assistance to struggling sectors.

The full report can be found at cop.senate.gov. The Panel held a field hearing on July 7 in Greeley, Colorado to take testimony from local farmers and agriculture lenders - including the USDA, the Farm Credit System and commercial banks - in order to gain a better understanding of farm credit markets. Testimony from the hearing can be found on the Panel's website.

The Congressional Oversight Panel was created to oversee the expenditure of the Troubled Asset Relief Program (TARP) funds authorized by Congress in the Emergency Economic Stabilization Act of 2008 (EESA) and to provide recommendations on regulatory reform. The Panel members are: Congressman Jeb Hensarling (R-TX), Richard H. Neiman, Superintendent of Banks for the State of New York, Damon Silvers, Associate General Counsel of the AFL-CIO, former U.S. Senator John E. Sununu (R-NH) and Elizabeth Warren, Leo Gottlieb Professor of Law at Harvard Law School. ]]>Tue, 21 Jul 2009 00:00:01 -0400release-072109-report http://cop.senate.gov/blog/entries/blog-070209-greeleyhearing.cfmThe Congressional Oversight Panel will hold a field hearing on Tuesday, July 7 in Greeley, Colorado to examine the state of farm credit markets. Live audio of the hearing will be available on the COP website.

In the Helping Families Save Their Homes Act of 2009, Congress required the Congressional Oversight Panel to issue a report that "analyzes the state of the commercial farm credit markets and the use of loan restructuring as an alternative to foreclosure by recipients of financial assistance under the Troubled Asset Relief Program." The report is scheduled for release on July 21, 2009, and the field hearing in Greeley will inform the Panel's recommendations on farm credit issues that will be put forth in the report.

At the hearing, the Panel members intend to hear testimony from local farmers and agriculture lenders, including the USDA's Farm Service Agency, Farm Credit Services and commercial banks, in order to gain a better understanding of farm credit markets.

The members of the Congressional Oversight Panel will hear testimony from the newly confirmed Assistant Secretary of the Treasury for Financial Stability, Herb Allison, regarding the Troubled Asset Relief Program.

More Reading

• Executive Summary
• Additional view by Rep. Jeb Hensarling

1. Is the TALF program well-designed to help market participants meet the credit needs of households and small businesses?
2. Even if the program is well-designed, is it likely to have a significant impact on access to credit?

The report finds that there is reason for caution in predicting the ultimate impact of TALF, though the program may succeed in improving investor demand for asset-backed securities.

Read

• Executive Summary
• Additional view by Rep. Jeb Hensarling

Watch

• Watch the introductory video
]]> Thu, 07 May 2009 00:15:46 -0400 assessing-treasury8217s-strategy-six-months-of-1 http://cop.senate.gov/blog/entries/blog-042809-hearing.cfm COP is holding a hearing on Wednesday, April 29 at 10:00 am at the University of Wisconsin-Milwaukee Student Union. The hearing, “The Credit Crisis and Small Business Lending” examine credit markets for local small businesses, with a focus on the impact of the Troubled Asset Relief Program (TARP), on lending in Wisconsin.  The Congressional Oversight Panel will hear testimony from Wisconsin business owners and representatives of regional banks.

The Panel chose Milwaukee as the site of the hearing because the region is particularly vulnerable to tighter credit restrictions on small businesses, and thus is an ideal location to determine what, if any, impact TARP has had to this point on the availability of credit.  As a Midwestern manufacturing center, Milwaukee’s economy has struggled during the recent economic downturn.  112,000 jobs have been lost in Wisconsin during the last year, more than any year-to-year comparison since 1939.  Unemployment reached 9.4 percent in Wisconsin in March, surpassing the national rate, and bankruptcies are up 35 percent.

Witness List

• Thomas Klink (Testimony)
  President
  Jefferson Electric

• Robert B. Atwell (Testimony)
  CEO
  Nicolet National Bank

• Wayne M. Perrins (Testimony)
  General Manager
  Badger Trailer and Equipment Corporation

• Peter Prickett (Testimony)
  President and CEO
  First National Bank – Fox Valley

• David Griffith (Testimony)
  Owner and CEO
  Crosstowne Machining

Opening Statements

• Elizabeth Warren, (Statement)
  Chair, Congressional Oversight Panel

• Richard Neiman (Statement)
]]> Tue, 28 Apr 2009 20:01:21 -0400 cop-hearing-with-treasury-secretary-timothy-geithn http://cop.senate.gov/blog/entries/blog-042009-hearing.cfm Treasury Secretary Timothy Geithner will be appearing before the Congressional Oversight Panel in a hearing taking place at 10am, Tuesday, April 21, 2009.

Watch the hearing LIVE


Witness


Honorable Timothy Geithner | Testimony
Secretary
U.S. Department of Treasury


Opening Statements

• Elizabeth Warren
  Chair
  Congressional Oversight Panel
• Damon Silvers
• Richard Neiman
]]> Mon, 20 Apr 2009 20:59:42 -0400 media-adivsory-congressional-oversight-panel-anno http://cop.senate.gov/blog/entries/blog-041709-hearing.cfm WHAT: Congressional Oversight Panel Hearing with Secretary Geithner

WHO: Members of the TARP Congressional Oversight Panel

WHEN: Tuesday, April 21, 2009, 10:00 am *Doors will open at 9:30 am

WHERE: Dirksen Senate Office Building Room 628, Washington, D.C.

This hearing is open to press and public and will be webcast on our website at www.cop.senate.gov.

The Congressional Oversight Panel was created to oversee the expenditure of the Troubled Asset Relief Program (TARP) funds authorized by Congress in the Emergency Economic Stabilization Act of 2008 (EESA) and to provide recommendations on regulatory reform. The Panel members are: Congressman Jeb Hensarling (R-TX), Richard H. Neiman, Superintendent of Banks for the State of New York, Damon Silvers, Associate General Counsel of the AFL-CIO, former U.S. Senator John E. Sununu (R-NH) and Elizabeth Warren, Leo Gottlieb Professor of Law at Harvard Law School.

]]> Fri, 17 Apr 2009 17:10:20 -0400 assessing-treasury8217s-strategy-six-months-of http://cop.senate.gov/blog/entries/blog-040709-report.cfm The April oversight report for COP is entitled Assessing Treasury’s Strategy: Six Months of TARP.  In this report, COP offers a preliminary look at Treasury’s strategy and offers a comparative analysis of previous efforts to combat banking crises in the past.

Over the last six months, Treasury has spent or committed $590.4 billion of the TARP funds.  Treasury has also relied heavily on the use of the Federal Reserve’s balance sheet which has expanded by more than $1.5 trillion (not including expected TALF loans) in conjunction with the financial stabilization activities it has undertaken beyond its monetary policy operations.   This has allowed Treasury to leverage TARP funds well beyond the funds appropriated by Congress. 

The total value of all direct spending, loans and guarantees provided to date in conjunction with the financial stability efforts (including those of the FDIC as well as the Treasury and the Federal Reserve) now exceeds $4 trillion.  This report reviews in considerable detail specific criteria for evaluating the impact of these programs on financial markets. 

Watch Chairwoman Elizabeth Warren introduce COP’s latest report.

With this report, COP hopes to assist Congress and Treasury officials in weighing the available options as the nation grapples with the worst financial crisis it has faced since the Great Depression.



Read:

• Executive Summary
• Alternative view by Richard Neiman and John E. Sununu
• Alternative View by John E. Sununu
]]> Tue, 07 Apr 2009 21:15:49 -0400 cop-report-working-toward-a-solution-on-foreclosu http://cop.senate.gov/blog/entries/blog-040309-roundup.cfm COP Daily News Roundup

April 3, 2009

• WaPo - Nations Craft Hard-Fought Pledge To Repair World Financial System
• WSJ - Senate May Push for Shake-Up of Regional Fed Banks
• WaPo - As Crisis Loomed, Geithner Pressed But Fell Short
• WSJ - FASB Eases Mark-to-Market Rules
• FT - Bailed-out banks eye toxic asset buys
• NYT - Ex-Chairman of A.I.G. Says Bailout Has Failed
• WSJ - Homeowner-Aid Plan Caught in Second-Loan Spat
• WSJ - Sharp Cuts in Monthly Payments Reduce Redefault Rate, Study Finds
• WSJ - Treasury Seeks to Free Up Funds by Shuffling Spending in TARP
• WaPo - 'Chronic Disorganization' Cited in Efforts to Fix Crisis
• Bloomberg - Unemployment in U.S. Increases to 8.5%, 25-Year High
]]> Fri, 03 Apr 2009 23:00:13 -0400 cop-daily-news-roundup-53 http://cop.senate.gov/blog/entries/blog-040209-roundup.cfm COP Daily News Roundup

April 2, 2009

• WSJ - House Passes New, Weaker Bill Curbing Bonuses
• NYT - To Chagrin of Republicans, Compensation Bill Passes
• NYT - Conceding U.S. Lapses, Obama Resists New Bank Rules
• Bloomberg - G-20 Nearing Pact on Tightening Market Rules as Meeting Starts
• WaPo - Lenders Struggle to Find Cash to Quench Growing Demand for Refinancing
• WSJ - Who Benefits From Bank Guarantees?
• WSJ - Credit Markets Still Navigate in a Choppy Sea of Liquidity
• Bloomberg - Fed Buys $6 Billion of Three, Four-Year Treasuries
• Bloomberg - Bank of America Says TARP Repayment Tied to Economy
• WSJ - FDIC Imprimatur Now Costs More
• WaPo - Report Foreshadows Deeper Job Losses
• FT - US manufacturing data spur hope for economy
  
]]> Thu, 02 Apr 2009 19:20:13 -0400 cop-daily-news-roundup-52 http://cop.senate.gov/blog/entries/blog-040109-roundup.cfm COP Daily News Roundup

April 1, 2009

• ABC - Treasury Under Fire for Handling of TARP
• Reuters - More U.S. bailout funds depend on clarity: officials
• Christian Science Monitor - Bailout tab: $3 trillion so far
• NYT - Obama and Brown Urge United Action on Economy
• WSJ - Move to Ease 'Mark' Rule May Subvert Treasury Plan
• FT - 'Tarp cop' launches probes into bail-out fraud
• Bloomberg - ADP Says U.S. Companies Reduced Payrolls by 742,000
• WaPo- Federal Plan to Aid Small Businesses Is Flawed, Lenders Say
• WSJ - A Tweak to Bailout Deal Makes Bank Stock Pricier
• Bloomberg - Obama Needs to Be More 'Aggressive' on Banks, Autos, Baker Says
• Bloomberg - Fed's Plosser Says Unwinding Credit 'Won't Be Easy'
]]> Wed, 01 Apr 2009 18:36:13 -0400 cop-daily-news-roundup-51 http://cop.senate.gov/blog/entries/blog-033109-roundup.cfm COP Daily News Roundup

March 31, 2009

• FT - 'Robust and stable' system is goal of US
• WSJ - SEC's New Top Cop Faces Challenges
• WaPo - Hard Line on Auto Aid Puts Bailed-Out Firms on Notice
• NYT - Contracts Now Seen as Being Rewritable
• Bloomberg - Fed Takes Lead Role in Executing 'Stress Tests' of U.S. Banks
• WaPo - Blame for Downturn Not Fixed on Obama
• WSJ - Distressed Bank Investors Are Aiming for Preferred Treatment
• Reuters - Chase Ends New $10 Fee on Cards
• Bloomberg - World Bank, OECD Cut Economic Forecasts, Warn of Jobless Jump
• WSJ - In the Exurbs, the American Dream Is Up for Rent
• Bloomberg - Housing Prices in 20 U.S. Cities Probably Dropped in January
]]> Tue, 31 Mar 2009 22:01:13 -0400 cop-daily-news-roundup-50 http://cop.senate.gov/blog/entries/blog-033009-roundup.cfm COP Daily News Roundup

March 30, 2009

• WaPo - Overhaul Targets Money Market
• WaPo - As Oversight Plan Is Unveiled, Turf Battle Begins to Unfold
• Bloomberg - Mark-to-Market Lobby Buoys Bank Profits 20% as FASB May Say Yes
• FT - Biden calls for regulation caution
• WSJ - New Task Seen for Fannie, Freddie
• Bloomberg - Bernanke Seeks to Avert Pressures on Fed After Crisis Abates
• Bloomberg - Geithner Says Some Banks Need 'Large Amounts' of Assistance
• WSJ - Treasury Has $134.5 Billion Left in TARP
• WaPo - Economic Data Will Bring a Reality Check
• NYT - Shareholders Who Act Like Owners
• NYT - Banks Starting to Walk Away on Foreclosures
]]> Mon, 30 Mar 2009 19:00:08 -0400 cop-daily-news-roundup-49 http://cop.senate.gov/blog/entries/blog-032609-roundup.cfm COP Daily News Roundup

March 26, 2009

• WaPo - Geithner to Propose Vast Expansion Of U.S. Oversight of Financial System
• WSJ - Geithner Wants New Rules to Check Risks
• NYT - Geithner to Outline Major Overhaul of Finance Rules
• Reuters - House Democrats seek financial products panel
• CNBC - Obama's Toxic-Asset Plan: End-Run Around Congress?
• Reuters - U.S. toxic asset plan seen helping big banks
  
• US News & World Report - Bailout Scorecard: The End of the Beginning
• NPR Marketplace - Reich: Transparency's a must to gain our trust
]]> Thu, 26 Mar 2009 20:44:08 -0400 cop-daily-news-roundup-48 http://cop.senate.gov/blog/entries/blog-032009-roundup.cfm COP Daily News Roundup

March 20, 2009

• WaPo - Congress Moves to Slap Heavy Tax on Bonuses
• Financial Times (FT) - Obama signals support over bonus clawback
• Bloomberg - Obama Says AIG Bonuses 'Stunned' Him, Vows to Get Money Back
• WSJ - Wall Street Shudders as Lawmakers Take Aim at Pay
• Bloomberg - Probes of AIG Bonuses Started by New Jersey, 18 Other States
• FT - IMF criticises US stability plan
• WSJ - Three Deals Launched on TALF-Debut Day
• Business Week - Will TALF Soar? Or Fall Flat?
• WSJ - Raters See Windfall in Bailout Program
• AP - 13 Firms That Received Bailout Money Owe Back Taxes
• WSJ - Senators Debate Fed's Role in Overseeing Systemic Risk
• AP - F.D.I.C. Chief Urges Changes in Financial Oversight
• WSJ - Excess Capacity Keeps Heat on Fed
• Bloomberg - Fed Balance Sheet Jumps to $2.1 Trillion on Mortgages
• NYT - Regulators Worldwide Scrutinize Bankers' Pay
• Business Week - Irrational Exuberance Writ Large (Book Review)
]]> Fri, 20 Mar 2009 23:58:08 -0400 cop-daily-news-roundup-47 http://cop.senate.gov/blog/entries/blog-031909-roundup.cfm COP Daily News Roundup

March 19, 2009

• WSJ - AIG's Liddy Asks Employees to Give Back Bonuses
• Financial Times (FT) - AIG chief urges staff to return bonuses
• WaPo - How the Fed Failed to Tell Obama About The Bonuses
• WaPo - Key Argument for Incentives Questioned
• NYT - A Defining Moment for Treasury Secretary
• FT - Appointments bottleneck at Treasury tightens
• Bloomberg - U.S. Considers Broadening TALF Program to Distressed Assets
• WSJ - Consumer-Loan Plan Is Off to Slow Start
• NYT - Cuomo Wins Ruling to Name Merrill Bonus Recipients
• WaPo - Fed to Pump $1.2 Trillion Into Markets
• NYT - Fed's Plan Sends Markets Higher
• FT - Federal Reserve plan stuns investors
• Stage set for mortgage refinancing
• Bloomberg - U.S. Leading Economic Indicators Probably Dropped in February
• WaPo - SEC Faults Its Handling Of Tips on Short Sales
]]> Thu, 19 Mar 2009 23:58:08 -0400 cop-daily-news-roundup-46 http://cop.senate.gov/blog/entries/blog-031909-hearing.cfm WATCH LIVE—COP Hearing:
“Lessons from the Banking Crises of the 20th Century”

March 19, 2009

COP is holding a public hearing on the lessons that can be learned from government responses to major banking crises of the 20th century on Thursday March 19th, 2009 in Washington, D.C.  The hearing will provide an opportunity for the Panel members hear from experts on prominent banking crises of the last 100 years. 

Watch the hearing

The Panel will hear testimony from experts on the banking crises in Japan and Sweden during the early 1990s, the Savings and Loan collapse in the 1980s, and the Great Depression of the 1930s.

Witness List

Bo Lundgren
Director General, Swedish National Debt Office
Former Swedish Minister of Financial and Fiscal Affairs

Richard Katz
Editor-in-Chief, The Oriental Economist
Author, Japan: The System That Soured - The Rise and Fall of the Japanese Economic Miracle and Japanese Phoenix

David C. Cooke
Former Executive Director, Resolution Trust Corporation

Dr. Eugene White
Professor of Economics, Rutgers University
Research Associate, National Bureau of Economic Research

]]> Thu, 19 Mar 2009 06:40:08 -0400 cop-daily-news-roundup-45 http://cop.senate.gov/blog/entries/blog-031809-roundup.cfm COP Daily News Roundup

March 18, 2009

• WaPo - AIG Firestorm Raises Alarm For Other Firms
• Financial Times (FT) - Congress threatens AIG over bonuses
• WSJ - Hedge Funds May Get AIG Cash
• FT - Geithner faces critical test over bank plan
• Seeking Alpha - What Would the TARP Public-Private Partnership Look Like? (Op/Ed)
• FT - Insurer dispute clouds plan for toxic assets
• FT - Self-assembly solution
• Bloomberg - Fed Wrestles Over How to Inject Credit Into Economy
• WSJ - Poor Year Doesn't Stop CEO Bonuses
• Reuters - Goldman's share of AIG bailout money draws fire
• WSJ - Frank Prepares Bill to Revamp Fannie, Freddie
• NYT - Economic Data Offers a Balm as Fed Meets
• NYT - Senator Wants Some Remorse From C.E.O.'s
]]> Wed, 18 Mar 2009 23:00:08 -0400 cop-daily-news-roundup-44 http://cop.senate.gov/blog/entries/blog-031609-roundup.cfm COP Daily News Roundup

March 16, 2009

• Bloomberg - AIG Says $105 Billion Flowed to Goldman, SocGen, U.S. States
• WaPo - Bailout King AIG Still to Pay Millions In Bonuses
• Financial Times - Summers 'outrage' at AIG bonuses
• NYT - Bracing for a Bailout Backlash
• Bloomberg - Obama to Unveil Plan to Boost Small-Business Lending
• Bloomberg - Geithner Says He'll Soon Offer Details on Toxic-Asset Cleanup
• AP - Bernanke's Words Seem to Reassure the Markets
• WSJ - White House Aides Seek Patience on Credit Markets, Recovery
• WSJ - U.S. to Toughen Finance Rules
• WSJ - Small Business Loans Criticized
• WSJ - Reports Should Ease Deflation Worries
• WSJ - Pension Bills to Surge Nationwide
• Financial Times - Shareholder value re-evaluated
]]> Mon, 16 Mar 2009 21:55:08 -0400 cop-daily-news-roundup-43 http://cop.senate.gov/blog/entries/blog-031609-hearing.cfm Congressional Oversight Panel to Hold Hearing Thursday, March 19th: “Learning from the Past—Lessons from the Banking Crises of the 20th Century”

Hearing to Examine Government Responses to Major Banking Crises of the 20th Century

WASHINGTON, D.C.—The Congressional Oversight Panel announced today that it will hold a public hearing on the lessons that can be learned from government responses to major banking crises of the 20th century. The hearing will be held on Thursday March 19th, 2009 in Washington, D.C., and will provide an opportunity for the Panel members hear from experts on prominent banking crises of the last 100 years. The Panel hopes to achieve a better understanding of the effectiveness of prior government efforts to stabilize banks and restart economic growth in order to better assess responses to the current economic situation.

The Panel will hear testimony from experts on the banking crises in Japan and Sweden during the early 1990s, the Savings and Loan collapse in the 1980s, and the Great Depression of the 1930s.

The following witnesses are expected to testify at Thursday’s hearing:

• Bo Lundgren
  
  • Director General, Swedish National Debt Office
  • Former Swedish Minister of Financial and Fiscal Affairs
• Richard Katz
  
  • Editor-in-Chief, The Oriental Economist
  • Author, Japan: The System That Soured—The Rise and Fall of the Japanese Economic Miracle and Japanese Phoenix
• David C. Cooke
  
  • Former Executive Director, Resolution Trust Corporation
• Dr. Eugene White
  
  • Professor of Economics, Rutgers University
  • Research Associate, National Bureau of Economic Research

The Congressional Oversight Panel was created to oversee the expenditure of Troubled Asset Relief Program (TARP) funds authorized by Congress in the Emergency Economic Stabilization Act of 2008 (EESA) and to provide recommendations on regulatory reform. The Panel members are: Congressman Jeb Hensarling (R-TX), Richard H. Neiman, Superintendent of Banks for the State of New York, Damon Silvers, Associate General Counsel of the AFL-CIO, former US Senator John E. Sununu (R-NH), and Elizabeth Warren, Leo Gottlieb Professor of Law at Harvard Law School.

Additional details will be released as soon as they are available.

Event Details

WHO:
Members of the TARP Congressional Oversight Panel

WHAT:
Congressional Oversight Panel Hearing:
Learning from the Past – Lessons from the Banking Crises of the 20th Century

WHEN:
Thursday March 19th, 2009
10:00 am

WHERE:
US Capitol Visitor Center
Room SVC 208/209
Washington, D.C.

]]> Mon, 16 Mar 2009 19:03:32 -0400 cop-daily-news-roundup-42 http://cop.senate.gov/blog/entries/blog-031409-roundup.cfm COP Daily News Roundup

March 14, 2009

• WaPo - Private Investors Weigh Fed's Plan to Spur Credit Markets
• Bloomberg - Fed Program to Spur Loans May Start With Few Deals
• WSJ - Signs of Stability Drive Up Stocks
• WaPo - Obama Team Touts Economic Plans
• Financial Times - Summers sees economy gaining stability
• Bloomberg - Poole Says U.S. Is in 'Terrible' State With Financial Bailouts
• AP - Homeowner bailout option hits a snag
• WaPo - FHA to Tighten Standards for Cash-Out Refinancing
• Patriot-News - The Other Banking Bailout: Billed to Your Credit Card (Op/Ed)
• WSJ - Wells Fargo, HSBC Defend Lending Practices Following NAACP Suits
• WaPo - Hedge Funds Making Way For Government Regulation
• WSJ - G-20 Sets Increased Lending as Priority
]]> Sat, 14 Mar 2009 23:57:08 -0400 cop-daily-news-roundup-41 http://cop.senate.gov/blog/entries/blog-031109-roundup.cfm COP Daily News Roundup

March 11, 2009

• Bloomberg - U.S. May Use Capital Injections to Help Banks Sell 'Bad' Assets
• WSJ - TALF Bogs Down as Investors Balk
• WSJ - Fed Considers Its Next Actions
• WSJ - Even Solid Firms Feel Pinch as Lending Remains Tight
• Bloomberg - Schumer, Durbin Propose New Consumer Watchdog Agency
• AP - Bill seeks stronger consumer finance protections
• Bloomberg - Bank of America, JPMorgan Face Mortgage Conflicts

• NYT - Banks Counted on Looting America's Coffers
(Op/Ed)
• Bloomberg - Banks' Bondholders May Be Next in Line to Share Bailout Pain
• WSJ - Bernanke Calls for Broader Regulations
• Financial Times - Atlantic stimulus rift grows
• WaPo - Congress May Need to Fund Another Stimulus, Pelosi Says
]]> Wed, 11 Mar 2009 22:44:08 -0400 cop-daily-news-roundup-40 http://cop.senate.gov/blog/entries/blog-031009-roundup.cfm COP Daily News Roundup

March 10, 2009

• WSJ - U.S. Weighs Further Steps for Citi
• Financial Times - Citi has strong start to the year
• WaPo - AIG Warned of 'Catastrophic' Failure
• CBS News - Fed Under Pressure to Reveal AIG Bailout Recipients
• Los Angeles Times - Taking aim at TARP
• WaPo - Detox for Troubled Assets
• WSJ - S&P Puts Mortgage-Backed Securities on Downgrade Watch
• Financial Times - Fresh pessimism sweeps over credit sector
• WaPo - Romer: Too Soon for More Stimulus
• WaPo - Staffing Shortage Hinders Treasury's Progress
• NYT - Mortgage Fraud Case Poses Federal Quandary
• Bloomberg - Bernanke Urges Finance-Rules Overhaul to Stem Build-Up of Risks
• Bloomberg - U.S. Unemployment Rate to Reach 9.4% This Year, Survey Shows
]]> Tue, 10 Mar 2009 23:25:08 -0400 cop-daily-news-roundup-39 http://cop.senate.gov/blog/entries/blog-030909-roundup.cfm COP Daily News Roundup

March 9, 2009

• WaPo - Oversight of Bank Bailouts Criticized
• NYT - G.O.P. Senators Say Some Big Banks Can Be Allowed to Fail
• Financial Times - Obama urged to let banks fail
• NYT - A.I.G., Where Taxpayers’ Dollars Go to Die
• Reuters - Europe banks silent on reported AIG bailout gains
• WaPo - Hard Lessons in Helping Homeowners
• WSJ - Obama's Mortgage Plan Is What We Need (Op/Ed)
• WaPo - The Next Hit: Quick Defaults
• WSJ - Orszag Urges Patience on Recovery
• Bloomberg - Obama Nominates Three for Assistant Treasury Secretary Posts
• WSJ - New Fears as Credit Markets Tighten Up
• NYT - All Boarded Up
• Financial Times - Seeds of its own destruction
• Bloomberg - Global Economy to Shrink First Time Since WWII, World Bank Says
• WSJ - U.S. to Push for Global Stimulus
• WSJ - Watchdog Over Stimulus Spending Toes a Delicate Line
]]> Mon, 09 Mar 2009 22:00:08 -0400 cop-daily-news-roundup-38 http://cop.senate.gov/blog/entries/blog-030709-roundup.cfm COP Daily News Roundup

March 7, 2009

• WSJ - Top U.S., European Banks Got $50 Billion in AIG Aid
• Bloomberg - Minnesota Bank Asks Why It Pays for Wall Street Greed
• Reuters - US Congress watchdog faults Obama mortgage plan
• MarketWatch - Report: Obama mortgage program has some issues
• Bloomberg - Hoenig Hits Treasury for Lack of ‘Decisive’ Action
• Bloomberg - Fed Credit Has Stabilized Markets, Not Fixed Them, Study Says
• Financial Times - Dudley hits out at banks’ ‘self-interest’
• WaPo - Regulatory Reform Sought In Wake of Fraud Cases
• MarketWatch - Mark-to-market accounting debated
• Bloomberg - Volcker Urges Dividing Investment, Commercial Banks
• NYT - Savings Accounts for All: Simple, but Not Easy
• Bloomberg - Surging U.S. Unemployment Rate Pressures Obama for More Action
• WaPo - Finance Majors Happily Looking Beyond Wall Street for Work
]]> Sat, 07 Mar 2009 22:45:08 -0500 cop-daily-news-roundup-37 http://cop.senate.gov/blog/entries/blog-030609-foreclosurereport.cfm The March oversight report for COP is entitled: The Foreclosure Crisis: Working Towards a Solution.  In this report, COP examines the roots of the foreclosure crisis and offers a checklist for evaluating proposals to deal with this problem. 

From the beginning, the Treasury Department has used its funding through the Troubled Asset Relief Program (TARP), to stabilize the financial institutions that lie at the top of the economic pyramid.   COP members believe that the country will not be able to pull out of this recession and end the financial crisis without a plan to address the foreclosure crisis at the root of the downturn.



Read:

• Executive Summary
• Alternative View by Rep. Jeb Hensarling
• Alternative view by Richard Neiman, Damon Silvers and Elizabeth Warren
]]> Fri, 06 Mar 2009 07:45:19 -0500 cop-report-modernizing-the-american-financial-reg-1 http://cop.senate.gov/blog/entries/blog-030509-roundup.cfm COP Daily News Roundup

March 5, 2009

• WaPo - U.S. Launches Wide-Ranging Plan to Steady Housing Market
• WSJ - Mortgage Bailout to Aid 1 in 9 U.S. Homeowners
• Bloomberg - First Step in Housing Refinance Plan Is Reaching Loan Servicer
• NYT - Unlucky or Unwise, Some Borrowers Are Left Out
• Time - Nearly 1 in 5 Owe More Than Homes Are Worth
• Newsday - Schumer pushes financial product safety review board
• Bloomberg - Geithner Warns of Deeper Slump, Seeking Backing for Bank Rescue
• NYT - Federal Reserve Beige Book Paints a Broadly Pessimistic Picture
• WaPo - Brown Tells Congress To 'Seize This Moment'
• Bloomberg - JPMorgan, Wells Fargo, Bank America Face Ratings Cuts
• Bloomberg - Life Insurers May Get Reply on TARP in Next 2-3 Weeks
• Bloomberg - More Americans Turn to Tax Refund Loans to Pay Monthly Bills
• WaPo - SEC to Discuss Revamping of Rules Governing Credit-Rating Agencies
]]> Thu, 05 Mar 2009 20:45:08 -0500 cop-daily-news-roundup-36 http://cop.senate.gov/blog/entries/blog-030309-roundup.cfm COP Daily News Roundup

March 3, 2009

• WaPo - In Free-Fall, Stocks Hit Lowest Mark Since '97
• WSJ - Freddie Chief Quits After Six Months
• NYT - U.S. Likely to Keep the Reins on Fannie and Freddie
• WaPo - AIG Posts $61.7 Billion Loss, Faces Grim Future
• WSJ - For AIG, a Buy-and-Hold Strategy
• NYT - A Remake of A.I.G. Is the Goal of Rescue
• NYT - The Case for Saving A.I.G., by A.I.G.
• WSJ - 'Bad Bank' Funding Plan Starts to Get Fleshed Out
• Reuters - U.S. lawmakers seek database to track bailout banks
• Reuters - Where has the U.S. bailout money gone?
• Financial Times - BofA chief admits Merrill aid 'mistake'
• WSJ - Citi to Allow Jobless to Pay Less on Loans
• Financial Times - Mixed US data better than feared
]]> Tue, 03 Mar 2009 22:10:08 -0500 cop-daily-news-roundup-35 http://cop.senate.gov/blog/entries/blog-030209-roundup.cfm COP Daily News Roundup

March 2, 2009

• WaPo - AIG Said To Receive Access to More Cash
• WSJ - In Twist, AIG Sues Its Benefactor Over Taxes
• WaPo - On Economy, Two United Voices Steer Obama Agenda
• Bloomberg - Obama's Economic Team Lacks Two Top Aides as Senate Delays Vote
• Bloomberg - Sweden's 'Mr. Fix-It' Bank Bailout May Be Model for U.S., U.K.
• WSJ - Regulators See Big Funding Boost
• NYT - Message to Regulators: Bank Fix Needed Quickly
• Bloomberg - Fed Officials Weigh 'Exit Strategy' for End of Crisis
• NYT - Guess What Got Lost in the Loan Pool?
• PBS Frontline - Inside the Meltdown (Video)
• NYT - When Will the Recession Be Over? (Op/Eds)
• WSJ - Stocks Will Indicate When the Tide Is Turning
• NYT - A Slowdown That May Slow Us Down
]]> Mon, 02 Mar 2009 14:20:08 -0500 cop-daily-news-roundup-34 http://cop.senate.gov/blog/entries/blog-022809-roundup.cfm COP Daily News Roundup

February 28, 2009

• WSJ - Citi, U.S. Reach Accord on a Third Bailout
• WaPo - Private Investment Required In U.S. Deal With Citigroup
• Bloomberg - Citigroup's Third U.S. Rescue May Not Be Its Last, Analysts Say
• WSJ - Citi Board Revamp Faces Hurdles
• WaPo - Economy Shrinks at Staggering Rate
• WaPo - Dow Hits 12-Year Low; Bank Stocks Pounded
• Maryland Community Newspapers - County residents, legislators share foreclosure woes with congressional panel
• Southern Maryland Online - Feds Turn to Prince George's for Tales of Mortgage Woes
• WaPo - Brokers Defend Retention Payouts
• NYT - F.D.I.C. Increases Fees to Insure Bank Deposits
• Reuters - Northern Trust plans to repay aid after uproar
• CNN - Louisiana bank is first to return TARP funds
• Bloomberg - Wells Fargo Slashes Executive Pay, Golf Sponsorship
• Bloomberg - Fed Credibility to Keep Price Expectations Moored, Yellen Says
• WaPo - Taking on a Tenant To Ease the Burden
]]> Sat, 28 Feb 2009 17:20:08 -0500 cop-daily-news-roundup-33 http://cop.senate.gov/blog/entries/blog-022709-hearing.cfm COP Field Hearing: Coping with the Foreclosure Crisis in Prince George’s County, Maryland


February 27, 2009


The Congressional Oversight Panel is holding a hearing examining state and local foreclosure reduction and prevention efforts in the state of Maryland.  Prince Georges County has the highest rate of foreclosures in Maryland. 

The witnesses include members of the public who have faced the threat of foreclosure, community-based providers of foreclosure mitigation and other housing servicers, and a state official.  Congresswoman Edwards, Congressman Van Hollen, and a representative from Prince George’s County will also address the Panel.
Watch/Listen to the Hearing.

The witness list:



Panel One

• John and Esther Mitchell, residents of Prince George’s County and distressed homeowners
• Tracy Robison, resident of Prince George’s County and distressed homeowner
• Teresa Smith, resident of Prince George’s County and distressed homeowner



Panel Two

• Lisa McDougal, Co-Chair, Coalition for Homeownership Preservation in Prince George’s
  County, and Executive Director, Sowing Empowerment and Economic Development (SEED)
• Anne Balcer Norton, Director of Foreclosure Prevention, St. Ambrose Housing Aid Center
• The Honorable Thomas E. Perez, Secretary, Maryland Department of Labor, Licensing & Regulation
• Phillip Robinson, Executive Director, Civil Justice, Inc.


The Panel will also hear remarks from:


• The Honorable Chris Van Hollen, U.S. Congressman (MD-8th)
• The Honorable Donna Edwards, U.S. Congresswoman (MD-4th)
• Lloyd Baskin, Manager, Homeownership Center, Prince George’s County Department of Housing and Community Development




Flash Player is required to view this video stream. Download Flash Player.

]]> Fri, 27 Feb 2009 08:00:08 -0500 cop-daily-news-roundup-32 http://cop.senate.gov/blog/entries/blog-022609-roundup.cfm COP Daily News Roundup

February 26, 2009

• WaPo - Expanded Rescue Of Banks Outlined
• NYT - Government Offers Details of Bank Stress Test
• Bloomberg - U.S. Sets a Six-Month Deadline for New Bank Capital
• CNN - Budget leaves open possibility of $750 billion more in bailout funds
• WaPo - Another Battle on the Housing Front
• WSJ - Fight Looms Over Bankruptcy Plan in Bill to Stem Foreclosures
• NYT - Big U.S. Role in Lending to Students
• WSJ - Next Front: Bank Regulation
• Bloomberg - Bernanke Rejects 'Anything Like' Bank Nationalization
• WSJ - Citi Confronts Global Fallout as U.S. Nears Deal on Stake
• Bloomberg - Liddy Pleads for Forgiveness as AIG Rescue Unravels
• WaPo - Trouble on the Assembly Line
• WaPo - In President's Budget Plan, Broad Agenda and a Few Gaps
• Financial Times - Biden pledges tough stimulus oversight
]]> Thu, 26 Feb 2009 23:15:08 -0500 cop-daily-news-roundup-31 http://cop.senate.gov/blog/entries/blog-022509-hearing.cfm Congressional Oversight Panel to Hold Field Hearing in Maryland on Foreclosure Crisis

WASHINGTON, D.C.—The Congressional Oversight Panel today announced its second field hearing—“Coping with the Foreclosure Crisis: State and Local Efforts to Combat Foreclosures in Prince George’s County, Maryland.” The hearing will take place this Friday, February 27, 2009. Prince George’s County has the highest rate of foreclosures in Maryland. Overall Maryland has taken aggressive steps to address the foreclosure crisis. The state’s approach coordinates state and local government action with community organizations and is one of the reasons that Maryland as a whole is doing better than the national average on home foreclosures.

The Panel is required by law to review the “current state of the market and the regulatory system” and provide reports to Congress and the American public on the effectiveness of the Treasury Department’s management of the Troubled Asset Relief Program (TARP), the “effectiveness of foreclosure mitigation efforts and the effectiveness of the program from the standpoint of minimizing long-term costs to the taxpayers and maximizing the benefits for the taxpayers.” At the Maryland hearing, the Panel will explore state and local efforts at foreclosure prevention and home price stabilization in Prince George’s County with an emphasis on identifying the economic and institutional barriers to loan modifications and refinancing.

The Panel will hear testimony from members of the public who have faced the threat of foreclosure, community-based providers of foreclosure mitigation and other housing servicers, and a state official. Congresswoman Edwards, Congressman Van Hollen, and a representative from Prince George’s County will also address the Panel.

In addition to the hearings, the Panel is encouraging all Americans to pose their own questions, make their own suggestions, and share their personal stories through the website at www.cop.senate.gov.

Event Details

Who

Members of the TARP Congressional Oversight Panel

What

Congressional Oversight Panel Hearing on Coping with the Foreclosure Crisis: State and Local Efforts to Combat Foreclosures in Prince George’s County, Maryland

When

Friday, February 27, 2009, 9:30 am

Where

Prince George’s Community College
Largo Student Center, Community Room B
301 Largo Road, Largo, MD

]]> Thu, 26 Feb 2009 02:53:05 -0500 cop-daily-news-roundup-30 http://cop.senate.gov/blog/entries/blog-022509-roundup.cfm COP Daily News Roundup

February 25, 2009

• WaPo - ‘Day of Reckoning’
• NYT - Obama Assures Nation: ‘We Will Rebuild’
• WSJ - President Lifts Tone, Reaches Out to Average Americans
• WSJ - Citigroup Chafes Under U.S. Overseers
• Financial Times - Citi close to deal with Treasury
• WSJ - TARP Said to Be Ripe for Fraud
• Fox Business News - Taxed TARP Overseers Say They Need Details
• WSJ - BofA Feels Bite of Move Into Mortgage-Backed Securities
• WSJ - Top Democrat Eyes Temporary Bank Takeover
• Bloomberg - Bernanke Spurns Outright U.S. Control of Banks in Rescue Plan
• WSJ - Twin Crises Feed the Spiral
• NYT - As A.I.G.’s Losses Grow, Its Survival Options Shrink
• WaPo - Lack of Lifeline May Give Ford a Jump Start
• WSJ - Home Prices Continue to Post Record Declines
• Bloomberg - Sales of Existing Homes in U.S. Probably Increased in January
• WSJ - Renters Lose Edge on Homeowners
]]> Thu, 26 Feb 2009 03:01:08 -0500 cop-daily-news-roundup-29 http://cop.senate.gov/blog/entries/blog-022409-roundup.cfm COP Daily News Roundup

February 24, 2009

• WaPo - U.S. Clears Path to Bank Takeovers
• Bloomberg - Obama Seeks to 'Clean Out the System' With Bank Test
• NYT - U.S. Is Pressed to Add Billions to Bailouts
• Los Angeles Times - U.S. attaches strings to bank bailout funds
• NYT - A 3rd Rescue Would Give U.S. 40% of Citigroup
• Financial Times - Rivals want curb on nationalised Citi
• Financial Times - High hopes for US toxic asset purchase plan
• Bloomberg - December Home Prices in 20 U.S. Cities Fall 18.5% From Year Ago
• WSJ - Jumbo Mortgages, Jumbo Headaches
• Bloomberg - Thain Set to Testify Today on Bonuses for Merrill Employees
• WSJ - AIG Seeks to Ease Its Bailout Terms
• Bloomberg - Fed Urges Banks to Put Bailout Funds Into Loans, Not Dividends
• Financial Times - Pressure on Congress over Wall St risk review
]]> Tue, 24 Feb 2009 22:00:19 -0500 cop-daily-news-roundup-28 http://cop.senate.gov/blog/entries/blog-022309-roundup.cfm COP Daily News Roundup

February 23, 2009

• National Journal - Stimulus Watchdogs Won't Be Chained
• Bloomberg - Obama Bank Nationalization Is Focus of Speculation
• NYT - As Doubts Grow, U.S. Will Judge Banks' Stability
• WSJ - U.S. Eyes Large Stake in Citi
• WSJ - Grip on Bank Would Tighten If Deal Is Set
• Bloomberg - Fed May Need to Recast TALF to Revive Commercial Real Estate
• WaPo - Getting a Mortgage Can Be More Difficult if You Are Self-Employed
• NYT - After Huge Losses, a Move to Reclaim Executives' Pay
• CQ Politics - Should Bailed Out Companies Be Able To Lobby?
• WSJ - One Thing Still Working: Borrow Low, Lend Higher
• WaPo - Heads of 8 European Countries Pledge Global Finance Changes
• Bloomberg - Washington Pushes for Easy-To-Understand Financial Disclosure
• WaPo - Obama's First Budget Seeks To Trim Deficit
• NYT - When Consumers Cut Back: A Lesson From Japan
• WaPo - Senate Weighing New Rules for Retirement Funds
]]> Mon, 23 Feb 2009 22:00:19 -0500 cop-daily-news-roundup-27 http://cop.senate.gov/blog/entries/blog-022109-roundup.cfm COP Daily News Roundup

February 21, 2009

• WaPo - Bank Shares Topple on Talk Of Possible U.S. Takeover
• WSJ - U.S. Seeks to Stem Bank Fears
• Bloomberg - U.S. Lawmakers Clash Over Nationalizing Banks to Stem Declines
• AP - Gov't expands national program to buy foreclosures
• WaPo - Mortgage Rescue Eligibility Still Being Finalized
• AP - Some denounce Obama's homeowner rescue as unfair
• WSJ - Finessing 'Moral Hazard' Is Tough in Housing Plan
• WaPo - Extent of Bankruptcy Reform Hinges on Details
• AP - US Treasury ordered to surrender bailout records
• Financial Week - Could little-known banking law fix this mess?
• WSJ - Stringent Hiring Rules Leave Treasury in Need of Staff
• WSJ - Bill Adds Hurdles for Foreign Hires
• WaPo - Obama Plans Summit Next Week On Long-Term Budget Difficulties
• Bloomberg - American Budgets Have More to Spare for Cars, Home Than in 1955
]]> Sat, 21 Feb 2009 22:00:19 -0500 cop-daily-news-roundup-26 http://cop.senate.gov/blog/entries/blog-021909-roundup.cfm COP Daily News Roundup

February 19, 2009

• WaPo - Obama Proposes Package To Stave Off Foreclosures
• NYT - $275 Billion Plan Seeks to Address Crisis in Housing
• Sacramento Bee - Mixed reviews for housing plan
• WaPo - U.S. Doubles Fannie, Freddie Backing to $400 Billion
• AP - HUD Secretary: Banks must 'step up' on foreclosure
• NYT - Modifying Mortgages Can Be Tricky
• WaPo - How the Program Would Work
• NYT - More Housing Details Are Pending, but First Some Answers
• Politico - Housing plan leaves out critical pieces
• Bloomberg - Pianalto Says Fed’s TALF Will Be Big Help for Economy
• WaPo - Fed Leaders Issue Bleak Forecast
• NYT - Fed Chief Defends Steps Taken to Contain Crisis
]]> Thu, 19 Feb 2009 20:00:19 -0500 cop-daily-news-roundup-25 http://cop.senate.gov/blog/entries/blog-021809-roundup.cfm COP Daily News Roundup

February 18, 2009

• NYT - Bailout Likely to Focus on Most Afflicted Homeowners
• WSJ - Distressed Homeowners Get New Options in Plan
• NYT - Effort Takes Shape to Support Families Facing Foreclosure
• WSJ - Housing Fix's Challenge: Making Modified Loans Attractive
• WSJ - A Florida Court's 'Rocket Docket' Blasts Through Foreclosure Cases
• Bloomberg - California Foreclosure Epicenter Shows Challenge Facing Obama
• Financial Times - Bank nationalisation gains ground with Republicans
• WaPo - Lending By Bailout Recipients Is Down
• WaPo - GM, Chrysler Seek Billions More in Aid
• WSJ - Limits on Pay Left Unclear in New Law
• WaPo - Swift, Steep Downturn Crosses Globe
• Bloomberg - Fed Should Expand Supply of Money, Bullard Says
]]> Wed, 18 Feb 2009 20:30:19 -0500 cop-daily-news-roundup-24 http://cop.senate.gov/blog/entries/blog-021709-roundup.cfm COP Daily News Roundup

February 17, 2009

• WaPo - Late Change in Course Hobbled Rollout of Geithner's Bank Plan
• NYT - Obama Plan on Housing Said to Push on Lenders
• WSJ - Axelrod: Obama Has 'Solid' Housing Plan
• WaPo - Scolding and Helping Wall Street at the Same Time
• Bloomberg - Bailed-Out Banks Charge Taxpayers Highest Fees in FDIC Sales
• Bloomberg - Citi Cost-Cutters Skip Offices, Staff for Ex-CEOs Prince, Reed
• NYT - That Perk in the Sky Has Defenders on Land
• Bloomberg - Dodd's Pay Limit Makes Wall Street Face Pandit's 'New Reality'
• WaPo - GM, Chrysler Finalize Plans To Restructure
• NYT - G.M. Presses Union for Cuts in Health Care
• WSJ - Auto Maker Bankruptcy Looms
• NYT - Would a G.M. Bankruptcy Save Taxpayer Money?
• NYT - Dead End in Detroit for White-Collar Workers
• WSJ - Treasury Pads Coffers in Bailout
• Financial Times - Clinton suggests Tarp go green
• WSJ - Due to the Economy, There Will Be No Celebrating the Cackling Goose
]]> Tue, 17 Feb 2009 22:45:19 -0500 cop-daily-news-roundup-23 http://cop.senate.gov/blog/entries/blog-021309-roundup.cfm COP Daily News Roundup

February 13, 2009

• LAT - Investigation looks into political pressure in bailout distribution
• NYT - Ailing Banks May Require More Aid to Keep Solvent
• LAT - Obama bank rescue plan takes 2 tracks
• WaPo - Subsidies For Loan Workouts Weighed
• Reuters - Obama eyes home loan subsidies in rescue plan-sources
• Business Week - How Banks Are Worsening the Foreclosure Crisis
• Economist - Dashed expectations
• NYT - Question of Control Over Banks Awaits Treasury Secretary at Group of 7 Meeting
• Bloomberg - Wall Street Men May Flee World According to TARP
• Bloomberg - Geithner Hampered by Staff Deficit as Wall Street Demands Speed
• NYT - In Japan's Stagnant Decade, Cautionary Tales for America
• Breakingviews.com - Vulture Investors to the Rescue?
• WaPo - U.K.'s Brown Says Bonuses Should Be Reclaimable
• Financial Times - SEC flaws exposed by Madoff scandal
• NYT - Fed Calls Gain in Family Wealth a Mirage
• CNBC - Greenspan Says He Was Mystified by Subprime Market
]]> Fri, 13 Feb 2009 20:50:19 -0500 cop-daily-news-roundup-22 http://cop.senate.gov/blog/entries/blog-021209-roundup.cfm COP Daily News Roundup

February 12, 2009

• NYT - Geithner Rebuffs Critics on Banking Rescue Plan
• NYT - Bank Test May Expand U.S. Regulators' Role
• Bloomberg - Treasury's U.S. Housing Plan to Fund Interest-Rate Reductions
• Bloomberg - Fed's Duke Urges Stronger Anti-Foreclosure Efforts
• WaPo - Lawmakers Line Up Bankers, Unleash Anger of the Masses
• WSJ - Lawmakers Pull Few Punches With Bank Executives
• Financial Times - US bankers yield to foreclosure demands
• NYT - Nearly 700 at Merrill in Million-Dollar Club
• WSJ - Hints of Stability Emerge in Fragile Financial System
• Bloomberg - Geithner's $1 Trillion Plan May Not Save Commercial Real Estate
• WSJ - Foreclosures Ease as Lenders Await U.S. Plan to Aid Borrowers
• WSJ - On Street, Reluctance to Blow the Whistle
• WaPo - Congress Reaches Stimulus Accord
• Bloomberg - Fed in Talks to Add Primary Dealers as Sales Rise to Record
• Financial Times - China to stick with US bonds
]]> Thu, 12 Feb 2009 20:50:19 -0500 cop-daily-news-roundup-21 http://cop.senate.gov/blog/entries/blog-021109-roundup.cfm COP Daily News Roundup

February 11, 2009

• NYT - Bailout Plan: $2.5 Trillion and a Strong U.S. Hand
• WSJ - Market Pans Bank Rescue Plan
• Bloomberg - Geithner Leaves Questions and Markets Make Him Pay
• NYT - For Geithner's Debut, a Lukewarm Reception
• WSJ - Reviews, 'Stress Tests' May Reveal Deeper Bank Troubles
• WaPo - Prospective Buyers of Toxic Assets Wary of Plan
• WSJ - At Vegas Confab, Geithner Inspires Skepticism and Hope
• NYT - Washington Hopes 'Vulture' Investors Will Buy Bad Assets
• WSJ - For Geithner, Taxpayers and Shareholders Both Have Their Demands
• WaPo - Facing Oversight, Banks Go on Offense
• NYT - Some Banks Want to Return Government Money
• NYT - Cuomo Cites Big Bonuses for Many at Merrill
• WSJ - A Banker Who Stayed Out of Problem Loans Fumes at a Bailout for Those Who Didn't
• CNNMoney.com - Dollar drops on bailout fallout
• WSJ - Foreclosure 'Tsunami' Hits Mortgage-Servicing Firms
• Bloomberg - Bernanke Begins 'Thorough Review' of Fed Disclosure
• WaPo - Senate, House Begin Talks on Stimulus
]]> Wed, 11 Feb 2009 21:00:19 -0500 cop-daily-news-roundup-20 http://cop.senate.gov/blog/entries/blog-021009-roundup.cfm COP Daily News Roundup

February 10, 2009

• NYT - Calls for Clarity in New Bailout for U.S. Banks
• US News & World Report - Elizabeth Warren: Middle Class Lacks Security
• WaPo - New Bailout May Top $1.5 Trillion
• WaPo - Obama Says Economic Crisis Comes First
• WSJ - Banks to Get Stress Test Before Aid
• Bloomberg - Geithner's Bank Rescue May Determine Effectiveness of Stimulus
• WSJ - Banks May Keep Skin in the Game
• LAT - Financial bailout expected to rely on private investors
• MarketWatch - Morgan Stanley CEO looks to repay TARP this year
• WSJ - CFTC Will Seek Power to Prosecute
• Bloomberg - More Jobs in House Bill Than Senate's, Economists Say
• NYT - Losses Mount on Credit Cards for Retailers
]]> Tue, 10 Feb 2009 22:45:19 -0500 cop-daily-news-roundup-19 http://cop.senate.gov/blog/entries/blog-020909-roundup.cfm COP Daily News Roundup

February 9, 2009

• Business Week - Treasury Plan to Buy Toxic Assets Likely Hinges on Pricing
• WSJ - Bank Bailout Plan Revamped
• NYT - U.S. Bank Bailout to Rely in Part on Private Money
• Bloomberg - U.S. Delays Finance Plan as Officials Debate Debt
• WSJ - CEOs Will Be on the Hot Seat in Hearing
• WaPo - In Geithner's Overhaul, Aggressive Use of All Available Tools Expected
• Bloomberg - Geithner to Tell Democrats Banks Must Modify Loans
• NYT - For Bank of America and Merrill, Love Was Blind
• WSJ - Finance Ministers Will Try to Measure Obama's Support for Global Initiatives
• NYT - In Florida, Despair and Foreclosures
• WaPo - How Much Does Your CEO Really Make? Go Figure.
]]> Mon, 09 Feb 2009 20:30:19 -0500 cop-daily-news-roundup-18 http://cop.senate.gov/blog/entries/blog-020609-valuationreport.cfm COP is releasing its latest oversight report today entitled “Valuing Treasury’s Acquisitions.” This report is our own attempt to answer the fifth question in our first oversight report: Is the Public Receiving a Fair Deal?   After reviewing the top ten TARP transactions, we learned that every time Treasury spent $100, it took back assets that were worth, on average, $66.  This equals a $78 billion shortfall for the $254 billion spent on these deals so far.

Watch video of Chair Elizabeth Warren introducing this report below.

For a deal-by-deal breakdown of the real value of the top ten TARP deals, read our report in full.  You can also read the detailed analysis produced Duff & Phelps, the valuation firm we retained to analyze these deals.



Duff & Phelps Final Valuation Report to the Congressional Oversight Panel:

• Valuation Report
• Appendix I
• Appendix II
• Appendix III

Additional report for the COP:

• Legal Analysis of the Investments by
  the U.S. Department of the Treasury in Financial Institutions
  under the Troubled Asset Relief Program
]]> Fri, 06 Feb 2009 08:00:19 -0500 cop-report-modernizing-the-american-financial-reg http://cop.senate.gov/blog/entries/blog-020509-roundup.cfm COP Daily News Roundup

February 5, 2009

• WSJ - In Merrill Deal, U.S. Played Hardball
• NYT - Obama Calls for ‘Common Sense’ on Executive Pay
• NYT - Wall St. Pay Is Cyclical. Guess Where We Are Now.
• Bloomberg - Geithner Must Set Strategy for Bank-Stake Sales, Inspector Says
• WaPo - Treasury Warned on Lending Plan
• Reuters - Bank rescues risk skewing competition
• WSJ - Mortgage Banks Push for Federal Support
• WSJ - An AIG Unit's Quest to Juice Profit
• CNNMoney.com - Overseer calls for bank bailout makeover
• NYT - Volcker Suggests Ways to Refine Bank Regulations
• NYT - At Madoff Hearing, Lawmakers Lay Into S.E.C.
• NYT - Senate Adds Homebuyer Tax Credit to Stimulus Bill
]]> Thu, 05 Feb 2009 20:30:19 -0500 cop-daily-news-roundup-17 http://cop.senate.gov/blog/entries/blog-020409-roundup.cfm COP Daily News Roundup

February 4, 2009

• WaPo - Bank Rescue Would Entail Triage for Troubled Assets
• ABC News - President Obama to Announce New Boss Salary Restrictions for TARP-Receiving Companies
• WSJ - Geithner: Speed Is Key to Recovery
• NYT - Time to Steer 'Forceful Course' for Stimulus
• WSJ - Frank Backs Regulator for Systemic Risk
• WSJ - Bill Aims for Disclosure by Private Equity
• WSJ - Markopolos Blasts SEC for 'Financial Illiteracy'
• WaPo - Schapiro's SEC Expected To Step Up Enforcement
• WSJ - Obama's Pick for Commodity Post Vows New Era of Regulation
• NYT - Both Parties Move to Aid Homeowners
• NYT - Rise in Pending Home Sales Reported
• NYT - As Home Prices Go, So Do Cities
]]> Wed, 04 Feb 2009 18:30:19 -0500 cop-daily-news-roundup-16 http://cop.senate.gov/blog/entries/blog-020309-roundup.cfm COP Daily News Roundup

February 3, 2009

• Indianapolis Star - As economic uncertainty mounts, more middle-class families are learning that payday loans add up
• WSJ - Treasury to Outline Bank Plan Next Week
• Bloomberg - Obama Foreclosure-Relief Plan May Guarantee Rewritten Loans
• NYT - Big Risks for U.S. in Trying to Value Bad Bank Assets
• WSJ - Banks Adopt Tighter Terms for Lending, Survey Says
• Bloomberg - Citigroup, JPMorgan Chiefs Summoned to Discuss TARP
• AP - Citigroup to deploy $36.5 billion to boost lending
• AP - Feds may limit execs' pay at banks that get aid
• WSJ - Policy Makers Weigh Fed Oversight of Derivatives
• Bloomberg - U.S. Property Owners Lost $3.3 Trillion in Home Value Last Year
• NYT - Consumers Are Saving More and Spending Less
]]> Tue, 03 Feb 2009 22:15:19 -0500 cop-daily-news-roundup-15 http://cop.senate.gov/blog/entries/blog-020209-roundup.cfm COP Daily News Roundup

February 2, 2009

• Boston Globe - Sanders wants probe of roots of crisis
• Reuters - Obama asks Treasury for guidelines on bailout
• Bloomberg - Obama Will Require Banks to Expand Lending as Condition for Aid
• Bloomberg - Frank Says Obama to Force Banks in TARP to Lend More
• AP - Geithner, Bernanke work on $700B bailout overhaul
• CNBC - New Terms in Bailout Funding Talks Go Beyond 'Bad Bank'
• Bloomberg - Treasury Needs to Better Explain TARP Plan, GAO Report Says
• NYT - Better Answers Sought on Banks' Use of Aid
• WaPo - Bailout Oversight Still Lacking, GAO Finds
• NYT - Risks Are Vast in Revaluation of Assets
]]> Mon, 02 Feb 2009 22:15:19 -0500 cop-daily-news-roundup-14 http://cop.senate.gov/blog/entries/blog-013009-roundup.cfm COP Daily News Roundup

January 30, 2009

• CQ - Bailout Watchdog Calls for Financial System Overhaul, but GOP Dissents
• MarketWatch - Senate panel to seek moratorium on foreclosures: Bad bank, credit cards, and mortgage mitigation on agenda
• NYT Blog - Oversight Panel Calls for New Regulator
• Washington Examiner - TARP oversight panel makes recommendations to prevent future crises
• Financial Times - US policymakers missed warnings
• Forbes - US Sen. Dodd sets bank crisis hearings in February
• WSJ - U.S. Eyes Two-Part Bailout for Banks
• BusinessWeek - Obama Blasts Wall Street Bonuses: The President calls payouts as firms seek bailouts "the height of irresponsibility"
• Bloomberg - Obama Calls Bonuses 'Shameful' as Dodd Vows to Reclaim Money
• AP - On second thought, never mind about that bailout
(community banks)
• CNNMoney.com - BofA vows to track and report loan activity
• Bloomberg - U.S. Draft Law Would Ban Most Trading in Credit Swaps
• WSJ - Lawmakers Roll Out Hedge Fund Bill
• NYT - Senators Bid to Regulate Hedge Funds
• Bloomberg - Roubini Predicts More Global Gloom After Vindication at Davos (also, watch the media interview)
]]> Fri, 30 Jan 2009 23:00:19 -0500 cop-daily-news-roundup-13 http://cop.senate.gov/blog/entries/blog-012909-reformreport.cfm COP Report: Modernizing the American Financial Regulatory System

January 29, 2009

COP released its special report on regulatory reform today. The report discusses how regulation would have averted the crisis that we are in today, and how the implementation of smart regulation will help the United States can prevent another financial crisis and determine our economic success in the years to come.




Watch video of Chair Elizabeth Warren introducing this report below.




The report examines how deregulation of financial markets over the last twenty-five years have returned the boom-and-bust cycles that had plagued the United States’ economy until reforms of the Great Depression ushered in a half-century of financial stability. The report specifically points to three areas of regulation that could have prevented the current economic crisis, specifically basic consumer protection rules, supervision of credit rating agencies, and regulation of companies that are “too big to fail.”



Read summaries of reports examined by Panel members in preparing this report:

• Summary, Part I
• Summary, Part II
]]> Thu, 29 Jan 2009 19:30:19 -0500 regulatory-reform-report http://cop.senate.gov/blog/entries/blog-012809-roundup.cfm COP Daily News Roundup

January 28, 2009

• American Banker - Looking Under the TARP
• WaPo - Treasury Moves to Restrict Lobbyists From Influencing Bailout Program
• NYT - Geithner Sets Limits on Lobbying for Bailout Money
• USA Today - Bailout firms have program recipients among their clients
• WaPo - Treasury Weighs Hard Choices To Save Banks
• Bloomberg - New York City Securities Industry Bonuses Fell 44% (Table)
• NYT - Bank of America Board Under Gun From Critics
• AP - 4 Years for Christian Milton, ex-A.I.G. Executive
• AP - Citigroup Will Not Take Possession of New Aircraft
• WaPo - Fed Adopts Program to Stem Foreclosures
• Bloomberg - FDIC May Run 'Bad Bank' in Obama Plan to Remove Toxic Assets
• WSJ - U.S. House Panel Approves Mortgage Measure
• NYT - Home Price Index Fell Again in Nov.
• WSJ - Unemployment Rises in Every State
]]> Wed, 28 Jan 2009 17:15:19 -0500 cop-daily-news-roundup-12 http://cop.senate.gov/blog/entries/blog-012709-roundup.cfm COP Daily News Roundup

January 27, 2009

• NYT - Senate Confirms Geithner for Treasury Post
• Memphis Daily News - Banks Dodge About Where TARP Money's Gone
• Bloomberg - Banks With TARP Lend Less Than Those Without: Chart of Day
• AP - New bank bailout studied; lawmakers balk
• AP - US bets on bank execs to fix this mess
• FT - The Right and Wrong Way to Bail Out the Banks
• WSJ - Fannie Mae Seeks Billions From Treasury
• Bloomberg - Highest Rates in Generation Confront Everyone Without Fed Funds
• NYT - Bank of America's Difficult Choice
• NYT - For Fed Policy-Making, Murky Era Lies Ahead
• Bloomberg - Fed's Move Into 'Uncharted Waters' Spurs New Look at Forecasts
• NYT - Layoffs Spread to More Sectors of the Economy
• Reuters - Home sales tick up but job cuts deepen gloom
• WSJ - A Refinancing Crunch Emerges
• NYT - Barclays to Write Down £8 Billion, but Asks for No Help
]]> Tue, 27 Jan 2009 22:45:19 -0500 cop-daily-news-roundup-11 http://cop.senate.gov/blog/entries/blog-012609-roundup.cfm COP Daily News Roundup

January 26, 2009

• WSJ - Lending Drops at Big U.S. Banks: Top Beneficiaries of Federal Cash Saw Outstanding Loans Decline 1.4% Last Quarter
• NYT - Nationalization Gets a New, Serious Look
• Bloomberg - Summers Says TARP to Be 'Very Different' Under Obama
• Reuters - Obama aide won't rule out more money for bailouts
• Reuters - Pelosi signals willingness to add to TARP funds
• WaPo - Banks May Need More, Biden Says: Treasury to Report On Use of Bailout
• WaPo - Fed May Gain More Financial Oversight: Some Worry Plan Would Give Bank Too Much Power
• NYT - Obama Plans Fast Action to Tighten Financial Rules
• NYT - Six Errors on the Path to the Financial Crisis
• CNNMoney.com - Flood Of Foreclosures: It's Worse Than You Think: Banks are moving slowly to list repossessed homes for sale, which could mean that housing inventory is even more bloated than current statistics indicate
• WSJ - Earnings Season Expected to Be Dismal for Most Sectors
• Bloomberg - Slump Probably Deepened as Credit Froze: U.S. Economy Preview
• WSJ - California Towns Bail Out Auto Dealerships
]]> Mon, 26 Jan 2009 20:30:19 -0500 cop-daily-news-roundup-10 http://cop.senate.gov/blog/entries/blog-012409-roundup.cfm COP Daily News Roundup

January 24, 2009

• WaPo - Obama to Decide Soon Whether to Add to Bailout: As Banks' Situation Worsens, Some Lawmakers Say $700 Billion Rescue Won't Be Enough
• Bloomberg - Obama Signals Tough Restrictions on Banks in Rescue Package
• NYT Blog - Geithner Says TARP Would Force Banks to Lend More
• HousingWire - Geithner Champions TARP Disclosure
• WaPo - Delays in Bank Aid Spur Frustration: As Requests Pile Up, Executives Leery Of Treasury's Silence on Bailout Decisions
• American Banker - Viewpoint: Guarantees More Useful Than Capital Infusions
• AP - Some bailout recipients upped lobby spending in 4Q
• NYT - Firms That Got Bailout Money Keep Lobbying
• Bloomberg - Freddie Seeks Up to $35 Billion From U.S.; Fannie May Follow
• NYT - Price Paid for Merrill Is Rising
• WSJ - Chrysler Set to Push Dealers to Buy More
• NYT - Sweden’s Fix for Banks: Nationalize Them
• WaPo - Wall Street Bonuses Draw Scrutiny in Bailout's Wake
• NYT - Costs and Tighter Rules Thwart Refinancings
• WSJ - FDIC Says 1st Centennial Bank Is Closed
• NYT - Credit Crisis Is Leaving Charities Low on Cash
]]> Sat, 24 Jan 2009 15:45:19 -0500 cop-daily-news-roundup-9 http://cop.senate.gov/blog/entries/blog-012309-roundup.cfm COP Daily News Roundup

January 23, 2009

• WaPo - TARP Watchdog Will Ask Where Money Is
• WSJ - TARP Watchdog To Require Bks To Account For Fedl Money
• WSJ - Pressure Grows for More Rescue Funds
• WSJ - Firms Keep Lobbying as They Get TARP Cash
• USA Today - Fiat stumbles as Chrysler plan raises bailout funds questions
• WSJ - Thain Ousted in Clash at Bank of America: Surprise Losses at Merrill Unit Led to Former Chief's Fall; Pressure Is Seen Mounting on CEO Lewis Over Soured Deals
• Reuters - Goldman draws bailout critic's ire
• WaPo - By Switching Their Charters, Banks Skirt Supervision
• WSJ - Fed as Risk Regulator?
• WSJ - [UK] Bailout Critics Raising Voices Call for Accountability in Rescue of Bank Sector; 'A Big Bill for the Future'?
• NYT - Smaller Banks' Losses Expected to Bring Mergers
• WSJ - Regional Banks Prepare for Worst: Big Boosts in Loan-Loss Reserves Contribute to Weak Quarterly Earnings
]]> Fri, 23 Jan 2009 23:45:19 -0500 cop-daily-news-roundup-8 http://cop.senate.gov/blog/entries/blog-012209-roundup.cfm COP Daily News Roundup

January 22, 2009

• WSJ - US House Lawmakers Register Their Disgust With TARP
• Reuters - U.S. House approves crackdown on financial bailout
• USA Today - Obama plans sweeping action on financial bailout
• Bloomberg - Geithner Pledges Prolonged Effort to Stabilize Banks
• Reuters - Geithner says financial plan due in weeks
• WSJ - Parsons Named Citi Chairman: After Denials, Bank Taps Former Time Warner CEO to Succeed Bischoff
• WSJ - AIG Loses Star Power in Core Business
• San Francisco Chronicle - Time to get to work
• Bloomberg - Roubini Predicts U.S. Losses May Reach $3.6 Trillion
• WSJ - Credit Losses Hurt Regional Banks
• AP - Home Construction Ends Worst Year Since 1959
]]> Thu, 22 Jan 2009 20:30:19 -0500 cop-daily-news-roundup-7 http://cop.senate.gov/blog/entries/blog-012109-roundup.cfm COP Daily News Roundup


January 21, 2009

• NYT - Geithner Urges Quick Changes to Bailout Fund
• WSJ - Financials Plunge as U.S. Considers New Rescue Options
• Bloomberg - Treasury Demands Banks With TARP Funds Report Lending
• BusinessWeek - Bank Stocks: The Trouble with TARP: Financial stocks plunged Jan. 20 as investors worry about the strings attached to the U.S. Treasury's bailout of institutions like Bank of America
• WSJ - Home-Loan Banks Struggle to Maintain Capital
• American Banker - Giving B of A More Help, Did Government Tip Hand?
• American Banker - Tarp, Not Flagstar, May Save Thornburg
• Institutional Risk Analysis - To Stabilize Global Banks, First Tame Credit Default Swaps
• WSJ - A Kinder Bankruptcy Law Is Sought as Filings Soar
]]> Wed, 21 Jan 2009 12:00:19 -0500 cop-daily-news-roundup-6 http://cop.senate.gov/blog/entries/blog-011709-roundup.cfm COP Daily News Roundup

January 17, 2009

• WSJ - U.S. Plots New Phase in Banking Bailout
• Bloomberg - Obama Financial Rescue May Revive Effort to Resolve Bad Assets
• Reuters - Paulson: TARP still needed for bank capital
• U.S. News - How Barack Obama's Bailout May Differ From Henry Paulson's
• WSJ - First Third of TARP Could Cost Taxpayers $64 Billion
• Thompson Financial News - Treasury Issues Interim Rule on TARP Conflicts of Interest
• Thompson Financial News - Paulson Defends TARP Implementation in Final Talk with Press
• WSJ - Bank of America Goes on Offense: Stock Falls on Quarterly Loss, Latest Bailout; Merrill Settles Subprime Suits
• NYT - For Bank of America, the Pressure Mounts Over Merrill Deal
• CNNMoney.com - Bailout Panel Discusses Funding Needs of US Carmakers
• NYT - In Search of One Bold Stroke to Save the Banks
• WSJ - FDIC Hopes to Kickstart Consumer Lending Through New Debt Guarantee
• WSJ - WSJ Interview: FDIC's Bair Fleshes Out 'Aggregator Bank' Idea
]]> Sat, 17 Jan 2009 19:00:19 -0500 cop-daily-news-roundup-5 http://cop.senate.gov/blog/entries/blog-011609-roundup.cfm COP Daily News Roundup

January 16, 2009


• WSJ - TARP Funds' Second Half Set for Release as Senate Signs Off on Request
• Bloomberg - Obama Wins Legislative Test as Senate Allows Use of TARP Funds
• WaPo - Senate Votes To Release Bailout Funds To Obama: Democrats in House Unveil $825 Billion Stimulus Package
• NYT - Senate Releases Second Portion of Bailout Fund
• ProPublica - While Congress Debates More Bailout Money, Treasury Is Already Spending It
• AP - Highlights of new bailout proposals
• BusinessWeek - TARP: The Sequel: Now, the debate over how to spend the second $350 billion of the government rescue program. This time, distressed homeowners may get help
• Washington Examiner - Robert Reich proposes how to handle the next TARP installment
• NYT - Some Ask if Bailout Is Unconstitutional
• NYT - Rescue of Banks Hints at Nationalization
• Houston Business Journal - Survey: Banks still bullish on TARP
• AP - Treasury releases bailout rules for small banks
• NYT - Citigroup Reports Big Loss and a Breakup Plan
• NYT - Bank of America Posts Loss as It Gets New Aid
• Reuters - BofA aid diverted from TARP first half: official
• WSJ - Big Holders of GM Debt Form Group to Negotiate
]]> Fri, 16 Jan 2009 19:00:19 -0500 cop-daily-news-roundup-4 http://cop.senate.gov/blog/entries/blog-011509-roundup.cfm COP Daily News Roundup

January 15, 2009

AP - Obama awaits vote in Senate for $350B bailout

Bloomberg - Senate to Vote Tomorrow on Releasing TARP Funds

Reuters - Obama aides offer more assurances on bailout money

NYT - Obama Officials Ask Senate G.O.P. to Back Release of Bailout Money

Gallup - Americans Want Details Before Release of More TARP Funds: Both Democrats and Republicans favor blocking funds until there are more details

WSJ - Bank of America to Get Billions in U.S. Aid: Sides Finalizing Terms for Fresh Bailout Cash; Lender Told Treasury That Without Funds, It Couldn't Close Deal for Ailing Merrill

NYT - Buyers for a Citigroup Fire Sale Have Probably Been Singed, Too

WSJ - Goldman Finds a Way to Dole Out Cash

WSJ - Rates Fall, but Refinancings Are Limited

NYT - Swindlers Find Growing Market in Foreclosures

Boston Globe - Tidy up the bailout

Houston Chronical - Trust, but verify: Reagan wisdom applies in today’s turbulence

Miami Herald - Bailout needs better oversight: OUR OPINION: Tighter rules should govern spending designed to stop meltdown

]]> Thu, 15 Jan 2009 18:00:19 -0500 cop-daily-news-roundup-3 http://cop.senate.gov/blog/entries/blog-011409-roundup.cfm The COP had a hearing today on regulatory reform. You can read the testimony from this morning’s hearing HERE.

TradingMarkets.com - Economists Press Regulatory Reform, Warn Against Too Many Tax Cuts

Dow Jones - Stiglitz: Stimulus Must Be Big, Provide Relief To States

NYT - Banks in Need of Even More Bailout Money

American Banker - House Debates Conditions for Rest of Tarp Funds

WSJ - Fed Officials Say Ailing Banks Require More U.S. Funds

WSJ - Rep. Towns Touts Wall Street Oversight

American Banker - Fed, FDIC: Reconsider Tarp Asset Purchases

Reuters - Treasury's Kashkari eyes TARP contingency funds

American Banker - Treasury to Post S Corp Capital Plan

WSJ - Citigroup Ready to Shrink Itself by a Third: Financial Giant to Shed Units, Curtail Trading to Return to Size Before Its Merger Spree; Deal to Split Off Smith Barney Sealed

WSJ - Foreclosures Surged 64% in 2008

]]> Wed, 14 Jan 2009 22:45:19 -0500 cop-daily-news-roundup-2 http://cop.senate.gov/blog/entries/blog-011409-hearing.cfm Wed, 14 Jan 2009 22:47:43 -0500 cop-daily-news-roundup-1 http://cop.senate.gov/blog/entries/blog-011309-roundup.cfm Tue, 13 Jan 2009 23:16:19 -0500 cop-daily-news-roundup http://cop.senate.gov/blog/entries/blog-010909-welcome.cfm Today, COP launches its new website. 

We’ve designed the site to be easier to navigate and more appealing visually. 

The site will also regularly feature the stories and questions you send us.  We invite you to continue sending us your thoughts and questions, and feel free to comment on what you see as well.

Today is also the day that we are releasing our January Oversight Report.  Watch the video below of Chairperson Warren announcing the second report and talking about our new site.

]]> Fri, 09 Jan 2009 09:00:33 -0500 http://cop.senate.gov/contact/ welcome-to-the-new-cop-site http://cop.senate.gov/blog/entries/blog-121008-introduction.cfm This is the first report on the Treasury Department’s use of authority under the Emergency Economic Stabilization Act of 2008 that the Congressional Oversight Panel (COP) is required to release.
Future reports will be released every 30 days.
]]> Wed, 10 Dec 2008 09:00:14 -0500 an-introduction-from-elizabeth-warren