[Congressional Record Volume 142, Number 25 (Wednesday, February 28, 1996)]
[Extensions of Remarks]
[Page E235]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                   THE ENTREPRENEURIAL INVESTMENT ACT

                                 ______


                         HON. RICHARD H. BAKER

                              of louisiana

                    in the house of representatives

                      Wednesday, February 28, 1996

  Mr. BAKER of Louisiana. Mr. Speaker, today I have introduced 
legislation that will be known as the Entrepreneurial Investment Act. 
The legislation will make it possible for roughly 5,000 of the Nation's 
5,300 bank holding companies to make equity investments in the 
customers of their community-based banks.
  Business often needs equity capital to create new or retain existing 
jobs. This legislation acknowledges that a community banker knows his 
customer and is well positioned to invest some of his excess holding 
company capital in equity investments. Passage of the Entrepreneurial 
Investment Act will mean that communities will be better served by 
facilitating private sector economic development and job growth.
  This legislation has been drafted in consultation with the Federal 
Reserve.

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