[Congressional Record Volume 170, Number 90 (Thursday, May 23, 2024)]
[House]
[Page H3488]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
HOLDING BANK EXECUTIVES ACCOUNTABLE
(Ms. TLAIB asked and was given permission to address the House for 1
minute and to revise and extend her remarks.)
Ms. TLAIB. Madam Speaker, after the 2008 financial crisis, Congress
tasked our financial regulatory agencies with implementing a rule that
bans pay packages for bank executives that incentivize excessive risk-
taking. More than 13 years later, we are still waiting for this rule to
be finalized. As the banking failures last year proved, these
incentives continue to pose a serious threat to our financial system.
That is why I introduced the FAIR Fund Act, which requires large
financial institutions to defer a portion of the executive compensation
that would get paid out, unless there was misconduct or some sort of
firm failure, after a period of between 2 and 8 years, depending on the
size of the institution. In the case of misconduct or failure, deferred
funds would be used to cover the costs of any fines levied on the bank
and make depositors whole.
I urge my colleagues to help us hold these bank executives
accountable. This is a huge financial risk that we continue to have not
only on small businesses but retirees and so many others that are
directly connected to the risk-taking and very negligent actions by
bank executives.
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