[Congressional Record (Bound Edition), Volume 163 (2017), Part 2]
[Extensions of Remarks]
[Page 1827]
[From the U.S. Government Publishing Office, www.gpo.gov]




           INTRODUCTION OF THE RETURN TO PRUDENT BANKING ACT

                                 ______
                                 

                           HON. MARCY KAPTUR

                                of ohio

                    in the house of representatives

                        Friday, February 3, 2017

  Ms. KAPTUR. Mr. Speaker, this year marks the nine-year anniversary of 
the greatest financial crisis in a generation. This economic disaster 
nearly caused the destruction of our country's entire financial 
infrastructure and led to what we call now the Great Recession.
  However, during the last nine years Wall Street Banks have succeeded 
and in the process have caused the financial failure of millions of 
Americans. JPMorgan Chase, Bank of America, Citigroup, Wells Fargo, 
Goldman Sachs and Morgan Stanley have all reported record profits 
during the recession. Wall Street in the last nine years has regained 
ALL of its pre-crisis wealth with interest, while Main Street has yet 
to see a real recovery.
  During the 1990's, Wall Street's biggest banks and speculation houses 
concocted a fraudulent and greedy scheme to create false money. Then, 
in 2008, their crime exploded, nearly destroying capitalism. Their 
recklessness was so extreme it wiped out the net worth of 44 percent of 
Hispanic American households, 33 percent of African American 
households, and 11 percent of Caucasian households, respectively.
  This was a taking of historic dimension never reimbursed to this day. 
It sucked out the wealth from millions of American families. It's time 
for Congress to ensure that these failures in our banking system are 
never repeated.
  That is why I have reintroduced the Return to Prudent Banking Act. To 
build on the momentum and the movement to reinstate Glass-Steagall.
  Since last summer, fifteen state legislatures introduced resolutions 
calling for Congress to reinstate Glass Steagall. Democrats and 
Republicans have memorialized support for Glass-Steagall in their 
respective political platforms. Even President Trump has declared his 
support for a new Glass-Steagall law and we are obligated to work with 
him to do just that.
  I was proud to join with 57 members of the House who several years 
ago voted against the Gramm-Leach-Bliley Act, the bill that overturned 
Glass Steagall. As the anti-regulation movement won the day, that law 
was a clear signal that Wall Street was in charge. Banks grew larger 
and riskier, and American taxpayers were given the bill when the 
deregulated financial sector fell apart.
  This is a reality that has sunk its teeth deep into the flesh of our 
Republic, influencing more and more who is elevated to office.
  Mr. Speaker, these banks have to be defanged. Restoring Glass 
Steagall is a first step among other items, like a campaign finance 
reform, better trade deals, and better deals for American workers.

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