BREAKING: Senators Rally to Ban Stock Trading for Government Officials? – Coinpedia Fintech News
Senators propose “Ban Stock Trading for Government Officials Act” amid public support.
John Deaton calls for an end to the ‘revolving door’ culture.
Proposed legislation aims for transparency and accountability in government ethics.
A groundbreaking proposal known as the “Ban Stock Trading for Government Officials Act” has emerged in Washington, championed by Senators Kirsten Gillibrand [D-NY] and Josh Hawley [R-MO]. This legislation has attracted attention not only from political figures but also from John Deaton, the esteemed founder of CryptoLawUS, who has added his distinct voice to the debate.
Let’s dive into the details of this electrifying debate!
Deaton Backs the Bill
Beyond its core aim of limiting stock trading, the proposed act takes aim at the pervasive ‘revolving door’ culture, wherein regulators leave public service to join private companies they once oversaw. For Deaton, this issue is of utmost importance in ‘draining the swamp’ of conflicts of interest.
“If you work for the @SECGov, you don’t get to resign and immediately get to go work at @jpmorgan or @GoldmanSachs. We need to stop the revolving 🚪 at these agencies and prosecute those who break financial conflict laws,” Deaton said.
Covering the Government Officials
Senators Gillibrand and Hawley’s bill has a sweeping scope, encompassing not only government officials but also members of Congress, the president, vice president, senior executive branch officials, and even their families. The ambition is to enhance transparency and ensure ethical conduct in the corridors of power.
In addition to restricting stock trading, the proposed legislation introduces penalties for unregulated stock trading by executive branch officials and requires the disclosure of federal benefits received. This transparent approach aims to eliminate conflicts of interest and establish greater accountability.
Read More: Ripple Case Sparks Intense Congressional Debate on Crypto Legislation: What’s At Stake?
Stricter Penalties: The Way Forward?
The bill also bolsters the existing STOCK Act by raising fines for failure to file transaction reports from $200 to $500. Furthermore, civil penalties will be imposed for cases involving “substantial monetary value” or those deemed “extraordinary in nature.”
A Morning Consult/Politico poll indicates that at least 63% of Americans back the prohibition of stock trading for government officials and their families. This widespread support underscores the urgency for tighter financial conflict laws.
A New Era is Upon Us…
The proposed “Ban Stock Trading for Government Officials Act” and the growing call for stricter financial conflict laws may herald a transformative era in government ethics. Striving for independence between regulators and the regulated could foster a more equitable and transparent marketplace.
What do you think about the proposed ban? Is it fair or unfair?
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