Friday, June 12, 2009
Nancy Pelosi
When Congress decided to bailout Wall Street’s largest financial institutions last year, they had more than just the nation’s interest in mind. They had their own as well. According to disclosure forms released on Wednesday by the House of Representatives, more than 20 congressional leaders and members had millions of dollars at stake in firms ranging from AIG to Goldman Sachs to Morgan Stanley.
For instance, House Speaker Nancy Pelosi (D-CA) lost hundreds of thousands of dollars in investments she had in AIG, the largest recipient of federal help. On the Republican side, Minority Whip Eric Cantor (R-VA) held stock, retirement plans and other investments valued between $183,000 and $495,000 in Goldman Sachs and Morgan Stanley. Also, at least 18 members of the House Committee on Financial Services, which oversees the banking and housing industries, held stock last year in firms that were assisted by Congress.
An exception among key House committee leaders was Congressman Barney Frank (D-MA), chairman of the Financial Services Committee, who helped craft the $700 billion bailout of banks and investment houses. Frank does not invest in stocks, preferring instead to focus mostly on state and local bonds. He also discloses more information than is required by law, releasing more than 145 pages of month-to-month statements from his accounts with Citigroup Global Markets.
-Noel Brinkerhoff
Lawmakers Invested in Bailed-Out Firms (by Paul Kane and Carol D. Leonnig, Washington Post)
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