Warren named to Senate banking panel

The newly elected US Senator has pushed for more banking regulation for years. She gets new power with this seat.

By Kim Peterson Dec 12, 2012 4:55PM
Credit: Adam Hunger/Reuters
Caption: Elizabeth WarrenOK, big banks, put on your battle armor and double the number of lobbyists on your payroll. Elizabeth Warren is getting a seat on the Senate Banking Committee.

It was rumored for a while now that the newly minted U.S. Senator would get the committee seat she so coveted. But Wednesday, the announcement is official. And one of the worst fears of the banking industry has been realized.

Warren has been gunning for more banking regulation for years. She pushed for a huge settlement from big banks as they were being investigated for improper foreclosure practices, The Washington Post reports. Greg Sargent calls her "the intellectual godmother of Occupy Wall Street." Her work was so notable that she was asked to help create the Consumer Financial Protection Bureau.

But her efforts with that bureau came at a cost. Congressional Republicans and the banking industry were incensed at the possibility that Warren might lead that bureau, beginning a crusade against her that ended when President Obama declined to name Warren to lead the unit.

Then Warren decided to run for the Senate, and the banks responded by pouring money into the campaign coffers of her opponent, Republican Scott Brown. Warren came away with a stunning victory.

Now, Warren has much more power than she would have had at the bureau. "Boom goes the dynamite," writes one Twitter user. "Elizabeth Warren will want to regulate banks to the point where they can't make a profit and can't offer services to clients," lamented another.

Hedge-fund manager Mike Bergen said on Twitter that the Financial Select Sector SPDR (XLF) was not liking this news. And that fund did seem to start dropping at about 1 p.m. ET, but it was still up less than 1% for the day. "Let the fireworks ensue," said another Twitter user.

What kind of committee member will Warren be? She certainly has pressure from her supporters to go in with a gun-toting, adversarial bent, the likes of which haven't been seen on that committee in years. But she will have to also be effective, which involves a more nuanced approach at times.

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Tags: Politics
8Comments
Mar 9, 2013 11:51AM
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I got your back Elizabeth Warren....
Mar 9, 2013 11:49AM
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Most of the comments must be coming from banks employees and those that robbed and cheated hard working Americans. you had better change your ways or you will not be getting your big unearned bonus. I love to see you rats jumping ship...drown you spineless pieces of ...you know what....lol...RUNNNNNNNNNNNNNNN FASTERRRRRRRRRRRRRRR
Dec 20, 2012 3:22PM
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It's always nice to see liars get promoted!
Dec 13, 2012 5:08PM
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Aside from being a chronic liar, I think she is right in some ways about breaking up the big banks. I am no well known government parasite like the members of this committee, but even I said this should happen as early as 2001. There is nothing ingenious about her views, however it will probably entail regulation instead of resolution and require another government agency to enforce, which none of them are rarely able to do. The incompetence of governmental oversight regulators is a national shame.
Dec 13, 2012 11:30AM
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Life is great!

 

Chris Van Hollen & Elizabeth Warren in 2016 & 2020!

 

God bless Mom & Pop stores!

 

God bless unions and living wages!

 

DIE big and unregulated corporations and DIE Ayn Rand Capitalism, DIE!

 

God bless America!

Dec 12, 2012 10:59PM
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Elizabeth Warren is now the only qualified member of that committee. None of the others have any recent exposure to the actual crisis. Go Elizabeth Warren!!!
Dec 12, 2012 9:14PM
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Maybe someone will finally be able to clean up the slime on Wall Street now.

 

Dec 12, 2012 5:08PM
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Now that Elizabeth, the communist, has   joined the government, socialism can now be more quickly , and thoroughly installed.
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