Financial Services

Financial Services is a key industry for the New York City economy and one of the biggest job creators in the region. As the senior New York Democrat on the House Financial Services Committee, Congresswoman Maloney believes one of her chief tasks is to maintain the preeminence of New York City as the world’s financial center. Since coming to Congress, she has advocated for modernization of financial services regulation, state-of-the-art consumer protection and vigilant oversight of the safety-and-soundness of the banking sector. She is committed to defending the health of our financial institutions so that they can lead our economic recovery.

Congresswoman Maloney serves as a member of two subcommittees. She is the Ranking Member of the Subcommittee on Capital Markets, Insurance, and Government Sponsored Enterprises and also serves on the Subcommittee on Financial Institutions and Consumer Credit.

Safety and Soundness: As a representative for the market center of the world, Congresswoman Maloney takes her responsibility of financial services regulation very seriously. She believes there is a need for the financial services sector to comply with regulation that protects the consumer and prevents market instability. At the same time, she is careful to make sure this regulation does not inadvertently burden small companies and our economy. With landmark legislation like the Sarbanes-Oxley Act and the Dodd-Frank Wall Street Reform and Consumer Protection Act, Congress significantly improved corporate governance. America must continue to work to restore investor confidence and strengthen its markets.

Basel Capital Standards: As a senior member of the House Financial Services Committee, Congresswoman Maloney has been a key player in the Basel Accords, which set new international risk-based capital and liquidity standards for all internationally active banks and all domestic institutions. Read More

Housing Finance Reform: One of Congresswoman Maloney’s top priorities in Congress is ensuring every resident of the 12th Congressional district has housing that they can reasonably afford. She hosted a series of Housing Roundtables with residents, business leaders and City and State elected officials to discuss the current state of housing. She is fighting for New Yorkers in Congress and with federal officials to ensure housing options that work for all New Yorkers are available. Whether representing first time homebuyers, hardworking families ready to expand their home base, one income parents struggling to keep a roof over their heads, or elderly residents searching for housing with essential services for seniors, she has and will continue to advocate for affordable housing options for New Yorkers at every stage of life. Read More

Equifax Breach: The Equifax data breach affected roughly 143 million American consumers and compromised sensitive personal information that criminals could use to steal consumers’ identity for years to come. Congresswoman Maloney believes Equifax violated federal law by failing to take simple but critical steps to prevent the data breach from happening in the first place and she is dedicated to holding Equifax accountable and preventing similar security breaches in future. Read More

Bangladesh Bank Heist: In March of 2016, $81 million was stolen from the Bangladesh central bank’s account at the Federal Reserve Bank of New York. Congresswoman Maloney, then Ranking Member of the House Financial Services Subcommittee on Capital Markets and GSEs, as well as a senior member of the House Oversight and Government Reform Committee, demanded answers from the New York Fed as the world tried to make sense of what happened and how. In May of 2016, the Congresswoman kept up the pressure for reforms by requesting that the three U.S. bank regulators — the Federal Reserve, the Office of the Comptroller of the Currency (OCC), and the Federal Deposit Insurance Corporation (FDIC) — review the Bangladesh Bank heist and take steps to ensure that both U.S. banks and SWIFT (the international money-transferring system) have cybersecurity controls in place to guard against similar cyber-attacks. Both the NY Fed and SWIFT made reforms to their security protocols after the Congresswoman's inquiries. Read More

Select Highlights

  • Dodd-Frank Act: In 2009 President Obama called for major reforms as the U.S. desperately tried to climb from the depths of the financial crisis, and we've achieved the vast majority of his goals. Congresswoman Maloney took a leadership role on enacting financial reform legislation as a conferee to the Dodd-Frank Wall Street Reform and Consumer Protection Act. This landmark legislation helped restore the economy and continues to protect Americans from unscrupulous behavior by improving transparency and accountability. It helped provide market stability so that more than 12 million private sector jobs could be created. The unemployment rate was cut in half, and our economy continues to grow in part because of the reforms she put in place. Read More

  • Sarbanes Oxley Act: In 2002, Congress passed the Sarbanes Oxley Act, a series of corrective measures made in response to several major corporate and accounting scandals in the early 2000s. Major scandals such as Enron shook investor confidence and required congressional response. Congresswoman Maloney supported this legislation and continues to work to strengthen our markets and protect consumers while allowing our financial system to support economic growth.

  • Housing Trust Fund: In July 2014 Congresswoman Maloney, along with Congressman Keith Ellison (D-MN) and Congressman Raul Grijalva (D-AZ), wrote to Director Mel Watt of the Federal Housing Finance Agency urging him to fund the Housing Trust Fund and Capital Magnet Fund. In December 2014 Director Watt directed Fannie Mae and Freddie Mac to begin setting aside and allocating funds to the Housing Trust Fund. This provided a dedicated source of revenue for the construction and preservation of affordable housing for extremely low-income families.

  • Financial Institution Examination Fairness and Reform Act: Congresswoman Maloney is the lead Democrat, along with Congressman Lynn Westmoreland, of a bill addressing bank examination standards which ensures that financial institutions have an appropriate outlet for their concerns about examinations. She had heard many reports from institutions in her district that there was a disconnect between policy coming out of Washington and the conduct of examinations in the field. The bill Congresswoman Maloney introduced is designed to expose many of those concerns and attempts to close the gap between Washington and field examiners.

  • Terrorism Risk Insurance Act (TRIA): In the aftermath of the 9/11 disaster, Congresswoman Maloney was a strong supporter of the Terrorism Risk Insurance Act, which provided a federal backstop so that terrorism insurance would continue to be available in high-risk areas such as New York City. Everyone knows that a major terrorist attack would be devastating not only for our citizens and our country, but also for our economy. This is why reauthorizing the Terrorism Risk Insurance Act is so essential to our country’s continued economic well-being. Based on the evidence to date, she believes that the private sector still will not offer adequate coverage to support economic development in high risk areas. To most effectively encourage the market to develop long-term solutions we need to continue TRIA as a federal backstop, not only for the short term, but also for a mid-to-long-term time frame. That is why Congresswoman Maloney voted for the successful reauthorization of TRIA in both 2007 and 2015.

  • TARP Data Disclosure: Congresswoman Maloney introduced H.R. 1242 in March 2009 because she had read report after report about questionable spending by financial institutions, whose funds were unable to be tracked after receiving taxpayer dollars through the TARP program. The TARP Accountability and Disclosure Act will increase oversight and ensure transparency in the spending of the $700 billion Congress approved in the fall of 2008. We can and must use the technological tools that are available in this day and age to get a complete, real time picture of how TARP funds are being spent. Read More

  • Incorporation Transparency and Law Enforcement Assistance Act: Congresswoman Maloney has introduced the Incorporation Transparency and Law Enforcement Assistance Act. This bill would require the states to obtain information about the true ownership of a corporation when they allow its creation.  As some have put it, this bill is a “no-brainer.” And it is fairly straightforward: it would require the person creating the corporation to state the “beneficial owner” of the corporation and provide some form of identification. Read More

More on Financial Services

Nov 22, 2019 Newsletter
Dear Friend, On Wednesday, my House Democratic colleagues elected me as the new Chair of the Committee on Oversight and Reform. I am deeply humbled and grateful to them for entrusting me with this role and am honored by this opportunity to do more for the American people. I will do my best to follow the honorable example that Chairman Cummings left for us all. As we know, there's much work to be done -and I can't wait to get started.
Nov 1, 2019 Newsletter

Dear Friend,

 

This week in Washington, DC, the House approved a resolution outlining the rules for the next stages of the impeachment inquiry. We also passed a bill to impose sanctions on Turkey for its invasion of northern Syria, a resolution to affirm our country’s recognition of the Armenian Genocide, and bills to protect our public lands.

 

Oct 25, 2019 In The News

The U.S. House of Representatives on Tuesday passed an overhaul of U.S. anti-money laundering rules more than a decade in the making.

Oct 24, 2019 In The News

Congress is a famously slow-moving institution with a sub-30% approval rating, so it’s always exciting when the governing body does something noteworthy.

Oct 23, 2019 In The News

WASHINGTON — As Congress continues to seek answers about the proposed Libra cryptocurrency, Facebook CEO Mark Zuckerberg's responses to lawmakers Wednesday further cast doubt on the project’s future.

Appearing before the House Financial Services Committee, Zuckerberg was pressed on a number of concerns surrounding Libra, including how the public can trust Facebook to spearhead a financial project, why several companies have walked away from the coalition formed to develop the cryptocurrency, and how the Libra network will comply with U.S. financial regulations.

Oct 23, 2019 In The News

Facebook CEO Mark Zuckerberg on Wednesday fielded sharp criticism and tough questions about nearly all aspects of his company's business practices at a hearing about Facebook’s new cryptocurrency project Libra.

The aggressive questioning underlined how difficult it will be for the Libra project to move past the baggage of Facebook’s various controversies, which have angered lawmakers on both sides of the aisle.  

Oct 22, 2019 Press Release
WASHINGTON, DC – Today, the House of Representatives passed Congresswoman Carolyn B. Maloney’s (D-NY) bipartisan HR 2513 - Corporate Transparency Act. The Congresswoman introduced the bill in May with Congressmen Peter King (R-NY) and Tom Malinowski (D-NJ). Congressman Emanuel Cleaver’s COUNTER Act was added to HR 2513 via a manager’s amendment.
Oct 22, 2019 In The News

The House on Tuesday passed legislation aimed at cracking down on the use of anonymous shell companies for illicit activities.

The bill passed by a vote of 249-173. Twenty-five Republicans joined most Democrats in voting for the bill, while five Democrats voted against it.s

The vote comes after the House Financial Services Committee advanced the measure in June.

Oct 8, 2019 Press Release

NEW YORK, NY- Today Congresswoman Carolyn B. Maloney (NY-12) hosted a roundtable meeting on the importance of reauthorizing the Terrorism Risk Insurance Act (TRIA) before it expires at the end of 2020. The Congresswoman was joined by Rep. Nydia Velazquez (NY-07), Rep. Gregory Meeks (NY-05) and industry stakeholders.

 

Sep 25, 2019 Press Release

Washington, DC – Congresswoman Carolyn B. Maloney (D-NY), Chair of the House Financial Services Subcommittee on Investor Protection, Entrepreneurship, and Capital Markets, and Congressman Patrick McHenry (R-NC), Ranking Member of the House Financial Services Committee, Tuesday introduced The Financial Transparency Act.

The legislation will make financial data more easily available and less opaque by requiring the U.S. financial regulatory agencies to better organize data and make this data available online as open data.