ILC REFORM BILL INTRODUCED IN HOUSE
House Financial Services Committee Chairman Barney Frank (D-Mass.) and Financial Institutions and Consumer Credit Subcommittee Ranking Member Paul Gillmor (R-Ohio) introduced ICBA-backed legislation January 29 to close the ILC loophole to preserve the separation of banking and commerce.
This legislation - The Industrial Bank Holding Company Act of 2007 (H.R. 698) - is similar to a measure they sponsored in the last Congress. It will block Wal-Mart, Home Depot, and other commercial conglomerates, from exploiting the ILC loophole to get into banking.
The FDIC extended the moratorium on ILC applications filed by commercial firms to give Congress time to act. Under the leadership of Chairman Frank and Rep. Gillmor, we have solid support in the House. However, Senator Bennett (R-Utah), whose state is home to most active ILCs, continues to hold out in the Senate. A strong showing in the House will help to persuade Senators that it is time to put parochial interests aside and protect the integrity of the U.S. financial system.
WE NEED TO SEND A STRONG MESSAGE TO THE SENATE BY BUILDING A STRONG BI-PARTISAN LIST OF CO-SPONSORS IN THE HOUSE. PLEASE CONTACT YOUR HOUSE MEMBER TODAY AND URGE HIM OR HER TO SIGN-ON AS A CO-SPONSOR OF THIS BILL.
Tell them we don't want to go down the same path that led to a 15-year recession in Japan. And we don't want Wal-Mart and Home Depot to monopolize local banking like they do hardware, grocery and so many other retail services.
To contact your House member, call 202-225-3121, and ask for your Representative by name. To sign up as co-sponsor, Democrat House members should call Ken Swab in Rep. Frank's office (202-226-7320), and Republican House members should call Dave Oxner in Rep. Gillmor's office (202-225-6405).
Call at once! Help protect your communities by ensuring fair competition in banking services. Be pro-active. The future of your institution may depend on it.