CNBC's "Squawk on the Street": Regulatory Revamp
Washington, D.C., Of Counsel Michael Oxley, former Congressman, Chairman of the House Financial Services committee and co-author of the Sarbanes-Oxley Act of 2002, appeared on CNBC's "Squawk on the Street" program on June 17, 2009, discussing the financial regulatory reform plan unveiled by the Obama Administration which would reorder the roles of some key agencies to try to tighten government supervision of the financial sector.
Given his experience, Oxley was asked what he thought of the Obama plan. "Overall I think it goes in the right direction," said Oxley. "I have some real concerns, particularly about the consumer protection aspect of it. But in terms of consolidating, limiting the OTS [Office of Thrift Supervision], and some other provisions, I think overall it goes in the right direction. I think everybody understands, particularly in the hedge fund area, there will be more disclosure, more transparency, more regulation—I think that's a given. I think some of that has already been discounted, but there will be some flashpoints there, particularly on the consumer protection side, that will be quite controversial," said Oxley.
Asked if he thought the administration could expect any Republican support for the plan, Oxley said, "I think it's too early to tell . . . obviously the Republicans will have their own vision of this and they've already announced it last week. Now the discussions begin. I think, at the end of the day, the reformers really have the wind at their backs. I think the public is so upset with what's gone on over the last several months, that they're looking for answers."