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Does the new financial reform law protect you?

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Duff Hale

duffhale@ev1.net

So. Now that Barack Hussein Obama has signed the new 2,394 page Dodd-Frank Wall Street Reform and Consumer Protection Act into law do you feel more confident about your financial security, your savings and your future? I know I don’t.

What that legislation really consists of is lots of provisions that have very little to do with the financial crisis but a plethora of goodies for the long-standing agendas of labor unions and other Democrat interest groups.

One of the biggies is a measure to make it easier for unions, environmental groups and other activist organizations that own shares in a company to put their representatives on the boards of directors of every corporation in the United States.

This so-called "proxy access" provision, which activist groups say they will use to improve oversight of corporate financial practices (if you believe that I have a bridge I’d like to sell you), has gotten a thumbs down from many business organizations across the nation including the Business Roundtable, the U.S. Chamber of Commerce and other major business groups.

Additionally, the Dodd-Frank legislation would impose costly new regulatory burdens on businesses such as airlines, utilities and other non-financial businesses that were victims of the crises rather than villains.

Other provisions of the bill, which the Senate passed on July 15, favor Democrat constituencies directly by requiring banks and federal agencies to do more business with them. It would create more than 20 "offices of minority and women inclusion" at the Treasury Department, Federal Reserve and other government agencies to ensure they employ more minorities and women and grant more federal contracts to minority-owned businesses.

Those agencies would also apply "fair employment tests" to regulated banks and other financial institutions even though their hiring and contracting practices had little if anything to do with the financial crises of 2008. Kevin Mooney, contributing editor of Americans for Limited Government said, "The injection of racial and gender preferences into America’s financial sector deserves greater media exposure" before Congress passes the 2,400 page bill. Guess that didn’t happen, did it?

Proud centerpiece of the Dodd-Frank legislation is the powerful new consumer protection agency. Critics complain it would also provide substantial employment opportunities and funding for Democrat and social activist groups such as the Association of Community Organization for Reform Now (ACORN).

Senator Richard Shelby (Republican of Alabama) complains that rather than focus on the abuses in the mortgage-lending market that led to the crises, this new consumer protection agency would have broad ranging powers to regulate and punish virtually any company that has a financial dealing with consumers – even if they had nothing to do with the meltdown.

The public is skeptical that a Congress that refuses to make rational borrowing decisions is going to effectively oversee the establishment of the Bureau of Consumer Financial Protection that will be responsible for micromanaging millions of borrowing decisions. Besides, of all the problems facing our economy, a shortage of government agencies is not near the top.

Additionally, the people in charge of these agencies have no checks and balances to deal with. Don’t you hear the cries of "social justice" ringing from the rooftops of government bureaucracies even as you read this?

This is just another example of why I personally have never been able to trust Democrats. They always seem to put party and power before any concern about what’s best for the country and the people. I’ve lived a long time and things haven’t changed much since the 1960s. As long as they have the power, it won’t either.

Stay tuned for more sad developments in the on-going saga of Obama’s takeover and remake of our republic.


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Nelson Propane

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