RJ and Makay

The financial industry and Congressional Republicans don't see eye to eye about proposed budget cuts at the Securities and Exchange Commission (SEC).

Whereas the Republicans want less money for the SEC, the financial industry is concerned that would hamper the SEC so much that the new Dodd-Frank financial reform law will become far more burdensome than necessary. “There’s a real disconnect,” observes K&L Gates partner Stephen Crimmins, who worked at the SEC for 14 years.

In case any unforeseen issues arise with the new Dodd-Frank financial reform legislation, the House Financial Services Committee stands ready to “identify and remedy” those issues.

It made that pledge recently in a 20-page draft of a strategic plan circulated to committee members and staff. The committee plans to focus in particular on the proper implementation of new rules governing proprietary trading and derivatives, the draft says.