OWH: White, Terry differ on financial reform

By Robynn Tysver, Omaha World-Herald
July 2, 2010

Democratic congressional candidate Tom White on Thursday accused his opponent, Republican Lee Terry, of protecting reckless behavior on Wall Street by voting against a bill to overhaul financial regulations.

“Terry, yet again, chose to side with Wall Street over Main Street,” said White, an Omaha attorney and state senator.

Terry said the bill was an “expansion of federal authority” that would hurt the free market and make it more difficult for small businesses to get loans.

“This bill is a job killer,” said Terry, a six-term congressman.

The bill, passed by the House on Wednesday, is an attempt to overhaul the nation’s regulatory system to protect against another crisis like the one that hit banks and financial institutions two years ago. It is backed by President Barack Obama.

Support has broken along party lines, with only three Republicans voting for the measure.

The bill would give the federal government the authority to break apart troubled financial companies. It also would expand the power of the Federal Reserve and create a financial agency focused on consumer protection.

Republicans say the measure gives government regulators too much power and does not address the causes of the crisis, including the large, government-controlled mortgage companies, Fannie Mae and Freddie Mac.

Democrats counter that Republicans want to maintain a status quo that led to the worst economic crisis since the Great Depression.

They also say the bill gives regulators the authority to step in before an institution melts down completely or requires a federal bailout.