the fda -- the fdic is what -- it the fdic is not one of the agencies involved.he fdic has continued to be run by an obama appointee. >> politics aside, the fdic is an insurer, they ensure those deposits. in anre on the hook economic crisis and we have to remember that the financial crisis was just 10 years ago and we should not fail to continue to remember the lessons of those crises. the banks are doing very well. profits are up, they have a sufficient amount of capital but there are many ordinary people and homeowners that are still suffering from the crisis. your: you really have finger on the pulse of this, the banking segment in new york, as well as the regulatory situation. >> i tried to -- i tried to -- try to. david: -- as it applies to some of the smaller banks, not so much the bigger ones. do you think that is a sensible approach? >> i am very much in favor of any support we can give to our community banks. system,ual banking mostly the statement realtors and i have large institutions but most of the state regulators, we focus on community banks that a

the fed, o.c.c., fdic, s.e.c., and cftc. everybody member of this body knows it can be difficult to come to an agreement then you have too many cooks in the kitchen. imagine if this were the case for promulgating, implementing something as complicated as the volcker rule. one illinois bank who serbs thousands of my constituents explained it this way, this overlapping authority with respect to interpretations and guidance as well as examinations and supervision is inefficient and requires unnecessary time and effort on the part of banks as well as regulators to ensure compliance, end quote. the volcker rule, regulatory harmonization act is an artful solution to dealing with this. it grants the federal reserve rule making authority under section 619 of the dodd-frank act and provides the sole examination and enforcement authority by an entity's primary federal regulator. it also addresses concerns the community banks have raised with the volcker rule. h.r. 4790 exempts banking organizations that do not have, are not controlled

while the occ joined the fed in the propose l, the fdic did not. specifical specifically sited the reductions in the requirements as the reason the fdic did not join the fed and the occ. and he went onto say that strengthening the leverage capital requirements for the largest most systemically important banks was amongst the most important reform. what do you think of the fdic's decision not to join the proposal and how would you respond to the chairman bloomberg's statements? >> so i agree that the emphasis on leverage capital ratios after the crisis has been important. and, frankly, that was something that i learned from the crisis. i have a higher estimation of the role of leverage capital ratios and overall capital regime given the consequence of the crisis than i did before. i do think, however, that their role is as a backstop and that the most effective and efficient capital ratios are those that are risk sensitive. if we allow a leverage capital measure to be the marginally effective capital measure to be an institution that drives the inst

compatible debit cards and fdic insurance. they don't have a banking license in the u.s. but the journal says it's getting around that by partnering with several small banks that can provide those services. back over to you. marcus and laura. >> that will be interesting to see, thanks, leslie. >> it is 4:40 right now. a victory for equal pay supporters. an appeals court yesterday ruled women cannot be paid less than men based on salary. a woman sued fresno county schools after learning she made less than her male colleagues and the district based it on a history of pay. san francisco judges ruled unanimously, 11-0, that policy is illegal. today by the way is national equal pay day. >> all right, coming up on, a look at the forecast, looking good. >> it does look good and we're tracking rain that will quickly move through the bay area. we start out clear. we'll start to see some clouds moving in. a fairly mild start and it's going to be a cooler afternoon. we'll talk about what's ahead as that rain moves in. that's coming up next. >>> kari, a light drive for this part of t

. ♪ kailey: coming up in the next --r, the former fdic chair volckerhe alliance founder and former fdicid to be working on touchless iphone controls. softbank is in preliminary talks re-stake.take in boeing wants to capitalize on the new demand for air freight caused by the boom in e-commerce. the company is considering whether to convert used 777 passenger jets into freighters. that could hurt sales of brand-new jets come sell for more than double the price of used ones. jets,s your -- brand-new which sell for double the price of used ones. david: sir martin sorrell is being investigated on allegations of personal misconduct. and balance, reports are coming in on differences in pay between men and women in large companies in great britain, and the picture is not pretty. and the short straw. we've learned a good deal more about why david einhorn's fund did so badly in the first quarter. alix: we want to start with sir martin sorrell. the vpp is looking into it -- wpp is looking into allegations of personal misconduct. we don't have a lot of details, but nonetheless interesting. guest: i

you're not allowed to lie to fdic insured banks. he was giving the benefit of the campaign the silence of stormy daniels, and in the course of doing that he wired the payment to her or her lawyer to pay her off, that would be a wire fraud. >> financial crimes can lead to years behind bars. >> bank fraud, wire fraud, money laundering, each of those counts is a 20-year maximum. that's the statutory max, people don't tend to get that much jail time. but it's a very serious charge. >> virginia's former attorney general says the raid was over the top. >> if you want to know where the money came from, you can get it via tax filings, banking records. the success of raiding a lawyer's office, home and hotel is not apparent. this creates all sorts of fourth, fifth, and sixth amendment problems. >> questions have been raised as to why the raid was peeled off from robert mueller's investigations. the searches were carried out as part of an ongoing grand jury investigation as part of the u.s. attorney's office in the southern district of new yo

we don't say you have to do a and the fdic says you have to do the exact opposite.right now don't think there's a very robust method to do that. if we had more oversight from you folks, if we were brought under -- coordinating across various agencies that would be helpful. it's not the things we can to d, talked about a 5% commission to smooth things out so you don't give these wild swings between the initial corporate and whoever comes next. there's a bunch of things you can do, , a bunch of things youe already done and i do encourage you to continue to push those reforms as you look at your version of the banking bill, the crapo bill the senate has passed because that was the time to do. if you don't do it now my guess is it could get long time. i don't think we are in a rush i don't think we have to have built by the end of this week from the senate. i think we need to go ahead and do it right because you don't think get a chance to do it again from entente. >> i appreciate the the testimony at the think that down the road i think what to do it right this time we

making i think $160,000 or $170,000 a year and he's been banned from doing banking in america by the fdic because of various transgressions. so this is just an ethical sewer. the only swamp in the country or wetland the epa chief has been protecting is the ethical swamp in washington. it's just amazing to us that this guy is still in office. dozens of members of congress, including several republicans, have calledresignation. >> others, including rand paul, have come strenuously to his defense. we're learning several epa officials have been sidelined and suspended for raising concerns about pruitt's spending. the "new york times" is reporting a proposal for $70,000 for two desks in his office suite. the "new york times" says some of these concerns were brought directly to the white house personnel office. so all of this has happened in the past. we've seen people demoted, suspended without pay, reassigned to less prestigious roles and this has been happening over months. before any of this broke in the media. your reaction? >> this is the pattern. they're appointing foxes to supervise the

. >> this man is a former baker, having been banned from the fdic from banking for life.p scott pruitt from putting him in charge of the task force reforming the epa superfund's clean-up program, which is supposed to address the most toxic and harmful sites across the country. >> at spirit bank we're proud of 95er yaos of service to our customers. >> reporter: back in 2003, kelically was the owner of spirit bank in oklahoma, financing pruitt's multiple homes and part ownership of a minor league baseball team. at the time, pruitt was making just over $38,000 a year as a state lawmaker. but kelly approved him for a $2 million loan to buy a percentage of the team, baffling many. another senior epa adviser ken wagner is one of the pruitt's buddies from law school. and they've been intertwined in business for decades. wagner hired pruitt to work in his law firm in the early 2000 pz anticipa. wagner worked closely with albert kelly, buying his own share of the baseball team. the epa tells cnn that the finances of the team were approved by major league baseball and met banking s

not a trump administration, nor a jerome powell federal reserve going back or the fdic for that matter. trish: that was bill clinton. >> it was absolutely bill clinton. trish: seen as deregulation. >> 1999. trish: i remember. one of the things brought up on the campaign trail, by the president was the, you know that maybe wasn't the brightest move in the world. that may have led to some excesses. >> at the end of the day the lobbiests in washington, the swamp has not been drained. they are succeeding. bank lobbyists are succeeding. simple terms. the key that needs to happen, a small bank a community bank, can not comply with the dodd-frank regulations because it costs too much money for them to keep up with the same paperwork you're requiring jpmorgan chase to keep up with. trish: jpmorgan chase has leverage of being a much bigger institution and being able to hire a lot more people that can do all the due diligence that is needed. good to see you. >> good to be home. trish: heather, thank you so much. president trump, everyone, is ordering a rue involve the postal office after blastin

unredacted revision of the original document that set off this phony rush appropriate misstatement, the fdicthey received a letter from chairman nunes and they are reviewing it. a general matter, before fbi records may be released outside the fbi to include congressional committees, they must first undergo our standard review and reduction process to ensure that statutorily restricted information, such as grand jury material, classified material, sensitive laww enforcement material, and other privilege material is not improperly disclosed. okay. they first requested this in august of 2017. they've had plenty of time to do their job. by the way, you want to protect classified information? why did you give hillary a pass? why did you exonerate here without investigating her? it sounds like you're the fbi is going to again refused to comply with the request to turn over the documents. german nunes has given them until next week and he will subpoenas.week and he will how about we hold rod rosenstein in contempt of congress? he's the one stonewalling. never seen such a level of stonewalling. it's

show that they don't feel there is going to be a lot of privilege materials in the documents of the fdic. >> will the president and michael cohen will be able to review and see all those documents that were seized? >> that's still ongoing. prosecutors today said they have already delivered some material to cohen's attorney. they did reveal a little more information of what the fbi seized of 16 electronic devices and cell phones and ipads. they had eight boxes of documents. a lot of that they are handling it over to michael cohen. what's going to happen is michael cohen's attorney is going to review that information and hand what is relevant to the president's attorney, and he'll be the one giving it to the president. >> what's the next step of this investigation of michael cohen? >> prosecutors want this evidence. they have not been able to review any of the materials that they obtained in the fbi raid and it seems that they want to get their hands-on. this is part of why they agree to the special master in hopes of moving along the case because it seems that they are ready based on ever

more traditional banking services, including atm and compatible debit cards and direct deposit and fdic insurance. they don't have a banking license in the u.s. but the gener -- but the journal said they are partnering with several small banks to provide those services. >>> the nation's largest pet chain store is facing tough questions after four dog owners are claiming their pets dying during grooming appointments. all within the last five months. the latest dog to die, a corgi named abby. she died on march 29th in new jersey after being dropped off for routine grooming and another owner said his 8-year-old dog scuffles after they used a dryer on the dog known with breathing difficulties and he's shocked by how many other owns have reached out with their own allegations. >> the first thing i say to the vet, have you ever seen anything like this happen before, where a dog goes to get groomed and then next thing you know he's at your location and he's dead on arrival. he said i've never seen anything like this before. never. >> in a statement pet-smart called it unrelated and deeply sadd

chief among them, a disgraced former banker named albert kelly, banned in 2016 by the fdic from banking life, who pruitt put in charge of the task force reforming the epa's super fund cleanup program, which is supposed to address the most toxic and harmful sites across the country. >> at spirit bank we are proud of our 95 years of service to our customers. >> back in 2003, kelly was the owner of spirit bank in oklahoma, financing pruitt's multiple homes and part ownership of a minor league baseball team. at the time pruitt was making just over $38,000 a year as a state lawmaker, but kelly approved him for a $2 million loan to buy a percentage of the team. baffling many. another senior epa advisor, ken wagner, is one of pruitt's buddies from law school and they have been intertwined in business together for decades. wagner hired pruitt to work in his law firm and after pruitt became attorney general, the law firm's state contracts increased sixfold to near half a million dollars. wagner also worked closely with albert kelly, buying his own share of the baseball team and later representin

who have been withdrawn, the secretary of labor it, and office policy and management nominee, the fdic chairman, these are major positions. the secretary of the navy, the secretary of the army. the objections were fact-based. they were real conflicts of interest. real lack of qualifications in this instance, as has been said, again and again and again, the agency that has the largest management challenges in the united states government has received a nominee who has the least experience in management. and so apart from all of these very profoundly important and credible claims from men and women in uniform who have bed is side by side with this nominee, there's also the lack of real experience and expertise. >> despite the turnover, president trump has frequently praised his cabinet and his administration. let's watch. >>> we have a lot of smart people. one thing we've learned, we have by far the highest iq of any cabinet ever assembled. >> there are those saying it's one of the finest groups of people as a cabinet. we're very proud of it. we have a phenomenal team of people. a great

the fdic ban is not the only concern about mr. kelly. it has been widely reported that his family abuts a super fund national priorities list site. he's the head of the super fund program. creating at least a perception of a conflict of interest and he might be favoring the site that is next to his property. you've mentioned that one of your goals is -- one of your values is you're committed to good stewardship of taxpayer resources. has this financial conflict been reviewed by epa ethics officials and if so were they provided with all of the necessary information to conduct that review? >> i don't have knowledge about that. if that happened or not. >> all right. certainly we ask that that be done. when you came to testify before the subcommittee in december, you claimed you had to remove scientists from the advisory board because of the appearance of a lack of independence. your deputy associate administrator for the office of public affairs is tasked with reviewing millions of dollars of grants for epa, likely including his priority cl

chief among them, a disgraced former banker named elliott kelly banned by the fdic from banking for lifege of the task force reforming the epa's super fund clean-up program which is supposed to address the most toxic and harmful sites across the country. >> at spirit bank we're proud of our 95 years of service to our customers -- >> reporter: back in 2003, kelly was the owner of spirit bank in oklahoma. financing pruitt's multiple homes and part ownership of a minor league baseball team. at the time, pruitt was making just over $38,000 a year as a state lawmaker. but kelly approved him for a $2 million loan to buy a percentage of the team. baffling many. another senior epa adviser, ken wagner is one of scott pruitt's buddies from law school and they've been intertwined in business together for decades. wagner hired pruitt to work at his law firm in the early 2,000s and after pruitt became attorney general years later, the law firm state contracts increased six-fold to more than half a million dollars. but the close ties don't end there. wagner also worked closely with albert kelly, buyin

fdic went from 40,000 in the 80's -- now it is 250,000. know a lot of the guests at have a lot of money in the bank, but i doubt the average caller has anywhere close to a quarter million dollars. now private -- you can go to your stockbroker and put $750,000 in two an account. that is protected by a private insurer. i think warren buffett and the rest of this guy should open a bunch of trading accounts, use cipro, and we can eliminate fdic. one other thing -- that chemical plant harvey destroyed in texas is still burning. in 2014, the epa says you should not put concrete domes over your generators in case you get flooded -- host: we moved to john from los angeles. democrats line. how should congress cut the nation's debt? good morning. caller: hi. host: good morning. caller: good morning. how are you? i wish i could say to you and with such intricacy of knowledge as a dead woman who preceded me. -- should we reduce the debt which we must do. and where should it come from? brief to sayher this. there is blame on all sides. i know it is not

you have the fdic and o.c.c. and and the cfpb and hfaa ftc and independent insurance experts. and so, you have convened on the fsoc all of these experts. and they are looking at nonbanks who could present great risk to our economy like a.i.g. and i have to keep remembering people about a.i.g. because a.i.g. was this nonbank that we $183 out to the tune of billion. don't forget, they were involved with credit default swaps that was not col ratalized and putting insurance -- insurance out there when the time came to pay off, they couldn't, because they didn't have the collateral to do it. with the experiences we have gone through, fsoc makes a lot of sense. and when it is said that all they can do is designate, that is extremely important, because that gives the companies an opportunity to go back and take a look at themselves and see what they can do to reduce this risk, to become more stable. and this has happened already. s a matter of fact, i think to designate a nonbank, fsoc must have a vote of 2/3 of its members including the treasury secretary, and this is not easily don

we don't say that you have to do a and then the fdic says you have to do the exact opposite of a. if we were brought under four coordinating across the agencies, that would be helpful. there's a lot of things we can do to talk about the commission to smooth things out so you don't get these wild swings between whoever comes next. so there's a bunch of things you can do and have already done. i encourage you to continue to push those reforms as you look at your version of the bill because i think now is the time to do it. if you don't get it now if could be a long time and i didn't get the chance to say this earlier, i don't think we are in a rush. we don't have to have a bill by the end of this week from the senate. we need to go ahead and do it right or you don't get the chance to do it again for a long time. >> i appreciate the testimony and i think down the road we have to do it right this time. we have an opportunity of crisafulli to get the senate to act on many of the bill .-full-stop we have that you have cited and make sure these things go through but we are on the right r

laundering and tax cheating than the united states government, because of the regulation that comes out of fdic, treasuries, and a variety of places, including the federal reserve. [applause] >> if you are cash only, if you are forced to be cash only, it is much easier for you to skip on taxes, and much easier for you to launder money. while most of the industry is full of good actors who are well intentioned and want to be honest, genuine brokers and business owners, there are bad people in this industry, too, and every day cannabis businesses do not have access to banking is another day those bad players in the industry are going to outwit and outsmart people in this industry and the government, and do a lot of terrible things with the money they can stash. [applause] >> how did this happen? tell us how public policy and marijuana has evolved. >> public policy in marijuana has evolved in dramatic and interesting ways. and as a self plug, if you would like to read about it, you can buy my book, available on amazon. [laughter] >> but it has been something -- i will not go through the whole arc

the fdic ban is not the only concern.it's been reported that his family has a priority list site as the head of the program creating a perception of conflict of interest in that he might be favoring the site next to his property. has this been reviewed by the officials and develope will prol of the necessary to conduct a review of the? when you came to testify before the subcommittee in december, you claimed you had to remove from the science advisory board because of the appearance of a lack of independence. they were reviewing grants to provide media consulting advice from the affiliated consulting firm. don't you think this creates an appearance of the lack of a flex do you have an opinion personally about that flex >> if he is working for people outside of the agency that could be a lack of independence. exere it? i will take that as a know it yelled back. thank you mr. chairman and mr. administrator we do have questions about the budget and we are interested in ways we can stop federal overreach for my constituents i

laundering in taxes than the united states government because of the regulation that comes out of the fdic, that come out of the treasury, that come ou out out t of places including the federal reserve. if you are cash only, forced to be cash or money is easie only p on your taxes and easier to launder money. while most of this industry is full of good actors well intentioned who want to be honest workers and business owners there are bad people in this industry and every day that the businesses don't have access to banking is another day that they are going to outsmart people in this industry and the government and do a lot with the money that they can stash. public policy has evolved in dramatic and interesting ways to. medical cannabis is something that is fairly common way how times have changed. and then suddenly marijuana which sounded exotic and dangerous was turned towards another community. then it was a term the movement was and it wasn't by accident but it tended to exist in new orleans and chicago and harlem and so now it became something the government could use to turn americ

we don't say that you have to do a and then the fdic says you have to do the exact opposite of a. if we were brought under four coordinating across the agencies, that would be helpful. there's a lot of things we can do to talk about the commission to smooth things out so you don't get these wild swings between whoever comes next. so there's a bunch of things you can do and have already done. i encourage you to continue to push those reforms as you look at your version of the bill because i think now is the time to do it. if you don't get it now if could be a long time and i didn't get the chance to say this earlier, i don't think we are in a rush. we don't have to have a bill by the end of this week from the senate. we need to go ahead and do it right or you don't get the chance to do it again for a long time. >> i appreciate the testimony and i think down the road we have to do it right this time. we have an opportunity of crisafulli to get the senate to act on many of the bill .-full-stop we have that you have cited and make sure these things go through but we are on the right r

the fdic ban is not the only concern about mr. kelly president it has been widely reported his family has a super fund site. he is the head of the super fund program creating a perception of a conflict of interest and he may be favoring the site that is next to his property. you have mentioned that one of your goals is -- one of your values is that you are committed to a good stewardship of taxpayer resources. has this been reviewed by ethics officials and if so were they provided the information to conduct the review? >> i don't have knowledge of that, congressman, if that happened or not. >> so we would ask that be done. when you came to testify before the subcommittee in december you claimed you had to remove scientists from epa science advisory board because of, quote, the appearance of lack of independence. your deputy associated administrator for the office of public affairs whose task was reviewing millions of dollars of grants for epa was approved to provide media consulting advice to unnamed cry qulents -- clients and lik

of dollars of social security, medicare, military and civil service retirement trust funds and the fdic and pension benefit gar and ti corporation trust funds. at a time when our nation may be heading for a constitutional crisis because congress is unable to find a simple majority to legislate guaranteeing that no one man is above the law, a balanced budget amendment would create an ongoing scenario of endless potential constitutional crises should congress be unable to find supermajorities to resolve budget shortfalls creating the threat of political extortion by a congressional minority. the balanced budget amendment is a direct attack on our citizens and our democracy. mr. speaker, let us end this facade of reality and vote down this assault on real government. and i yield back the balance of my time. the speaker pro tempore: the gentleman yields back the balance of his time. the gentleman from new york reserves. and the gentleman from virginia is recognized. mr. goodlatte: i yield two minutes to the gentleman from texas, mr. barton. the speaker pro tempore: the gentleman is recogniz