hu, mr. hu, if you want better relations between the chinese and u.s. governments, if you want to build a firm foundation of friendship between the chinese and american people, if you want a china that will be respected and honored and trusted by the world, tell your government to stop lying about what happened 20 years ago in the heart of beijing. [applause] >> chairman hu, tell the truth about tiananmen square. [applause] >> thank you, dr. edwards. speak the truth. and speaking of the truth, i'm very honored to bring to the podium mr. shu wil lee. he is a distinguished professor at brown university. i got the pleasure of his hospitality many times down there in connecticut, a fine gentleman about a -- with a beautiful smile and a beautiful wife, ok, who spent 16 years in a chinese communist prison for no reason than speaking the truth. dr. shu win lee. >> translating for mr. shu win lee is his assistant. >> good morning, ladies and gentlemen. [speaking in chinese] [speaking in chinese] >> this year a fellow in new jersey wrote me an email asking me fo

hu. mr. griffin, please. >> chairman reed. senator bunting, members of the committee. i am kenneth griffin, president and ceo of citadel investment group and i appreciate the opportunity to testify and share our views regarding effective over sight of the otc derivatives market. the appropriate oversight is of paramount importance to at the safety and soundness of our financial system. the events of recent months have made it abundantly clear that large financial firms are not too big to fail but, rather, too interconnected to fail. the idea that if extreme measures must be taken to prevent the failure of a single firm such as bear stearns, which had just over $10 billion of shareholders equity, and a few thousand employees drives home the point that greater regulation of our financial markets is warranted. derivatives serve an incredibly important role in our financial markets, current rules exceed several hundred trillion dollars and reflect the importance role of these risk transference contracts. the commercial justifications for the market are well established and

if there are additional questions by the colleagues -- live in also, professor hu has been trying to get recognized. can i give you a minute? >> [inaudible] >> all right. put on your microphone. >> i think that these clearinghouse of arrangements we are moving into will reduce systemic risk. they will reduce the profits in the sense now available to the derivative dealers. it will be cheaper for everybody in terms of the standardized products. i think one of the very interesting issue used to think about in connection with these clearinghouse arrangements and the data that we are going to be requiring of all derivatives in terms of customized derivatives for instance one of the issues is how to solve this informational a senate trade between regulators and regulated so for instance in terms of this general movement to more information being provided to the regulators to what extent should regulators actually ask for modeling information? regulators can't develop them, can't understand how to value these things on like citadel. to what extent should they require this information and i

starters gave their teams a chance to win, d the bullpen really -- -- >> i think they got aubrey hu. >> i'll hear about that later. >> getting back to the fun that you guys had. do you feel like this complets it for you? you all came up together at te same time, and to have a night like this, it has to feel good to get back to that. >>> when you get pie in your face, it's a goodwin. >> enjoy. get that pie out of your fa. >> that was amber with matt wieters. he said when you get a pie in the face, you've done something good. he's been pied in the phase by jones. everybody anticipating and waiting for that first home r, and there it was. >> i'm looking for the next 4. that's what i'm looking for. but last year, wieters got rolling. just barely makes it out of te ballpark, but it makes that fn happy, and he makes the orioles happy. puts them up two runs at ths point. 2-1. >> we've been told about wieters' power from either sie of the plate. it's fitting it did go the opposite way. >> i'm not too worried about matt wieters hitting home runs.

he hu him.s is a tie ballgame as murphy delivers an rbi single, and church scores. >> jim: last year he came up, out of the minor leagues, he goes 10 for 20, and this is what he did well. you can see matt wieters move up and in and the ball runs out over the plate. so they don't get the ball where they wanted to. >> gary: good job of hitting by murphy. that's his 21st run batted in. so he's on at first base, it is a two out rbi. and the catcher brian schneider. schneider had a good night last night as he ended up with a two for three, a couple of hits in the ballgame. single, double, rbi. >> jim: the rbi single went right through the legs of jeremy guthrie. that was the fourth run in that four-run fourth inning. >> gary: schneider, brian roberts will have plenty of time and gets the out. 

. -- huh, hu, would you please begin. >> mr.hairman and distinguished members, thank you for this opportunity. i teach at the university of texas law school and my testimony reflects my view as an academic. i agreed to be working at the securities & exchange commission. i emphasize that i'm currently a full-time academic, have been so for over two decades and after this forthcoming government service will return to my normal academic duties but i will say tied does not reflect the views of the sec and has not been discussed with or reviewed by the sec. i ask that my written testimony be include in the record. this is a seminal time for the regulation of over-the-counter derivatives. my understanding is that the subcommittee want met to off a broad perspective as to undertaking this staff instead of analyzing specific elements of the president wednesday proposal. almost from the beginning of the otc derivatives market in the late 1970s who you're arching vision have -- one is science run amok in the face of relentless competition

so starting with professor hu, your sense of the dealer registration, is that one of the top legislativetestimonies we -- testimonies we should pursue. >> the supervision of dealers is extremely important. i think that as we have seen with aig, and the decisionmaking errors that aig had in terms of it serving as a cds dealer, it tends to illustrate how it's important for the federal government to in fact get involved into issues as to how these errors can occur, how the decisionmaking errors can occur to what extent are the payoffs structures, the compensation structures within derivatives units highly asymmetric, you know, big payoff if some product works and at most presumably losing your job if it doesn't work. how financially literate are the people who we're spoused to be supervising, these rocket scientists developing these products. when did the risks arise inçf term0s deriff testify personnel there's high turnover. the risk may not arise until they're three banks away. in part of the process, we need look very carefully in terms of both in terms of as as an administrative matter

aubrey hufup thr >> rob: if you're going to give fourth home run in the same game that mark wittenit in cincinnati. and i had given up a home run in the first game of the double- header and i was just trying to get my stuff back together, i fell behind him 2-0, i was like, oh, geez, he's already got three home runs. you can't not challethis y. he hit that ball of the four home runs it was by far the farthest was just an absolute bomb. was about 480 feet. sfoonf e first times my career i was happy okay, i d hit or a walk to this guy, he did what i wanted to do. if yocan hit it, let's see you hit it, e did. >> jim p.: manny acta did not want john lannan to the first batter. >> rob: no, cardinal sin. you don't want to do that. >> bob: the orioles have had their lead-off man on every inning. i haven't seen john lannan do this, the out of four lead- off walks. here's nolan reimold, hat he did last night, that drive that josh willingham never saw. jones and huff aboard. his ninth of the year. the big hit of that ballgame last night. he's been large in this series. >> jim p.: one of

senator from utah's knowledge of this area, his years of involvement in this area, but respectfully urge hus to reject the amendmen. >> we have 12, chairman. >> yes, senator, may i be heard for four and a half minutes? >> certainly. >> you're looking very sprite, very strong today as opposed to yesterday afternoon where you should have received the golden medal for perseverance. i'm worried about who does this. i'm worried about i think the senat senator, senator mikulski said well established principles and i'm talking about cer, obviously. and nobody could be opposed to that. and the senator, she and i have worked on nurse legislation and ever since i've had the privilege of being on this committee. and on other committees, i have nothing but the highest regard for her and who could be opposed to well established principles? who sets these principles? who does the research to basically come up with best practices? that defines what's in that pasture of accepted practices and what is not? as senator henrik stensonsenato why i said pasture because he's from wyoming. if the cer well establish

section 999 does just the type of research that the secretary of energy, the honorable steven chfment hu, feels that the federal government should be be supporting. as he stated in a hearing earlier this year as he testified before the house science and technology committee. this is a bill that is a wonderful bill for the purpose of the bill. i support it. i'm going to vote for it. i urge everybody else to vote for it. i urge you to work and look forward and find out for yourself the funds that are being utilized to take this place already underway successful and producing for us. not to throw it aside. there are surely other areas we can find. i'll join mr. skelton in that as this ning goes to conference or as it works its way through the other body. i thank you, i thank chairman skelton. i yield back the balance of my time. the speaker pro tempore: the gentleman yields back the balance of his time. the gentleman from missouri. mr. skelton: madam speaker, i yield three minutes to the distinguished gentleman from south carolina, my friend, my colleague, gentleman who is the chairman of t