New Warren bill could save billions

Sen. Elizabeth Warren from Massachusetts.

Mother Jones:

Last week, Sen. Elizabeth Warren (D-Mass.) introduced a bill with Sen. Tom Coburn (R-Okla.) that aims to make government settlements with corporations more transparent and fair. It could end up saving taxpayers billions of dollars.

When banks and other corporations are accused of breaking the law, the government often settles cases instead of going to trial. In the wake of the financial crisis, for example, the Department of Justice (DOJ) and government banking watchdogs have settled cases against banks that helped tank the economy. Regulatory agencies have argued that settlements are adequate tools to enforce the law, but Warren has protested. She notes that many settlements are tax-deductible. Other deals are confidential, meaning the public has no idea whether the terms of the agreement are fair.

Warren’s bill would discourage tax-deductible settlements by forcing federal agencies to explain why certain settlements are confidential, and to publicly disclose the terms of nonconfidential agreements so that taxpayers can see how much settlement tax-deductibility is costing them.

Read on for details.

One thought on “New Warren bill could save billions

  1. You gotta love this woman. **********But let’s talk about Snowden and Feinstein for a moment. According to Sen. Dianne Feinstein and Rep. Mike Rogers, Snowden is a Russian spy. What a load of crap. Now that Feinstein has assumed the role of Big Brother’s little sister and gone over to the dark side it seems that facts no longer matter to her. Like the fact that what the NSA is doing is unconstitutional. Or that the Patriot Act is unconstitutional. Feinstein is fond of asking those who question her position on spying, “What if we knock the program out and something happens?” Well, Dianne…..Boston happened ‘while’ the NSA was collecting its meta-data. How do you explain that? Both Feinstein and Rogers are nutty and dangerous elected officials.

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