A group of financial regulators have made themselves unavailable to testify for a scheduled House Financial Services Committee hearing on the Volcker Rule, forcing the committee to reschedule.
Committee Chairman Spencer Bachus (R-Ala.) sent a letter of disapproval on Wednesday that some agencies refused to send witnesses to testify at the hearing. The letter, which was cosigned by three subcommittee chairs, was sent to the Federal Reserve, the Commodity Futures Trading Commission, the Federal Deposit Insurance Corporation, the Securities and Exchange Commission and the Office of Comptroller of the Currency.
“Because the Volcker Rule is so complex and consequential, we are deeply disappointed that some of the authors of these rules would not make themselves available to testify before the House Financial Services Committee at a hearing that had been scheduled to take place next week,” the chairmen wrote, according to ABA.com.
The hearing that was originally scheduled for December will now be held on January 18. Due to the delay, the committee requested an extension of the comment period on the rule so that they could hear from the regulators responsible for implementing the rule prior to finalization
The controversial rule, which bans proprietary trading, has become complex and a major challenge for regulators. Former FDIC chair Sheila Bair recently wrote a column in Forbes recommending that regulators in charge of the “difficult task…scrap the mind-boggling complexity in the proposed rule.”