The Commodity Futures Trading Commission voted to delay a rule required to take effect in mid-July under the Dodd-Frank Act, adding another rule to a long list of unfinished Dodd-Frank priorities.
The CFTC was tasked with establishing new regulations for the $601 trillion swaps market. It has been delaying finalizing any rule, however, through a series a votes, according to BusinessWeek.com.
On Wednesday, the commisson voted 5-0 to propose a delay of the rule until July 16, 2012. The proposal will be available for public comment for 30 days. The CFTC is expected to finalize the postponement by the end of the year.
“This order enables the commission to continue its progress in finalizing rules,” Gary Gensler, the CFTC chairman, said, according to Bloomberg.com.
This marks the second time the agency has not complied with the effective dates required by law.
Gensler said that the agency would likely vote in the first quarter of next year on many Dodd-Frank rules.
Regulations governing exchanges and other trading facilities, according to Gensler, will receive votes during that time period.
On June 15, the Securities and Exchange Commission decided to postpone the Dodd-Frank rules governing trades conducted by banks such as Goldman Sachs Group Inc. and JPMorgan Chase & Co., according to Bloomberg.com.
Republicans have used the slow pace of rule writing and the delay in rules to highlight the complexity and utter chaos created by Dodd-Frank.