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Corker calls on Congress to use Dimon hearing for insight into regulations

Bob Corker

Sen. Bob Corker (R-Tenn.) said on Wednesday that he hoped Congress would use the Senate Banking Committee hearing with Dimon to focus more on improving financial regulations rather than JPMorgan Chase & Co.’s $2 billion-plus losses.

“What this hearing does is provide us an opportunity to see how these highly complex institutions are run, to see some of the gaps and to help inform us as we move ahead as to whether we’ve really dealt with some of the issues that created our last financial crisis,” Corker said, according to The Hill.

While JPMorgan’s losses have renewed industry debate over whether regulators should tighten financial regulations, Corker criticized the 2010 Dodd-Frank Act, saying that U.S. lawmakers “responded in a political way to our financial system,” The Hill reports.

“The answer in Dodd-Frank was to put a regulator alongside every bank…but there’s no way regulators are ever going to be ahead of bankers,” Corker said, adding that the 2,400-page Dodd-Frank is “like a Christmas tree of regulations,” according to The Hill.

Additionally, Corker said the JPMorgan losses were fractional and a “blip on the radar screen.”

“This is not about the bank being in trouble,” Corker said, The Hill reports. “I mean, $2 billion is less than two months’ worth of earnings at JPMorgan. It’s a well-capitalized institution.”

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