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Senators block bank confidentiality bill

Two senators have blocked what was expected to be the quick passage of H.R. 4014, a bill that would ensure the confidentiality of information obtained by the Consumer Financial Protection Bureau during bank examinations.

Without the legislation, many financial institutions fear that the sensitive documents could ultimately end up in the hands of third parties and lawyers to be used in lawsuits against the institutions, according to The Wall Street Journal.

On Monday, by a voice vote, the House of Representatives passed the legislation with bipartisan support. Many lawmakers expected the bill to breeze through the Senate.

The two senators, who have not publicly revealed their identities in blocking the legislation, refused to approve the bill, leaving its future uncertain. An aide said that the senators would like to pursue amendments to the entire Dodd-Frank Act before they would approve the bill, according to The Wall Street Journal.

Democrats had hoped to see the bill passed quickly but, if attached to another bill, the measure could still pass. Both Democrats and Republicans have overcome party differences to work together on the Dodd-Frank financial reforms in recent months. Another aide said, however, that unless the CFPB measure is passed, Democrats will not consider any further bipartisan changes to the Dodd-Frank Act.

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