Obama administration defends financial rules

AP News
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Posted: Apr 19, 2011 10:58 AM
Obama administration defends financial rules

A top Treasury Department official says the administration will press ahead with the implementation of broad financial rules passed last year, despite growing criticism from banks and lawmakers.

Neal Wolin, deputy Treasury secretary, says the rules are necessary to prevent another financial crisis. He says some of the criticism misses the mark.

"If we don't invest in reform now, we run the unacceptable risk that we will pay dearly later," Wolin says.

Regulators have spent the past few months adding details to aspects of the law passed last year.

Some Republican lawmakers are seeking to reduce funding for agencies set up under the law and limit the scope of new rules. They say some rules could inhibit innovation and make it harder for U.S. banks to compete with overseas competitors.