NY CEOs Push Congressional Delegation to Resist New Banking Regulation

The New York City financial industry is less than pleased about proposals floating around Congress to significantly curb the size and influence of major banking companies.

The Partnership for New York City, a group representing the city’s largest businesses, today sent a letter to the New York Congressional delegation pushing back against the proposals, strongly urging the elected officials to resist them.

“[W]e want to alert you to proposed legislation that could diminish America’s standing as a preeminent, global financial center and inflict particular damage on New York,” the Partnership’s President, Kathryn Wylde, wrote in the letter. “We cannot afford for proposals like this to make it into the financial reform package and we hope every member of the delegation will make it their business to oppose them.”

Perhaps to hammer this message home, the Partnership said it plans to lead a trip of more than 20 CEOs from the city to Washington to discuss economic issues with the delegation, in a meeting called by Rep. Charles Rangel.

The letter seems to take issue with a number of bills or amendments being worked on in Congress that would empower the federal government to preemptively break up financial institutions it deems too risky to the overall economy.

Rep. Paul Kanjorski, author of one such amendment, told the Journal that “It’s a natural drive of capitalism to escape control and escape regulation and to keep growing to any size.”

The letter is below.

Preemptive Breakup Lett

NY CEOs Push Congressional Delegation to Resist New Banking Regulation