Flying Pork Alert
Congress seems to have gotten one right here. Let's hope they get it done.
In seeking to have large firms pay upfront fees for dismantling failing nonbank financial institutions, the House committee rejected warning from the Obama administration and objections from big Wall Street companies.
The money would be paid into a $150 billion "dissolution fund" by firms with assets of more than $50 billion. Hedge funds with assets of more than $10 billion would also have to pay. The Federal Deposit Insurance Corp. would use the fund to unravel and break up collapsing nonbank financial firms. The FDIC could also borrow an extra $50 billion, provided Congress approves.
Imagine, asking all those too big to fail companies to shell out to protect the rest of us from their too-big-to-failness.