Skip to main content

Sign up for our newsletter.

Quality journalism. Progressive values. Direct to your inbox.

For Immediate Release

Contact

Bartlett Naylor (202) 588-5186
David Rosen (202) 588-7742

Press Release

Report Shows Dodd-Frank’s Unfulfilled Promises

Public Citizen Looks at Dodd-Frank at Five Years
WASHINGTON -

On the fifth anniversary of the enactment of the Dodd-Frank Wall Street Reform and Consumer Protection Act, key provisions of the law still have not been implemented or are inadequately enforced, a new Public Citizen report (PDF) shows. The report, “Dodd Frank Is Five: And Still Not Allowed Outside the House,” documents the poor implementation of the law.

“Five years after President Barack Obama signed this legislation, Dodd-Frank remains largely incomplete,” said Bartlett Naylor, Public Citizen’s financial policy advocate and author of the report. “Major portions of the law have yet to be codified into specific rules. Many enforcement dates are set well into the future, and certain rules are not yet being implemented and enforced to the fullest extent of the law.” Of the 390 rules required by the law, fewer than two-thirds have been completed; 60 rules have yet to be finalized, while another 83 have not even been proposed, according to a tally by law firm Davis Polk.

Dodd-Frank promised that America would never again be held hostage by banks that are too big to fail, but that promise remains unfulfilled, the report finds. Instead, industry-captured regulators and members of Congress hungry for campaign contributions from Wall Street continue to delay and dilute the law.

The report reviews the Volcker Rule ban on short-term speculation, the now-repealed provision that required swaps speculation to take place outside of taxpayer-backed banks, the rule barring pay schemes that reward excessive risk-taking, and the “living will” powers that allow regulators to break up major financial institutions.

In many cases, regulators have either failed to finalize rules, granted exemptions and lenient compliance phase-ins, or ignored powers granted by Congress.

“Regulators and lawmakers who put Wall Street interests ahead of public interests aren’t fulfilling the law’s intent,” said Lisa Gilbert, director of Public Citizen’s Congress Watch division. “Instead of rolling back key provisions, our officials should be taking full advantage of this important Wall Street reform law to protect Main Street financial markets.”

Read the report (PDF).

###

Public Citizen is a nonprofit consumer advocacy organization that champions the public interest in the halls of power. We defend democracy, resist corporate power and work to ensure that government works for the people – not for big corporations. Founded in 1971, we now have 500,000 members and supporters throughout the country.

Child Advocates Celebrate 'Pause' But Push for Permanent End to Instagram for Kids

"Today is a watershed moment for the growing tech accountability movement and a great day for anyone who believes that children's well-being should come before Big Tech's profits."

Jessica Corbett ·


Israeli PM Naftali Bennett Mentions Palestinians Exactly Zero Times During UN Address

Pretending they don't exist, said one advocacy group, "is how he justifies stealing their land, detaining their children, and bombing their homes."

Andrea Germanos ·


UK Labour Conference Condemns AUKUS as Threat to World Peace

"AUKUS is the next step in a new cold war with China," said one opponent of the trilateral agreement. "It makes the Indo-Pacific, and the world, a more dangerous, not a more stable, place."

Brett Wilkins ·


'A Deal's a Deal': Progressive Leader Holds Strong on $3.5 Trillion Social Investment Plan

Congresswoman Pramila Jayapal says around 60 Democrats are willing to vote down a weaker bipartisan bill if the more sweeping reconciliation bill does not come first.

Jon Queally ·


Critics Fume as ICC Excludes US From Probe Into Afghan War Crimes

"Allowing powerful states to get away with multi-year, multi-continent torture against so many feeds impunity for all."

Andrea Germanos ·

Support our work.

We are independent, non-profit, advertising-free and 100% reader supported.

Subscribe to our newsletter.

Quality journalism. Progressive values.
Direct to your inbox.

Subscribe to our Newsletter.


Common Dreams, Inc. Founded 1997. Registered 501(c3) Non-Profit | Privacy Policy
Common Dreams Logo