US Rep Frank Warns Banks Not To Hoard Funds From Treasury
WASHINGTON (DOW JONES)–U.S. House Financial Services Chairman Barney Frank, D-Mass., warned banks that he believes it is unacceptable for them to hoard funds from the Treasury recapitalization program rather than using the funds to jump-start lending.
Frank was responding to reports that Bank of America Corp. (BAC) plans to use capital it would get from the U.S. Treasury as a financial cushion.
“That’s not why they’re getting that money,” Frank said in an interview with Dow Jones Newswires on Friday.
Follow the link to find more of the story of Democrats threatening the banking industry:
http://money.cnn.com/news/newsfeeds/articles/djf500/200810171913DOWJONESDJONLINE000762_FORTUNE5.htm
