WASHINGTON – Members of the Senate Banking Committee introduced a bill last week that would prevent commercial entities, like Wal-Mart Stores, from entering the banking business by acquiring an industrial loan charter. The bill is similar to one that passed the House Financial Services Committee last month and would require an entity acquiring an ILC charter to have at least 85% of its business already in financial services. The legislation was prompted by the two-year battle by Wal-Mart, since abandoned, to acquire an ILC. The Senate bill has rough sledding because a major proponent of ILCs, Robert Bennett, the senator from Utah where two-thirds of the 90 ILCs are chartered, is an influential member of the banking panel.
Processing Content
