Bill Would Form Panel to Outline Merging of Bank, Thrift Charters

A blueprint for merging the bank and thrift charters would be designed by a nonpartisan commission under a bill introduced Wednesday by Rep. Toby Roth, R-Wis.

Rep. Roth's proposal is modeled after the base-closing commission that planned the shutdown of military installations in recent years. Rep. Roth said his plan would help Congress update Depression-era banking laws without getting "bogged down" by industry lobbying.

"This is a revolutionary step toward solving thorny, ongoing problems in the savings and loan and banking industries," he said.

Issues the commission would tackle include: determining activities allowed to banks and thrifts, creating a timetable for converting to a new charter, and capitalizing the Savings Association Insurance Fund.

Rep. Roth wants Congress to vote on the recommendations by early 1998.

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