Senate Banking Committee Chairman Alfonse M. D'Amato has postponed plans to introduce legislation that would let credit unions serve multiple employee groups, sources said Wednesday.
Senate staffers as well as financial industry lobbyists said earlier this week that they expected the New York Republican to introduce a bill today patterned after legislation in the House backed by the credit union industry.
Instead, the Senate is expected to hold hearings on the credit union controversy this spring. The Supreme Court ruled last week that credit union members must share a single, common bond.
Banking industry trade groups proposed a compromise Wednesday that would make large, diverse credit unions pay taxes and comply with the Community Reinvestment Act.
But Daniel A. Mica, president of the Credit Union National Association, rebuffed a compromise. "We are getting five to 10 members of Congress every few days signing up for our bill, we have some momentum," Mr. Mica said. "What the bankers are offering in a compromise are just alternative ways to put us out of business."