New Legislation Financial Modernization The leaders of the House and Senate Banking Committees are moving quickly on financial reform legislation.
House Banking Chairman Jim Leach introduced a financial reform bill Jan. 6, the first day of the new Congress. The legislation would overhaul the nation's financial laws by letting banks, insurance companies, and securities firms affiliate with each other. It would bar banking organizations-except unitary thrift holding companies that are grandfathered under the bill-from owning nonfinancial businesses. Commercial companies could not purchase unitary thrift holding companies.