Regulators: Delay on Privacy Rules Was Necessary

WASHINGTON - Regulators on Wednesday defended their decision to delay implementing new privacy rules amid jeers from Capitol Hill.

The Treasury Department, Federal Reserve Board, and the other banking agencies were the latest to approve consumer privacy protections mandated by the Gramm-Leach-Bliley Act enacted last fall. Credit union regulators adopted similar rules Monday, and the Securities and Exchange Commission and Federal Trade Commission are expected to follow by the end of the week.