Join our mailing list to receive the latest news and updates from our team.
You have Successfully Subscribed!
We need more action on legislation that would ban Congressional stock trading. And fewer members of Congress in violation of the rules already on the books.
A leading government ethics watchdog on Tuesday renewed calls to ban members of Congress from trading stocks during their terms in office after The New York Times published a major investigation revealing that nearly 100 U.S. lawmakers reported trades in companies influenced by their committees.
“We need more action on legislation that would ban congressional stock trading. And fewer members of Congress in violation of the rules already on the books,” Citizens for Responsibility and Ethics in Washington (CREW) tweeted in response to the report. “It’s time we ban them from buying and trading stocks while in office.”
Sen. Elizabeth Warren (D-Mass.) agreed, tweeting that “it’s long past time to ban members of Congress and their spouses from owning and trading individual stocks.”
The Times report detailed how at least 97 members of the House and Senate “bought or sold stock, bonds, or other financial assets that intersected with their congressional work or reported similar transactions by their spouse or a dependent child.”
“The potential for conflicts in stock trading by members of Congress—and their choice so far not to impose stricter limits on themselves—has long drawn criticism, especially when particularly blatant cases emerge,” Kate Kelly, Adam Playford, and Alicia Parlapiano wrote in their report.
It’s long past time to ban members of Congress and their spouses from owning and trading individual stocks.
Months ago, I introduced the only bipartisan bill in the Senate to get it done.
“But the Times analysis demonstrates the scale of the issue,” the reporters added. “Over the three-year period, more than 3,700 trades reported by lawmakers from both parties posed potential conflicts between their public responsibilities and private finances.”
The lawmakers are almost evenly split along party lines. According to the Times:
Senator Tommy Tuberville, Republican of Alabama and a member of the agriculture committee, regularly reported buying and selling contracts tied to cattle prices starting last year, even as the panel, by Mr. Tuberville’s own account, had “been talking about the cattle markets.”
Representative Bob Gibbs, an Ohio Republican on the House Oversight Committee, reported buying shares of the pharmaceutical company AbbVie in 2020 and 2021, while the committee was investigating AbbVie and five rivals over high drug prices.
Among Democrats, profiled lawmakers range from conservative Reps. Josh Gottheimer of New Jersey (trades involving 326 companies and 43 potential conflicts of interest) and Minnesota’s Dean Phillips (276 trades, 34 potential conflicts) to progressives including Rep. Ro Khanna of California, who attributed 897 reported trades—which involve 149 potential conflicts of interest—to relatives’ transactions.
People wonder why it's so difficult for Democrats to convince voters that they'll improve outlooks for working families.
Notably absent from the new report is House Speaker Nancy Pelosi (D-Calif.), who—despite her husband trading as much as $81 million worth of assets between 2019 and 2021, including in numerous companies subject to congressional scrutiny—was excluded because she does not sit on any regulatory committee.
Khanna told the Times that a “highly diversified trust” that is independently managed—such as the one used by his family—is an ethical solution.
“No one should ever have to wonder whether their member of Congress is working for the public interest or their own financial interest.”
“If someone’s coming into a marriage with independent resources, I think that’s the appropriate way to deal with the conflict,” the Silicon Valley multimillionaire said.
Under the 2012 STOCK Act, members of Congress are permitted to buy and sell stocks, bonds, and other financial instruments but they cannot trade on inside information and they must disclose within 45 days any transactions worth more than $1,000 that they or their immediate family members made.
However, as a running investigation by Insider shows, 72 members of Congress have violated the STOCK Act in recent years, with the website reporting Monday that Rep. Chris Jacobs (R-N.Y.) is the latest to get caught breaking the law.
Furthermore, the STOCK Act has been criticized for its loopholes and relative toothlessness. In a bid to address these issues, Democratic Sens. Jon Ossoff of Georgia and Mark Kelly of Arizona earlier this year introduced the Ban Congressional Stock Trading Act, which if passed would compel members of Congress, their spouses, and dependent children to place certain investments into blind trusts or divest them.
Despite support from Pelosi and Senate Majority Leader Chuck Schumer (D-N.Y.), the proposed legislation has stalled, as no version that can garner the support of 60 senators—whose ranks include corporate Democrats like Joe Manchin of West Virginia and Arizona’s Kyrsten Sinema—has yet emerged.
A separate bipartisan measure introduced in February by Sens. Warren and Steve Daines (R-Mont.) along with Reps. Pramila Jayapal (D-Wash.) and Matt Rosendale (R-Mont.) would, if passed, ban U.S. lawmakers and their spouses from owning or trading stocks.
“No one should ever have to wonder,” Warren said at the time, “whether their member of Congress is working for the public interest or their own financial interest.”
Common Dreams has been providing breaking news & views for the progressive community since 1997. They are independent, non-profit, advertising-free and 100% reader supported.
{"id":null,"mode":"form","open_style":"in_place","currency_code":"USD","currency_symbol":"$","currency_type":"decimal","blank_flag_url":"https:\/\/factkeepers.com\/wp-content\/plugins\/tip-jar-wp\/\/assets\/images\/flags\/blank.gif","flag_sprite_url":"https:\/\/factkeepers.com\/wp-content\/plugins\/tip-jar-wp\/\/assets\/images\/flags\/flags.png","default_amount":500,"top_media_type":"none","featured_image_url":false,"featured_embed":"","header_media":null,"file_download_attachment_data":null,"recurring_options_enabled":true,"recurring_options":{"never":{"selected":true,"after_output":"One time only"},"weekly":{"selected":false,"after_output":"Every week"},"monthly":{"selected":false,"after_output":"Every month"},"yearly":{"selected":false,"after_output":"Every year"}},"strings":{"current_user_email":"","current_user_name":"","link_text":"Leave a tip","complete_payment_button_error_text":"Check info and try again","payment_verb":"Pay","payment_request_label":"Factkeepers.com","form_has_an_error":"Please check and fix the errors above","general_server_error":"Something isn't working right at the moment. Please try again.","form_title":"Help Support Factkeepers","form_subtitle":null,"currency_search_text":"Country or Currency here","other_payment_option":"Other payment option","manage_payments_button_text":"Manage your payments","thank_you_message":"Thank you for being a supporter!","payment_confirmation_title":"Factkeepers.com","receipt_title":"Your Receipt","print_receipt":"Print Receipt","email_receipt":"Email Receipt","email_receipt_sending":"Sending receipt...","email_receipt_success":"Email receipt successfully sent","email_receipt_failed":"Email receipt failed to send. Please try again.","receipt_payee":"Paid to","receipt_statement_descriptor":"This will show up on your statement as","receipt_date":"Date","receipt_transaction_id":"Transaction ID","receipt_transaction_amount":"Amount","refund_payer":"Refund from","login":"Log in to manage your payments","manage_payments":"Manage Payments","transactions_title":"Your Transactions","transaction_title":"Transaction Receipt","transaction_period":"Plan Period","arrangements_title":"Your Plans","arrangement_title":"Manage Plan","arrangement_details":"Plan Details","arrangement_id_title":"Plan ID","arrangement_payment_method_title":"Payment Method","arrangement_amount_title":"Plan Amount","arrangement_renewal_title":"Next renewal date","arrangement_action_cancel":"Cancel Plan","arrangement_action_cant_cancel":"Cancelling is currently not available.","arrangement_action_cancel_double":"Are you sure you'd like to cancel?","arrangement_cancelling":"Cancelling Plan...","arrangement_cancelled":"Plan Cancelled","arrangement_failed_to_cancel":"Failed to cancel plan","back_to_plans":"\u2190 Back to Plans","update_payment_method_verb":"Update","sca_auth_description":"Your have a pending renewal payment which requires authorization.","sca_auth_verb":"Authorize renewal payment","sca_authing_verb":"Authorizing payment","sca_authed_verb":"Payment successfully authorized!","sca_auth_failed":"Unable to authorize! Please try again.","login_button_text":"Log in","login_form_has_an_error":"Please check and fix the errors above","uppercase_search":"Search","lowercase_search":"search","uppercase_page":"Page","lowercase_page":"page","uppercase_items":"Items","lowercase_items":"items","uppercase_per":"Per","lowercase_per":"per","uppercase_of":"Of","lowercase_of":"of","back":"Back to plans","zip_code_placeholder":"Zip\/Postal Code","download_file_button_text":"Download File","input_field_instructions":{"tip_amount":{"placeholder_text":"How much would you like to donate? You can change this amount to anything you would like.","initial":{"instruction_type":"normal","instruction_message":"How much would you like to donate? You can change this amount to anything you would like."},"empty":{"instruction_type":"error","instruction_message":"How much would you like to donate? You can change this amount to anything you would like."},"invalid_curency":{"instruction_type":"error","instruction_message":"How much would you like to donate? You can change this amount to anything you would like."}},"recurring":{"placeholder_text":"Recurring","initial":{"instruction_type":"normal","instruction_message":"How often would you like to donate this?"},"success":{"instruction_type":"success","instruction_message":"How often would you like to donate this?"},"empty":{"instruction_type":"error","instruction_message":"How often would you like to donate this?"}},"name":{"placeholder_text":"Name on Credit Card","initial":{"instruction_type":"normal","instruction_message":"Enter the name on your card."},"success":{"instruction_type":"success","instruction_message":"Enter the name on your card."},"empty":{"instruction_type":"error","instruction_message":"Please enter the name on your card."}},"privacy_policy":{"terms_title":"Terms and conditions","terms_body":null,"terms_show_text":"View Terms","terms_hide_text":"Hide Terms","initial":{"instruction_type":"normal","instruction_message":"I agree to the terms."},"unchecked":{"instruction_type":"error","instruction_message":"Please agree to the terms."},"checked":{"instruction_type":"success","instruction_message":"I agree to the terms."}},"email":{"placeholder_text":"Your email address","initial":{"instruction_type":"normal","instruction_message":"Enter your email address"},"success":{"instruction_type":"success","instruction_message":"Enter your email address"},"blank":{"instruction_type":"error","instruction_message":"Enter your email address"},"not_an_email_address":{"instruction_type":"error","instruction_message":"Make sure you have entered a valid email address"}},"note_with_tip":{"placeholder_text":"Your note here...","initial":{"instruction_type":"normal","instruction_message":"Attach a note to your tip (optional)"},"empty":{"instruction_type":"normal","instruction_message":"Attach a note to your tip (optional)"},"not_empty_initial":{"instruction_type":"normal","instruction_message":"Attach a note to your tip (optional)"},"saving":{"instruction_type":"normal","instruction_message":"Saving note..."},"success":{"instruction_type":"success","instruction_message":"Note successfully saved!"},"error":{"instruction_type":"error","instruction_message":"Unable to save note note at this time. Please try again."}},"email_for_login_code":{"placeholder_text":"Your email address","initial":{"instruction_type":"normal","instruction_message":"Enter your email to log in."},"success":{"instruction_type":"success","instruction_message":"Enter your email to log in."},"blank":{"instruction_type":"error","instruction_message":"Enter your email to log in."},"empty":{"instruction_type":"error","instruction_message":"Enter your email to log in."}},"login_code":{"initial":{"instruction_type":"normal","instruction_message":"Check your email and enter the login code."},"success":{"instruction_type":"success","instruction_message":"Check your email and enter the login code."},"blank":{"instruction_type":"error","instruction_message":"Check your email and enter the login code."},"empty":{"instruction_type":"error","instruction_message":"Check your email and enter the login code."}},"stripe_all_in_one":{"initial":{"instruction_type":"normal","instruction_message":"Enter your credit card details here."},"empty":{"instruction_type":"error","instruction_message":"Enter your credit card details here."},"success":{"instruction_type":"normal","instruction_message":"Enter your credit card details here."},"invalid_number":{"instruction_type":"error","instruction_message":"The card number is not a valid credit card number."},"invalid_expiry_month":{"instruction_type":"error","instruction_message":"The card's expiration month is invalid."},"invalid_expiry_year":{"instruction_type":"error","instruction_message":"The card's expiration year is invalid."},"invalid_cvc":{"instruction_type":"error","instruction_message":"The card's security code is invalid."},"incorrect_number":{"instruction_type":"error","instruction_message":"The card number is incorrect."},"incomplete_number":{"instruction_type":"error","instruction_message":"The card number is incomplete."},"incomplete_cvc":{"instruction_type":"error","instruction_message":"The card's security code is incomplete."},"incomplete_expiry":{"instruction_type":"error","instruction_message":"The card's expiration date is incomplete."},"incomplete_zip":{"instruction_type":"error","instruction_message":"The card's zip code is incomplete."},"expired_card":{"instruction_type":"error","instruction_message":"The card has expired."},"incorrect_cvc":{"instruction_type":"error","instruction_message":"The card's security code is incorrect."},"incorrect_zip":{"instruction_type":"error","instruction_message":"The card's zip code failed validation."},"invalid_expiry_year_past":{"instruction_type":"error","instruction_message":"The card's expiration year is in the past"},"card_declined":{"instruction_type":"error","instruction_message":"The card was declined."},"missing":{"instruction_type":"error","instruction_message":"There is no card on a customer that is being charged."},"processing_error":{"instruction_type":"error","instruction_message":"An error occurred while processing the card."},"invalid_request_error":{"instruction_type":"error","instruction_message":"Unable to process this payment, please try again or use alternative method."},"invalid_sofort_country":{"instruction_type":"error","instruction_message":"The billing country is not accepted by SOFORT. Please try another country."}}}},"fetched_oembed_html":false}
