Warren starts taking on banks and regulators
WASHINGTON (AP) — Elizabeth Warren rose to national prominence as an outspoken consumer advocate decrying Wall Street abuses and became the progressive movement's darling candidate in last fall's Senate elections. Like most freshman lawmakers, the Massachusetts Democrat has maintained a low profile during her first few months in office.
That's starting to change.
Warren, who championed the creation of the new Consumer Financial Protection Board after the mortgage-led financial meltdown five years ago, is beginning to use her Senate Banking Committee perch to push regulators for tougher actions against errant banks.
Warren questioned senior Treasury Department officials Thursday about why there was no criminal prosecution for alleged money laundering by British bank HSBC and no effort to shut it down. HSBC agreed last December to pay a forfeiture and penalties totaling $1.9 billion to settle charges it helped Mexican drug traffickers, Iran and Libya move money around the world.
"What does it take, how many billions of dollars do you have to launder from drug lords and how many economic sanctions do you have to violate before someone will consider shutting down a financial institution?" Warren asked at a Banking Committee hearing on money laundering.