Elizabeth Warren seeks ouster of top JPMorgan official from New York Fed
Senate candidate Elizabeth Warren today called on JPMorgan Chase chief executive officer Jamie Dimon to resign from the New York Federal Reserve Bank board after his company’s $2 billion trading loss.
Three top traders at the firm are already being replaced today.
Warren said that by stepping down from the Fed, Dimon would “send a signal to the American people that Wall Street bankers get it and to show that they understand the need for responsibility and accountability.”
Warren appeared on both CNN and CBS to discuss the latest Wall Street crisis, calling it a symptom of a destructive attitude. She said on CNN that banks should get back in the business of old fashioned banking, rather than the complex business transactions that have threatened taxpayers.
She made similar comments in a press release Sunday.
“We need to stop the cycle of bankers taking on risky activities, getting bailed out by the taxpayers, then using their army of lobbyists to water down regulations,” Warren said in a press release. “We need a tough cop on the beat so that no one steals your purse on Main Street or your pension on Wall Street.”
Warren, a Democrat, made a name for herself nationally as a Wall Street critic, and a top proponent of Wall Street regulation while serving in the Obama administration as a special adviser.
She also laid the foundation for the Consumer Financial Protection Bureau.
She said on CNN that some of the regulations approved as part of the Dodd-Frank Wall Street bill she helped craft have yet to take effect, though she did not say definitely that the bill would have prevented JPMorgan’s $2 billion loss.
Warren, who has been facing weeks of questions over whether she used her family’s belief that she is Native American to advance her career, is eager to shift the subject to economic issues, the basis of her campaign.
Her election opponent, Senator Scott, Brown is not. The Republican is campaign is hosting a conference call this morning “to discuss latest developments in the ongoing Elizabeth Warren controversy.”Noah Bierman can be reached at firstname.lastname@example.org. Follow him on Twitter @noahbierman.