McHugh Asks US Attorney General to Conduct Criminal Investigation of Financial Industry

Submitted article

Congressman John M. McHugh (NY-Pierrepont Manor) called on United States Attorney General Michael Mukasey to conduct an investigation of any financial institution, corporation, or individual that is suspected of criminal action relating to our current financial crisis.  The Congressman signed a bipartisan letter with 30 other Members of Congress calling for the Attorney General to conduct a criminal investigation and involve the financial crimes units of other federal agencies to assist in his investigation.

“Americans are angry about the irresponsible, and potentially criminal, actions of many in the financial industry who bear responsibility for our nation’s current economic crisis.  I have personally heard from a countless number of New Yorkers who want to ensure that a thorough review and investigation is conducted, and those who violated laws are held accountable,” said Congressman McHugh.  “American taxpayers have suffered because of the actions of others, and this cannot be allowed to continue.  The only way to prevent further economic hardship is to fully understand the conditions that led to our current financial climate, any criminal conduct that occurred, and modernize our outdated regulatory system to keep up with the growing complexity of the financial world in the 21st Century.”

Congressman McHugh has continued to fight for accountability on Wall Street in recent weeks, including calling for oversight hearings in the relevant committees in Congress.  Other steps he has taken include:

* Sponsor of two bills that would prohibit golden parachute payments being made to the former executives and board members of Fannie Mae and Freddie Mac as well as prevent executives whose companies receive direct assistance from the Federal Government from receiving golden parachutes.
* Sponsor of the bipartisan House Resolution, H.Res. 1452, which would establish the Select Committee on Financial Bailouts.  The committee would be charged with the task of investigating the federal government’s bailout actions, making recommendations to prevent future bailouts, and examining the “role of political activities and influence in exacerbating the current market situation.”
* Signed a letter to Treasury Secretary Hank Paulson and Federal Reserve Chairman Ben Bernanke asking them to investigate whether taxpayer dollars were used at AIG’s exclusive retreat.
* Called for Fannie Mae and Freddie Mac to open up their books in order to increase transparency in the financial dealings and decision making made by the companies leading up to their collapse into conservatorship.
* Letter to Chairman Henry Waxman of the House Oversight and Government Reform Committee asking for a separate day of testimony on Fannie Mae and Freddie Mac’s role in the current financial crisis.