Senate Banking panel approves Trump's Fed, comptroller nominees

Senate Banking panel approves Trump's Fed, comptroller nominees
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The Senate Banking Committee on Thursday approved the nominations of two of President Trump’s top financial regulator nominees, sending them to the full Senate for consideration.

The panel approved along party lines Randal Quarles to serve as Federal Reserve vice chairman for supervision and Joseph Otting to serve as comptroller of the currency.

Only Sen. Heidi HeitkampMary (Heidi) Kathryn HeitkampHeitkamp ad highlights record as Senate race heats up Supreme Court rules states can require online sellers to collect sales tax Election Countdown: Family separation policy may haunt GOP in November | Why Republican candidates are bracing for surprises | House Dems rake in record May haul | 'Dumpster fire' ad goes viral MORE (D-N.D.), who is up for reelection in 2018 in a state Trump won by large margin in the presidential elecition, voted with all Republicans to approve Otting. Sens. Jon TesterJonathan (Jon) TesterDonald Trump Jr. headlines Montana Republican convention Overnight Defense: Trump orders Pentagon to help house immigrant families | Mattis says 'space force' needs legislation | VA pick gets hearing date Election Countdown: Family separation policy may haunt GOP in November | Why Republican candidates are bracing for surprises | House Dems rake in record May haul | 'Dumpster fire' ad goes viral MORE (D-Mont.), Joe DonnellyJoseph (Joe) Simon DonnellyElection Countdown: Family separation policy may haunt GOP in November | Why Republican candidates are bracing for surprises | House Dems rake in record May haul | 'Dumpster fire' ad goes viral Actress Marcia Gay Harden urges Congress to boost Alzheimer's funding Manchin becomes final Democrat to back bill preventing separation of immigrant families MORE (D-Ind.), Chris Van HollenChristopher (Chris) Van HollenOvernight Defense: Pentagon asked to prep housing for up to 20K migrant children | Senators move to block F-35 transfer to Turkey | Trump Mar-a-Lago trips cost Coast Guard M Senate spending bill would require disclosure of Trump travel ban details Senate moves to block F-35 transfer to Turkey MORE (D-Md.) and Mark WarnerMark Robert WarnerVirginia Dems want answers on alleged detention center abuse Wray defends FBI after 'sobering' watchdog report Top Dems: IG report shows Comey's actions helped Trump win election MORE (D-Va.) voted with Heitkamp and all Republicans to approve Quarles; Tester and Donnelly are both up for reelection next year in states Trump won.

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Quarles and Otting should face little difficulty clearing the GOP-controlled Senate. The two will play major roles in the Trump administration’s efforts to reshape financial regulation and “dismantle” the Dodd-Frank financial reform law.

Quarles, the undersecretary of domestic finance at the Treasury Department during the lead-up to the financial crisis, would oversee the Fed’s regulatory policy as the bank prepares for several high profile departures. Federal Reserve Chairwoman Janet Yellen is expected to leave the bank by February, and Vice Chairman Stanley Fischer announced Wednesday his plans to resign next month.

The departure of Yellen and Fischer, who have steered the Fed toward gradually normalizing interest rates, could widen the ideological divide between the banks’ more liberal governors and Trump’s conservative picks.

Senate Banking Committee Chairman Mike CrapoMichael (Mike) Dean CrapoGOP senators introduce bill to prevent family separations at border All the times Horowitz contradicted Wray — but nobody seemed to notice Senate Dems want watchdog to probe if SEC official tried to pressure bank on gun policies MORE (R-Idaho) said it was imperative that the full Senate confirm Quarles before Fischer steps down, so the Fed board can maintain a quorum.

Otting would lead the Office of the Comptroller of the Currency, which leads the federal government’s efforts to foster bank security and stability. Otting was the president and CEO of OneWest Bank, where he worked with Treasury Secretary Steven MnuchinSteven Terner MnuchinOn The Money — Sponsored by Prudential — Senators hammers Ross on Trump tariffs | EU levies tariffs on US goods | Senate rejects Trump plan to claw back spending Mnuchin: Tax-filing 'postcard' to be released next week Former top Treasury official to head private equity group MORE and presided over hundreds of thousands of foreclosures.

Democrats criticized Otting for his tenure at OneWest bank, which has been investigated for multiple federal and state housing violations.

Otting defended his career, saying his experiences “touched virtually every segment of the industry,” including work at banks of all sizes.