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Sanders and Mnuchin clash over Glass-Steagall

Sanders and Mnuchin clash over Glass-Steagall
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Treasury Secretary Steven Mnuchin and liberal Vermont Senator Bernie SandersBernard (Bernie) SandersFive takeaways from Cruz, O'Rourke's debate showdown Live coverage: Cruz faces O'Rourke in Texas debate showdown Saudi mystery drives wedge between Trump, GOP MORE (I) engaged in a testy exchange over President Donald TrumpDonald John TrumpFive takeaways from Cruz, O'Rourke's debate showdown Arpaio files libel suit against New York Times IMF's Christine Lagarde delays trip to Middle East MORE’s campaign promise to enact a “21st Century Glass-Steagall Act,” a financial regulation separating commercial and investment banking.

Mnuchin’s first report outlining principles of financial regulation, released Monday, made no mention of an updated version of Glass-Steagall, a 1933 regulation repealed under President Bill ClintonWilliam (Bill) Jefferson ClintonCybersecurity for national defense: How many 'wake-up calls' does it take? Who's in control alters our opinion of how things are Obama adviser jabs Hillary Clinton over Monica Lewinsky comments MORE.

Mnuchin told Sanders that there were, essentially, three different “21st Century Glass-Steagall” acts: the one on which Trump campaigned, the one passed in the Republican platform and one in the form of legislation recently introduced by Senators Elizabeth WarrenElizabeth Ann WarrenPavlich: The left’s identity politics fall apart Graham: It would be 'like, terrible' if a DNA test found I was Iranian Iranian-American group calls on Graham to apologize for 'disgusting' DNA remark MORE (D-Mass.) and John McCainJohn Sidney McCainComey donates maximum amount to Democratic challenger in Virginia House race Live coverage: McSally clashes with Sinema in Arizona Senate debate Is there difference between good and bad online election targeting? MORE (R-Ariz.).

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“During the campaign, we specifically said that we believed in a 21st-century Glass-Steagall. That was differentiated from what was the Republican Party view of Glass-Steagall,” Mnuchin began before Sanders cut him off.

“Whoa, whoa. Let me get this right. I don't mean to interrupt you, Mr. Mnuchin,” Sanders started in.

“But you are — you are interrupting me. You're not letting me finish my comment,” Mnuchin responded.

“But I have very limited time, and what you're saying is that the language that Trump put into the Republican platform is not really the language that he believed in,” Sanders said.

Mnuchin argued that Trump was not responsible for the language in the Republican party platform and that Trump opposed actions that would break up big banks, as forcing a separation between commercial and investment banking would do.

“We think that that would hurt the economy, that would ruin liquidity in the market. What we are focused on is safe and prudent regulation for the large banks so we don't have taxpayer risk,” Mnuchin said.

When Sanders noted the legislation of the same name, Mnuchin said it was "an unfortunate coincidence."

In May, Warren and Mnuchin had a similar stand-off at a hearing.

"This is like something straight out of George Orwell," Warren said at the time.