The Treasury Department today issued new rules designed to limit lobbyist influence on the Emergency Economic Stabilization Act's recovery programs. The new rules include: 1) limiting Treasury Department contacts with lobbyists regarding applying for, and disbursing recovery programs funds, 2) requiring the Office of Financial Stability to certify to Congress that each Treasury Department investment "is based only on investment criteria," 3) publishing a detailed description of banking regulators' investment review process, and 4) requiring a primary banking regulator to determine a bank's eligibility for Treasury Department capital investment. Click here for today's press release.
Additionally, the Treasury Department released details of another round of Capital Purchase Program transactions totaling $386 billion for 23 banks. The Capital Purchase Program allows qualified financial institutions to receive a capital injection from the Treasury Department in return for preferred stock and warrants. Today's report discloses investments ranging from approximately $1 million to $111 million. The Treasury Department's aggregate investments under the Capital Purchase Program now total $194.1 billion. Click here for the Treasury Department's press release, and click here for all Capital Purchase Program transactions to date.