Somerville, MA – U.S. Senate candidate and consumer advocate Elizabeth Warren today renewed her call for JP Morgan CEO Jamie Dimon to resign from the New York Federal Reserve Bank's Board of Directors. Her comments came on the eve of a Senate Banking Committee hearing where Dimon will be the sole witness on JP Morgan's recent $3 billion in losses due to high risk trading.
"Jamie Dimon should take the opportunity of this hearing to step down from the New York Fed's Board, and Congress should pass legislation that will prohibit these kinds of conflicts of interest in the future," said Warren.
"Four years after the financial crisis, Wall Street has still not been held accountable, and that lack of accountability has history repeating itself - huge, risky financial bets leading to billions in losses. It is time for some accountability," said Warren. "It's really frustrating to see these Wall Street firms make the same mistakes over and over again, and for the CEO's who run these companies to escape accountability. Dimon stepping down from the NY Fed would be at least one small sign that Wall Street will be held accountable for their failures."
Warren, one of the first to call for Dimon's resignation for the Federal Reserve Board, supports the Federal Reserve Independence Act co-sponsored by Senators Bernie Sanders (VT), Barbara Boxer (CA) and Mark Begich (AK). The legislation would ban executives from big banks serving on the boards of the regional Federal Reserve Banks.
Warren is widely credited with the idea for the Consumer Financial Protection Bureau, and she served as Assistant to the President and Special Advisor to the Secretary of the Treasury in 2010 and 2011, with the authority to set up the consumer agency. Time Magazine named her one of the "New Sheriffs of Wall Street" for her clear and fearless oversight efforts during the financial crisis on behalf of the American people, and the Boston Globe named her Bostonian of the Year in 2009.