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Senate OK’s bill barring Congress from insider trading

Political Notebook

THIS STORY APPEARED IN
Boston Articles
February 03, 2012

WASHINGTON - The Senate overwhelmingly passed legislation yesterday to explicitly prohibit members of Congress and their staffs from financially profiting from insider information, a rare bipartisan effort that is expected to be addressed in the House next week.

“The truth is, members of Congress have access to all kinds of sensitive information, and it has to be clear that the information is being used to serve our country - not to make a personal profit,’’ said Senator Scott Brown, a Massachusetts Republican who co-wrote an earlier version of the bill and has been aggressively pushing for its passage.

House majority leader Eric Cantor, a Republican from Virginia, said after senators passed the bill 96 to 3 that the House would take it up it next week.

Brown’s Senate colleague from Massachusetts, Democrat John F. Kerry, also voted to support the measure.

The legislation, dubbed the STOCK Act, was supported by President Obama in his State of the Union address last week. Obama and Brown chatted briefly about the bill after the speech.

“These are straightforward proposals that will help eliminate the corrosive influence of money in politics,’’ Obama said in a statement last night.

The bill was so popular senators began loading it with amendments - at least 17 - that at one point complicated its passage.

In the end, only a few amendments were allowed to ride on the bill, including language that bans bonuses for senior executives at Fannie Mae and Freddie Mac, the two government-backed mortgage companies that are under fire for their roles in the housing crisis.

Another amendment requires individuals trawling for information on Capitol Hill on behalf of stock traders to register and disclose their ties.

The Senate also added more teeth to the legislation, including a provision that would revoke the pensions of anyone convicted of insider trading.

It would also require lawmakers to disclose their stock deals within 30 days and would require stock trades and financial disclosure statements be published online for executive branch employees.

BOBBY CAINA CALVAN

Gingrich campaign fights Florida’s delegate rule

LAS VEGAS - Newt Gingrich’s campaign said yesterday it was appealing to Florida Republican officials to award the delegates from their primary last Tuesday on a proportional basis, rather than the winner-take-all formula that gave all 50 to victor Mitt Romney.

Romney trounced Gingrich, 46 percent to 32 percent, but a change in the formula would allow the former House speaker to leave the state with something to show for his 10 days of campaigning and two debate appearances.

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