You are here:HomeIssuesProtecting State Insurance Regulation 2009Members Named to Commission to Probe Causes of Financial Crisis

Members Named to Commission to Probe Causes of Financial Crisis

On July 15, Congressional leaders announced their appointments to a 10-member Financial Crisis Inquiry Commission with a mandate to probe the cases of the financial...
July 21, 2009

On July 15, Congressional leaders announced their appointments to a 10-member Financial Crisis Inquiry Commission with a mandate to probe the cases of the financial crisis and the collapse of several key institutions. The commission, patterned after a similar panel that was formed to investigate the causes of the 1929 stock market crash, was established by the Fraud Recovery and Enforcement Act, which President Obama signed in May.

Under the law, the House Speaker and the Senate Majority Leader each can appoint three members, while the minority leaders of the House and the Senate each appoint two members.
House Speaker Nancy Pelosi (D-Calif.) and Senate Majority Leader Harry Reid (D-Nev.) tapped former California State Treasurer Phil Angelides, who served in that role from 1999 to 2007, to chair the commission. House Republican Leader John Boehner (R-Ohio) and Senate Minority Leader Mitch McConnell (R-Ky.) jointly selected former House Ways and Means Committee Chairman Bill Thomas to serve as vice chairman of the commission.
 
The Glass-Steagall Banking Act of 1933, which separated commercial and investment banking, grew out of the probe into the 1929 Wall Street crash by the Pecora Commission, named for Ferdinand Pecora, the final chief counsel for the effort. The repeal of the Glass-Steagall Act in 1999 marked the beginning of the modern era of financial services deregulation, which is now being reevaluated.

The Long Demise of Glass-Steagall (PBS's "The Wall Street Fix")