March 21, 2013

IN LINE WITH MY ADVICE: GOP lawmaker offers bill to prevent Cyprus-like run on savings accounts. “The measure from Rep. Billy Long (R-Mo.) was inspired by the banking crisis in Cyprus, which sent shivers through the markets this week when it considered assessing a levy against all bank deposits to help pay for a bailout of its major banks. . . . Long said Wednesday that his resolution, H.Res. 129, was introduced to ensure the U.S. never considers a levy on deposits.”

More here. Call your Representative and ask him/her to cosponsor.

UPDATE: Reader Mark Jones writes:

Rep. Billy Long’s introduced resolution against a Cyprus-like raid on bank deposits is nice–certainly a lot better than no resolution on the point at all. But it’s only a resolution. Which means exactly nothing, legally speaking. Congress passes resolutions all the time, on matters both profound and frivolous. We need legislation, not resolutions. Sure, a future Congress could just repeal legislation prohibiting such things, or ignore it. But that in itself would be a warning sign. Nobody’s going to notice or care if they violate a resolution.

Fair point.