This IRS scandal just won’t quit. Earlier this year, news broke that the IRS was specifically targeting tea party groups (and to a lesser extent liberal groups). Months after President Obama tasked the FBI with a thorough investigation of said scandal, there’s no investigation in sight, and the FBI was unable to name a lead investigator on Capitol Hill (video of that here). Now, a Senate committee approved a bill to allocate more funds to the IRS (enraging some GOP members.) So why do we in the managed futures world care?
It just so happens the bill would also increase funding for the CFTC. If you scroll 2/3 of the way down The Hill article, you’ll find they articulate this as funding for the implementation of the Dodd-Frank financial reform law.
“The Commodity Futures Trading Commission (CFTC) gets $110 million more, and the Securities and Exchange Commission (SEC) gets $353 million.”
Wow! The CFTC got what they wanted… and more! They proposed a 2013 budget of $308 Million, asking for an additional $102 Million in comparison to the prior year, and wound up with an extra $110 Million. Not too shabby.
Now maybe the CFTC can get to work syncing up their rules with the recently approved JOBS act, so that commodity pool operators can be on equal footing (for once) with their hedge fund cousins as they ponder advertising their funds (see our take here). And if they don’t think that is where they want to go with it – they could always use it to help make PFG customers whole, or turn up the heat on US Bank a little more. We won’t hold our breath…