Rep. Jayapal moves to ban congressional stock trading

The bill would bar lawmakers, their spouses, and dependents from trading individual stocks while in office.

Pramila Jayapal / Wikipedia

Indian American Congresswoman Pramila Jayapal on Sept. 3joined a bipartisan coalition of lawmakers to introduce a legislation that would ban members of Congress and their families from trading individual stocks.

The measure, titled the Restore Trust in Congress Act, is co-led by Representatives Seth Magaziner (D-RI-02) and Chip Roy (R-TX-21). Unveiled at a press conference in the U.S. Capitol, the bill represents the first time competing proposals to restrict stock trading by lawmakers have been consolidated into a single bipartisan bill.

Also Read: Rep. Jayapal introduces resolution to increase U.S. health aid

Jayapal, who has long advocated for such a ban, said the bill is aimed at restoring public confidence in government. “We are governing in a moment when public trust is at historical lows. Only two in ten Americans trust the government to do what is right for them and they are constantly seeing their elected officials selling them out to the highest bidder,” she said.

“Finally, we are putting the American people first with this bipartisan legislation, which will ban stock trading for Members of Congress and set a new standard of integrity,” she added.

Under the proposal, members of Congress, their spouses, dependent children, and trustees would be barred from owning, buying, or selling individual stocks, securities, commodities, and futures. Lawmakers would be permitted to invest only in broadly diversified mutual funds and similar financial instruments.

Current members would be required to divest their holdings within 180 days of enactment, while new lawmakers would have 90 days to comply. The bill also includes enforcement mechanisms and penalties, such as fines and forfeiture of profits.

The legislation was introduced with 16 original cosponsors, evenly split between Democrats and Republicans. Alongside Jayapal, supporters include Representatives Brian Fitzpatrick (R-PA-01), Alexandria Ocasio-Cortez (D-NY-14), Tim Burchett (R-TN-02), and Anna Paulina Luna (R-FL-13).

A recent poll by the nonpartisan advocacy group Issue One found that 86 percent of Americans support a ban on congressional stock trading, underscoring broad public demand for reform.

Comments

This is a Premium Article, available exclusively to our subscribers.

Read 500+ such News or articles every month by subscribing today!
Monthly

Free

Limited Access

Limited View

Free weekly E-Paper

Subscribe Now
Monthly

$10

Full Access

Unlimited View

Free weekly E-Paper

Free daily newsletter

Subscribe Now
Annual

$50

Full Access

Unlimited View

Free weekly E-Paper

Free daily newsletter

Subscribe Now
Start the conversation

Become a member of New India Abroad to start commenting.

Sign Up Now

Already have an account? Login