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In a rebuke of the Bush administration, the Supreme Court ruled Monday that a federal bank regulator erred in quashing efforts by New York state to combat the kind of predatory mortgage lending that triggered the nation's financial crisis.
The 5-4 ruling by the high court was unusual. Justice Antonin Scalia, arguably the most conservative jurist, wrote the majority's opinion and was joined by the court's four liberal judges.
The five justices held that contrary to what the Bush administration had argued, states can enforce their own laws on matters such as discrimination and predatory lending, even if that crosses into areas under federal regulation.
Justice Clarence Thomas, writing for the four dissenters, argued that laws dating back to the nation's founding prevent states from meddling in federal bank regulation. He was joined by Chief Justice John G. Roberts and justices Anthony Kennedy and Samuel Alito.
[more...]
www.mcclatchydc.com/251/story/70985.html
The 5-4 ruling by the high court was unusual. Justice Antonin Scalia, arguably the most conservative jurist, wrote the majority's opinion and was joined by the court's four liberal judges.
The five justices held that contrary to what the Bush administration had argued, states can enforce their own laws on matters such as discrimination and predatory lending, even if that crosses into areas under federal regulation.
Justice Clarence Thomas, writing for the four dissenters, argued that laws dating back to the nation's founding prevent states from meddling in federal bank regulation. He was joined by Chief Justice John G. Roberts and justices Anthony Kennedy and Samuel Alito.
[more...]
www.mcclatchydc.com/251/story/70985.html
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Re: Scalia breaks ranks, slams Bush officials on bank regulation
Tue, June 30, 2009 - 11:43 AMThis is fantastic news. I think it will help break up those banks that are "too big to fail". It also points to exactly why Eliot Spitzer got hung out to dry.
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Re: Scalia breaks ranks, slams Bush officials on bank regulation
Tue, June 30, 2009 - 12:03 PMScalia has a thing about the 10th Amendment.
books.google.com/books
In this case, however, I suspect he has some personal issue with the banks. With Scalia, "the personal is political." -
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Re: Scalia breaks ranks, slams Bush officials on bank regulation
Tue, June 30, 2009 - 2:52 PMI was thinking the same thing. Like maybe a family member was screwed on a mortgage sometime.
I doubt this will do anything to break up the mega banks.
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