I think it is important, because we specifically point out that their ratings would not be considered a forward-looking statement for purposes of Section 21(e) of the Securities Act.

In our judgment, the credit rating agencies shouldn't be able to opt out of having high standards and a level playing field.

The purpose of the RATE Act is to strengthen the Securities and Exchange Commission's (SEC) oversight of credit rating agencies and improve the accountability and accuracy of credit ratings.

Credit rating agencies are in the business of providing investors with unbiased analysis, but the current incentive structure gives them too much leeway to hand out unjustifiably favorable ratings.

From these hearings, it is clear that problems at credit rating agencies contributed to the significant financial sector instability our country has been experiencing.

Thank you very much, Mr. Chairman.

Today's hearing addresses a critical part of this Committee's work to modernize the financial regulatory system--strengthening regulatory oversight of the safety and soundness of banks, thrifts, and holding companies.

I think myself I would prefer it to be the Federal Reserve, but whichever--does have, I think, the need to look across our whole financial sector.

Should we have this agency dedicated funding, not through the appropriations process?

So it would be very clear that this regulator would be the primary regulator of all these functions, even if they feel under the range of CFTC or SEC.

I just want to welcome him back and let him know what a good thing it is to see him back in the institution to which he brought such luster.

We need to find ways to help public companies align their compensation practices with long-term shareholder value and, for financial institutions, overall firm safety and soundness.

You are embarking, each of you, in somewhat different ways on a career of public service that will entail a lot of hard work, a lot of late hours.

I applaud you on your nomination and welcome you here.

I want to thank all of you for your presence here today. This is a very distinguished panel.

The constitutional prerogative of advice and consent and the Senate tradition requiring the approval of the home State Senators for judicial appointments, I think, lead to wonderful consequences for America in the caliber of the appointees…

I appreciate very much that you have been here to speak on behalf of Mr. Lange.

I would also ask unanimous consent that the statement of the distinguished Chairman of the Senate Judiciary, Patrick Leahy, be added to the record.