The Secretary made clear the regulators are free to defend their own agency prerogatives.

He expected that they would. He asked that they keep in mind, as they did that, the fundamental goals that we all share to protect consumers.

But the Federal Reserve was responsible for overseeing the banks that made those loans, and/or the mortgage brokers, we gave that power to the Fed and just because they did not write any regulations, we ran into all this mischief.

The Fed would like to have the authority and the power to enforce. We gave you that 14 years ago--more than 14 years ago, actually.

By the time the second year came around, maybe the company would be in Chapter 11.

Yes, but they are at the trough every time they have a problem, whether they are a finance company or whether they are an insurance company, whether they are an auto company.

The fact that if I live in Kentucky, where I live, you want me to come in and say, the Federal Government should make the rules for every company in Kentucky.

But that isn't my question.

After all, we cannot legislate good judgment or ethics. And we already have the ultimate form of accountability through bankruptcy.

I want to know what each of you think of that approach, of a mandatory opt in or opt out vote every few years to decide certain matters.

Disclosure is usually the place the SEC does and should start.