WASHINGTON, D.C. – Should congressional members be banned from trading stocks? There’s been recent lively debate in Washington surrounding that question. A Senate committee advanced legislation on this and the House could soon vote on similar legislation.
“Members should not be able to buy and sell shares of stock, individual stock while they are members of this body,” said Sen. Josh Hawley (R- MO).
In the Senate Homeland Security and Governmental Affairs Committee, Senators debated a bill by Sen. Hawley which would ban stock trading for members of congress. The bill includes the President and Vice President but it takes effect after Donald Trump and JD Vance finish their term. Senator Rick Scott (R- FL) said he believes the idea this bill would “attack people because they make money” is wrong.
“I’ve got a business background but what I was accused of was making money and somehow I can’t be fair and do things the right way,” said Sen. Scott.
“I think we have to accept that the American people think that all of us, Democrats and Republicans are using our position and our access to enrich ourselves,” said Sen. Elissa Slotkin (D- MI). “Members of congress shouldn’t be trading stocks when we are getting classified briefings.”
Last week the House Ethics Committee reprimanded Pennsylvania Representative Mike Kelly (R- PA) after their investigation into an insider trading allegation over his wife’s purchase of stock in a steel manufacturer. The Committee said the congressman and his family should divest any stock in that company before the congressman takes any further official actions related to it. The Committee concluded Kelly did not knowingly or intentionally get his wife to buy that stock based on insider information. They also added Kelly violated the House Code of Official Conduct for failure to acknowledge the seriousness of the alleged misconduct and the committee’s investigation.
“If we want it [legislation to ban stocks] to be really meaningful, it has to be extended to spouses,” said Noah Bookbinder, President of CREW (Citizens for Responsible and Ethics in Washington). “You don’t want a situation where members can do those same things we’re worried about and can trade based on information they get in congress or can have ownership that influences their votes and simply say ‘no it wasn’t me, it was my spouse.’
“You don’t want members of congress making decisions based on what’s in their interest based on their stock portfolio or what will put more money in their pocket,” added Bookbinder. “You want members to make decisions based on what’s best for their constituents and the American people.”
Multiple polls show the public are in favor of a stock trading ban for elected officials.
