Barney Frank takes lead in Wall Street bailout

Thu, Sep 25th 2008, 16:48

Rep. Barney Frank, chairman of the House Financial Services Committee and a Victory Fund endorsee, has a leadership role in resolving the nation's financial crisis.

The Massachusetts congressman said that the House and Senate Democrats have agreed on the contents of Wall Street  bailout legislation. He will work with Senate Banking Committee Chairman Chris Dodd and top Republicans to finish the agreement.

He expressed optimism that Congress would hammer out a deal.

"There will be some phasing in of the $700 billion, there will be some equity protection ... for the taxpayers, there will be restrictions on CEO compensation for those companies that participate, there will be very strong oversight, there will be strong efforts to reduce mortgage foreclosures," Frank said on CNBC .

"No golden parachutes. A restriction on the situation where if the CEO takes a risk and it pays off he gets a lot of money but if it goes bust he doesn't lose any money."