“In a concise, well-reasoned opinion, the United States Court of Appeals for the D.C. Circuit rejected a long list of meritless industry attacks on an important CFTC financial reform rule that will help bring transparency, accountability, and stability to the risky derivatives markets,” said Dennis Kelleher, President and CEO of Better Markets, regarding today’s decision, which affirmed a recent decision of the Federal District Court in Investment Company Institute and Chamber of Commerce of the United States of America v. United States Commodity Futures Trading Commission.
“As Better Markets advocated in its amicus brief, the Court faithfully adhered to the statutory language, holding, among other points, that the CFTC need not conduct a rigorous, quantitative cost-benefit analysis when it issues rules under the Commodity Exchange Act. Rather than conducting the ‘industry-cost-only’ analysis advocated by the Industry, the CFTC fulfilled its duty by considering costs and benefits in light of five specific factors listed in the statute,” explained Mr. Kelleher.
“This is a very significant victory not just for the CFTC, but, more importantly, for taxpayers who are still paying the price for the financial collapse caused largely by unregulated and reckless trading and investments. The real point of today’s ruling is that the industry should stop waging war on sensible financial reform and stop trying to misapply cost-benefit analysis as a weapon,” Mr. Kelleher continued.
View Better Markets’ Amicus Curiae brief in this case here.
