Snap Fact #156
President Obama Signs The Stock Act To Bring Financial Accountability And Ethics To Our Elected Leaders!
In his 2012 State of the Union Message, President Obama called for a law preventing insider trading by members of Congress. "Send me a bill that bans insider trading by members of Congress; I will sign it tomorrow," The President said during his address. After some delay and watering down of the Bill by the House, the cleverly named Stop Trading On Congressional Knowledge (STOCK) Act was passed on April 3rd, 2012 and a short signing ceremony was held at noon the next day.
This act makes it illegal for legislators, members of the executive branch, and federal employees or anyone connected to them, including their families and their staffs, to profit from trading securities based on privileged information that is available to them but not to the public.
The President complemented the members who worked to turn this idea into the reality of this bi-partisan Bill. While praising the bill, the President made it clear that the Bill had been watered down by the House after passing the Senate in full force.