In response to the push for stricter regulation of the moneyfund industry in the wake of the financial crisis, a few money fundcompanies have backed a plan to charge customers a fee to withdrawmoney from funds in times of financial stress. But U.S. regulatorshave given the industry's plan the cold shoulder, according to theWall Street Journal.

Securities and Exchange Commission officials think the proposalto charge fees could lead to the same kind of runs on money fundsthat occurred in the wake of Lehman's collapse. The industry's planincludes a temporary halt on redemptions if markets are understress, followed by a period in which investors withdrawing fundswould have to pay a fee. The Journal says SEC staffersworry the plan would lead investors to pull out funds inanticipation of such moves.

See the full story here. For previous coverage, see Investment Managers Seek Money Fund Deal and Former FDIC Head Bair Criticizes Proposed Money FundCompromise.