Wall Street's biggest lobbying groups banded together to sue theCommodity Futures Trading Commission (CFTC), seeking to curb theoverseas reach of its rules and rein in a regulatory barrage by itsdeparting Chairman Gary Gensler.

The suit, filed yesterday in federal court in Washington, seeksto overturn guidance the CFTC approved in July. The trade associations,which represent Goldman Sachs Group Inc., JPMorgan Chase & Co.,Deutsche Bank AG, and other swap dealers, say the agency illegallyset regulations by issuing guidance documents and staff advisoriesrather than formal commission-approved rules.

In their court papers and in interviews, the groups said theyfelt pushed to the edge by Gensler, who has spent the past fiveyears grappling with banks over the parameters of a more publicmarketplace for financial products that helped ignite the 2008credit crisis.

Complete your profile to continue reading and get FREE access to Treasury & Risk, part of your ALM digital membership.

  • Critical Treasury & Risk information including in-depth analysis of treasury and finance best practices, case studies with corporate innovators, informative newsletters, educational webcasts and videos, and resources from industry leaders.
  • Exclusive discounts on ALM and Treasury & Risk events.
  • Access to other award-winning ALM websites including PropertyCasualty360.com and Law.com.

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.