U.S. banks' overseas swaps trades face new curbs under a U.S.Securities and Exchange Commission (SEC) plan adopted today, evenas some members warned the regulation may not go far enough to reinin recent Wall Street efforts to escape the Dodd-Frank Act.

The SEC voted 5-0 to extend the agency's rules to transactionsexecuted by foreign divisions of banks, including JPMorgan Chase& Co. and Goldman Sachs Group Inc., when the affiliate's tradesare legally guaranteed by the parent company. The new rule comes asWall Street has removed those guarantees to avoid Dodd-Frank Actregulations issued by another regulator, the Commodity FuturesTrading Commission (CFTC).

“The recent financial crisis is replete with examples of firmsrescuing their affiliates,” Commissioner Kara Stein said before thevote.“Firms do not jettison them off to fend for themselves intimes of crisis; they bail them out.”