Faso votes for Stop Settlement Slush Funds Act
Oct 25, 2017 2:45 pm
On Oct. 25, Rep. John Faso (R-Kinderhook) voted for H.R. 732, the “Stop Settlement Slush Funds Act of 2017.” The bill would prohibit federal agencies from entering into or enforcing any settlement agreements that involve payments other than to the federal government, direct restitution to victims, or to remedy harms directly and proximately caused by the defendant. Vanita Gupta, the President and CEO at CivilRights.org, said the bill, "was motivated largely by two settlements between the Department of Justice and a few of the nation’s largest banks stemming from conduct that led to the 2008 financial crisis, settlements that included contributions to HUD-approved housing counseling agencies and legal aid organizations." Gupta is unclear about why the bill is needed, and wrote, "it appears to us that the sponsors of H.R. 732 are more troubled with who the banks chose to support than with any broader legal or policy principle." Rep. Bob Goodlatte (R-Virginia) claims President Barack Obama's Justice Department prevented settlement payouts from going to conservative-leaning organizations.