Lawmakers in the United States are intensifying efforts to ban stock trading by members of Congress, a move driven by concerns over potential insider trading. Recent discussions on Capitol Hill have highlighted the issue of lawmakers accessing sensitive information that could influence stock market decisions. This information often surfaces before it is available to the general public, raising ethical questions about the financial gains lawmakers might achieve from it.
During a committee hearing last week, Rep. Bryan Steil, the Chairman of the House Administration Committee, stated, “I believe it’s critical that lawmakers, regardless of party, regardless of seniority, are not profiting from insider information that they learn while working on Capitol Hill.” He emphasized that these individuals often create the very laws that shape economic and healthcare policies.
In support of this initiative, Rep. Joe Morelle from New York expressed the need to restore public trust in government institutions. He remarked, “In this moment, confidence in our government is abysmally low. Fostering public trust in our institutions is the absolute bedrock of the American experiment.” This sentiment underscores the urgency felt by many lawmakers regarding the proposed changes.
The legislation, known as the Restore Trust in Congress Act, has gained traction, yet there is currently no scheduled vote. Even House Speaker Mike Johnson from Louisiana, who publicly supports the bill, acknowledged the concerns of those hesitant about the legislation. He noted that potential candidates may reconsider their willingness to run for office if it means sacrificing financial opportunities, stating, “You’re going to have less qualified people who are willing to make the extreme sacrifice to run for Congress.”
Despite the lack of an impending vote, there exists a strong public backing for the bill. Peter Schweizer, an author and researcher who has examined the issue, suggested that the reluctance to advance the legislation may stem from the profitability of stock trading for many members of Congress. He stated that “there are a lot of members of Congress who are doing very, very well in their stock trades.”
According to Quiver Quantitative, which tracks stock trades made by lawmakers, the top congressional traders in 2024 include:
– Rep. Michael McCaul (R-Tex.) with a trade volume worth $72,611,000
– Rep. Ro Khanna (D-Calif.) with $69,874,000
– Rep. Josh Gottheimer (D-N.J.) with $44,391,500
– Rep. Jefferson Shreve (R-Ind.) totaling $29,327,000
– Rep. Nancy Pelosi (D-Calif.) with $26,875,000
The potential for a discharge petition has been mentioned by lawmakers if votes continue to be delayed. This process, which allows members to force a vote on a bill, was recently used to pass legislation related to the release of documents regarding Jeffrey Epstein.
While the conversation around this issue is ongoing, the push to reform stock trading practices among members of Congress reflects a broader desire for transparency and accountability within the government. As discussions evolve, the fate of the Restore Trust in Congress Act remains uncertain, yet the momentum for change is palpable.
