Senate Dems Block GOP Stock Trading Bill Amid Criticism
Senate Democrats reject GOP’s stock trading bill, citing inadequate restrictions and voter ID concerns.
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Senate Democrats unanimously voted to block the Stop Insider Trading Act on Wednesday, rejecting the Republican-led legislation that aimed to restrict stock trading by lawmakers and require voter ID for federal elections. The bill, sponsored by Rep. Bryan Steil (R-WI) and led in the Senate by Sen. Pete Ricketts (R-NE), failed to advance due to a 53-47 procedural vote, falling short of the 60 votes needed.
Bill Fails to Pass, Critics Call It a ‘Permission Slip for Corruption’
The legislation, which passed the House in July with a 232-198 vote, would have prohibited lawmakers, their spouses, and dependent children from purchasing new publicly traded stocks, while allowing them to retain existing holdings. It also requires public notice seven to fourteen days before selling covered investments, with penalties of up to $2,000 or 10% of the transaction’s value.
Critics argue that the bill does not adequately address conflicts of interest, as it allows lawmakers to keep and sell investments they already own. Senate Minority Leader Chuck Schumer (D-NY) criticized the measure from the Senate floor, calling it a ‘permission slip for corruption’ and not a ‘stock trading ban.’
Voter ID Provision Sparks Debate
One of the key points of contention was the voter ID provision, which some lawmakers, including Chris Josephs, co-founder of the trading app Autopilot, called a ‘kill pill.’ Josephs argued that pairing the stock trading restrictions with the voter ID requirement forced Democrats to vote on two contentious issues at once, showing neither side was serious about passing a stock-trading ban.
Republican leaders defended the combination, stating both policies had broad public support. Senate Majority Leader John Thune (R-SD) described the legislation as pairing ‘two common sense measures’—a stock purchase ban for members of Congress and a voter ID measure. Speaker Mike Johnson had previously called the pairing ‘a very logical thing to do.’
Democrats Continue to Oppose
All Senate Democrats and both independents opposed the bill, with Schumer leading the criticism. The defeat of the Stop Insider Trading Act highlights the ongoing political divide over campaign finance and voting rights, as well as the challenges of passing comprehensive reform in a divided Congress.
Source: Daily Wire
