It has been nearly a week since 60 Minutes aired its expose on legalized insider trading in Congress, featuring Peter Schweizer and his new book, Throw Them All Out: How Politicians And Their Friends Get Rich Off Insider Trading, Stock Tips, Land Deals and Cronyism That Would Send The Rest of Us to Prison.
Public outrage over this news has spurred some members of Congress to take action. Two bills have been introduced in the Senate to prevent government officials from profiting on nonpublic information gained during the course of doing the peoples' work.On Thursday, House Financial Services Committee Chairman Spencer Bachus agreed to hold a hearing on a House version of the legislation know as the STOCK Act — short for Stop Trading on Congressional Knowledge Act.
Bachus (R-AL) himself is a target in "Throw Them All Out" for shorting the market after privately meeting with Chairman Ben Bernanke and Treasury Secretary Henry Paulson in the wake of the 2008 financial crisis. Sen. Bachus fired back against Schweizer earlier this week: The book has "several major and serious untruths and outright factual errors about me," he wrote in a letter to the publisher.
[click over and watch this great video interview from Aaron Task on Yahoo! The Daily Ticker]