FINANCIAL TIMES: …[Citigroup’s former chief executive Sandy] Weill’s intervention adds to a growing chorus of regulators, politicians and bankers calling for a return to the separation of investment banking from commercial banking that existed in the US before the 1990s.
“What we should probably do is go and split up investment banking from banking, have banks be deposit takers, have banks make commercial loans and real estate loans, have banks do something that’s not going to risk the taxpayer dollars, that’s not too big to fail,” Mr Weill told CNBC.
The 79-year-old’s comments come 13 years after the repeal of Glass-Steagall, the law passed after the Great Depression, which had forced a separation of financial activity. Mr Weill championed that repeal as he created Citigroup through acquisitions… (more)
