A bipartisan group of Senators, including Jon Ossoff, Gary Peters, Jeff Merkley, and Josh Hawley, have introduced new legislation that would impose strict penalties on members of Congress and their families for trading stocks. The bill would prohibit lawmakers from buying and selling stocks and certain investments, with potential fines worth their monthly salary or 10 percent of the value of each improper investment if violated. The legislation also requires members of Congress, the president, and vice president to divest from certain investments by 2027.
Lawmakers are already required to disclose their stock trades publicly, but the current penalty for violations is minimal. The proposed legislation aims to instill confidence in the American public that federal officials are not making decisions based on personal financial gain. While the bill allows for investments in mutual funds and ETFs, it also seeks to address conflicts of interest that may arise from trading individual stocks. Members of Congress are hopeful that the Senate Majority Leader, Charles E. Schumer, will bring the measure for a full chamber vote, despite potential challenges in the Senate where 60 votes are needed to overcome a filibuster.
