An amendment offered by Senator Byron Dorgan (D-ND) to the Restoring American Financial Stability Act (S. 3217) has been tabled by a vote of 57-38. Senate Banking Committee Chairman Chris Dodd (D-CT) offered the motion to table the amendment.
The amendment would “outlaw so-called naked credit default swaps, in which investors essentially purchase insurance on bonds that they do not own,” according to the New York Times.
In an effort to force a vote, Senator Dorgan offered this proposal as a second degree amendment to one being offered by Senators Chuck Grassley (R-IA) and Claire McCaskill (D-MO).
(credit image – getty)