Retail Investor Protection Act

Floor Speech

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Mr. TIERNEY. Mr. Speaker, this is the final amendment to the bill. It will not kill the bill. It will not send it back to committee. If adopted, the bill will immediately proceed to final passage, as amended.

Mr. Speaker, over 70 million Americans and their families depend on 401(k)s and similar retirement plans for their retirement security. Veterans, seniors, and middle class workers and families in my district in Massachusetts--in fact, in those districts of all of my colleagues--are concerned about their pensions, 401(k) plans, and retirement savings.

A retired worker from Danvers, Massachusetts, in my district, recently called my office and shared concerns about her pension. She believed it is at risk, and she has no other means of income.

That constituent of mine shares the same situation as do many across this country, believing that their retirement is at risk and that they have no other means of income. Millions of Americans are worried that they won't have adequate resources to retire with dignity after decades of work, and those who are retired, like that constituent from Danvers, feel that what they have won't last.

Retirement plans can also be subject to fraud and abuse. Last year, the Department of Labor recovered almost $1.3 billion that was misappropriated from retirement plans. It included over $800 million in prohibited transactions. The Department of Labor reportedly filed indictments against 117 persons for crimes related to employee benefit plans.

In 401(k) and similar plans, workers have to make investment decisions, and to do so, they need access to reliable investment advice.

The motion to recommit is straightforward. It simply states that the bill does not prohibit action from being taken on the following three things:

It does not prohibit the Secretary of Labor from using regulations to prevent fraud in regard to pensions, 401(k) plans, and other retirement savings accounts for seniors, veterans, and other Americans;

It does not prohibit the Secretary of Labor from using regulations to require the disclosure of any fees so as to promote transparency and accountability;

It would promote investment education and sound financial advice.

Veterans, seniors, and the over 70 million investors who depend on 401(k)s and IRAs for their future security deserve to know that these kinds of responsible actions can be taken on their behalf. I think everyone here agrees.

I ask my colleagues for their support of this motion to recommit, and I yield back the balance of my time.

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