Block · one region of the page, as the scanner read it. It may hold a whole story, part of one, several, or an advertisement; stitching blocks into articles is the next step. Text is supplied OCR.
Page 8 · column 5 of 7 · from the scan, no model involved
government should be doing," referring to the b«nk bailout end government purchase of “preferred equity status'* with the inftasion of $2160 billion Into the nine largest banking institutions in the US.
“I do think the situation is that bad," he continued end that letting the market juak take care of itself was not an option in this case. Asked if this was a step toward nationalising banking in the US. or a temporary solution. Cantor said that the equity option was a compromise and is temporary. However, he said, there needs to be far more regulatory oversight.
“We cannot allow that to happen again," he said referring to the collapse. “We need to modernise the financial system including these shadow banks and the way these banks were allowed to operate." referring to the investment arms of companies like Lehman Brothers.
“Their broker/dealer arms were regulated, but their investment arms were not," he explained, and this environment exposed regulated banks to a lot of risk without the ability to do anything about It
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