CLC Endorses Bipartisan Legislation to Prevent Insider Trading
Today, U.S. Representatives Abigail Spanberger (D-VA-07) and Chip Roy (R-TX-21) introduced legislation to prevent insider trading by Members of Congress and increase government accountability and transparency.
The Transparent Representation Upholding Service and Trust (TRUST) in Congress Act would require Members of Congress — as well as their spouses and dependent children — to put certain investment assets into a qualified blind trust during their entire tenure in Congress. The TRUST in Congress Act would prevent Members of Congress from using their positions in the U.S. House or U.S. Senate to inform investment decisions or influence the value of their existing investments.
According to Campaign Legal Center (CLC) General Counsel and Senior Director of Ethics Kedric Payne:
“This bi-partisan legislation is a crucial step in holding public servants accountable for conflicts of interest and restoring the public’s trust in Congress. A CLC study makes it clear that lawmakers should not trade individual stocks when they pick winners and losers in the market through massive stimulus packages: lawmakers from both parties made 1,585 transactions—totaling up to $158 million. Requiring members to place their stock holdings in a blind trust, where they don’t have decision-making power over their stock portfolio, is a common sense step to ensure our public servants are serving the public, not their own bottom line."