There was a lot of talk not so long ago about the need for one regulatory agency that would roll up the Federal Reserve, the Office of Thrift Supervision, the Federal Deposit Insurance Corporation and the Comptroller of the Currency. The White House initially sought such an arrangement early on but backed away from it to avoid Congressional opposition.

But Sen. Christopher Dodd is preparing a proposal that would be a lot more "more ambitious and politically risky than the plan offered by the White House." It includes just such a superagnecy.

We'll get a look at his bill soon. Some think he's the Max Baucus of the financial reform issue. Which of course does not guarantee success. He thinks the best way to end "regulatory arbitrage" is to not allow it structurally.  

For more:
- here's the article

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