Sen. Josh Hawley, R-Mo., has reintroduced a bill that would ban members of Congress from trading or holding individual stocks.
Named the Preventing Elected Leaders from Owning Securities and Investments (PELOSI) Act, Hawley introduced the legislation after President Donald Trump said he would sign such a bill into law if it crossed his desk.
"Members of Congress should be fighting for the people they were elected to serve — not day trading at the expense of their constituents," Hawley said in a press release. "Americans have seen politician after politician turn a profit using information not available to the general public. It's time we ban all members of Congress from trading and holding stocks and restore Americans' trust in our nation's legislative body."
The PELOSI Act would ban lawmakers and their spouses from holding, purchasing, or selling individual stocks for the duration of the lawmaker's time in office. Lawmakers would be allowed to invest in diversified mutual funds, exchange-traded funds, or U.S. Treasury bonds while in office.
On Tuesday, Sen. Bernie Moreno, R-Ohio, said he would co-sponsor Hawley's bill.
"This is simple — BAN insider trading in Congress. Proud to cosponsor this bill to crack down on corruption in DC with @HawleyMO," Moreno posted on X with a story about his decision.
If passed, the bill stipulates that current lawmakers would have 180 days to comply with the legislation. Newly elected members of Congress would be required to comply within 180 days of taking office.
Members who refuse to comply with the PELOSI Act must forfeit any stock profits to the U.S. Department of the Treasury and face monetary penalties imposed by the House and Senate ethics committees.
The bill's acronym is in reference to former House Speaker Nancy Pelosi, D-Calif. Pelosi's husband has drawn scrutiny for millions in suspected insider trading.
Paul Pelosi sold more than $500,000 worth of Visa stock less than three months before the Department of Justice hit the credit card giant with an antitrust lawsuit, the New York Post reported in September.
During an interview with Time last week ahead of a Friday feature story, Trump mentioned the Pelosis after being asked whether he supported a ban on congressional stock trading.
"Well, I watched Nancy Pelosi get rich through insider information, and I would be okay with it. If they send that to me, I would do [sign] it," he said.
Charlie McCarthy ✉
Charlie McCarthy, a writer/editor at Newsmax, has nearly 40 years of experience covering news, sports, and politics.
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