ARAB TIMES, SUNDAY, MAY 30, 2021 BUSINESS 9 CEOs questioned about commitments to diversity and fees they charge customers Bank CEOs tell Congress they’ll work to avoid foreclosures WASHINGTON, May 29, (AP): The chief executives of the na- tion’s largest banks went in front of Congress for a second day HSBC ‘exiting’ its Thursday, facing questions rang- ing from infl ation to their efforts to keep Americans in their homes after government aid to pandem- ic-hit mortgage holders expires US retail banking this summer. The House hearing comes after senators on Wednes- Focus on wealth management day questioned the six CEOs This image from video provided by the House Financial This image from video provided by the House Finan- on topics including climate Services Committee shows Bank of America CEO Bri- cial Services Committee shows JPMorgan Chase CEO NEW YORK, May 29, London-based HSBC is one of the change, voting rights and ra- an Moynihan testifying virtually to the House Financial Jamie Dimon being sworn in to testify virtually to the world’s largest banks, but its focus Services Committee, May 27. (AP) House Financial Services Committee, May 27. (AP) (AP): British banking giant cial inequities. House members HSBC says it is closing its is primarily in Hong Kong, where it spent much of Thursday’s hear- was founded, and elsewhere in Asia, even past the expiration date. Fraser, the new CEO of Citigroup Several members on Con- U.S. retail banking busi- and in the U.K. and Europe. ing asking detailed industry The CEOs are appearing as and the fi rst woman to run a Wall gress also asked the CEOs policy questions. ness in order to refocus its HSBC announced the move late the U.S. economy is recovering Street fi rm. about inflation. Trillions of efforts on wealth manage- Wednesday after earlier this year This was the second hear- from the recession triggered by Republicans focused much of dollars have been spent un- saying was looking to sell or pursue ing Rep. Maxine Waters, D- the coronavirus pandemic. Big their questioning on issues relat- der former President Donald ment. other strategic options for its U.S. re- California and chairwoman of banks’ profi ts surged in the fi rst ed to U.S. competitiveness with Trump and President Joe Biden The bank will sell 80 East tail banking business. The business the House Financial Services three months of this year as the China, rising levels of govern- to combat the economic im- Coast branches to Citizens is small, making it hard to compete Committee, has held with the recovery has taken hold. They ment debt, as well as the issue pacts of the coronavirus pan- Bank and another 10 on the against big banks like JPMorgan big bank CEOs since Demo- were able to release billions of of banks choosing not to provide demic. The economic recovery West Coast to Cathay Bank. Chase, which dominate on the East crats took control of the House dollars from their reserves origi- fi nancing to coal companies, gun is well underway, but prices for All deposits and bank accounts Coast. in 2019. In the earlier hearing, nally set aside in the early days of manufacturers or other contro- things such as lumber, steel and will be transferred to those two “They are good businesses, but we many of the same CEOs were the pandemic last year for poten- versial industries. gasoline have risen sharply in banks, HSBC said. Another lacked the scale to compete,” said HSBC’s CEO Noel Quinn said in a questioned about their commit- tial losses on their loans. “Your actions would shut recent months. 20 to 25 branches will be con- ments to diversity and about statement. The banking industry, which down legal American businesses. When asked whether infl ation verted into wealth management The bank expects the sale of its the fees they charge customers. was blamed for the Great Reces- I would say your actions are not is an issue, JPMorgan’s Dimon centers, and any remaining Waters focused most of her U.S. retail banking business to close sion more than a decade ago, has working to advance the economy said that infl ation was “heating branches will be closed. by early 2022. questioning on the potential tide spent most of 2020 and this year but actively working against it,” up, but we are not boiling yet.” of foreclosures this summer once stressing its efforts to work with said Missouri Republican Rep. Solomon echoed the comments government aid programs come borrowers and businesses. Banks Blaine Luetkemeyer. from Dimon, saying that the to an end. There are still roughly across the country waived fees Goldman Sachs’ Solomon economy was not overheating yet 2 million homes in some sort of and put millions of mortgages said that industries like coal are “but I would be cautious.” forbearance, which is down sig- into forbearance to shore up legacy industries but banks will The CEOs were also asked for nifi cantly from the height of the Americans’ distressed fi nances be there to help those companies their opinion on digital currencies pandemic but still involves mil- in the pandemic. transition into new technologies. like Bitcoin, which have soared lions of struggling families. CEOs like JPMorgan’s Jamie “There will be new technolo- in value the past 18 months, but “I want commitments from all Dimon, Goldman Sachs’ David gies that will create new, even recently have been extremely of you that these people are not Solomon and Bank of America’s better paying jobs, something volatile. The currencies have also going to lose their homes,” Wa- Brian Moynihan all came to the that America has always led in,” been used in criminal activities, ters said. hearing sharing similar com- he said. like the ransomware attack on a In response, the bank CEOs ments they made at Wednesday’s Luetkemeyer and other Repub- East Coast pipeline company ear- who have mortgage businesses hearing - that the industry is here licans also pushed on the fact that lier this month. - Bank of America, Wells Fargo, to help through the pandemic and many of these big banks actively “My own personal view is Citigroup and JPMorgan Chase - that the banking system is strong. seek to do business in China, it’s nothing like a fi at currency, This image from video provided by the House Financial Services Commit- all said they planned to continue One new face in front of Con- which has been accused of nu- it’s nothing like gold. Buyer be- tee shows Citigroup CEO Jane Fraser being sworn in to testify virtually to offering fl exibility to borrowers gress compared to 2019 is Jane merous human rights violations. ware,” Dimon said bluntly. the House Financial Services Committee, May 27. (AP).