Geithner: Federal Reserve is best suited to be super financial regulator

Geithner: Fed best suited for super regulator role

WASHINGTON — Treasury Secretary Timothy Geithner says the Federal Reserve is best suited to become a super-regulator that would oversee financial firms so big and influential that their failure could topple the economy.

Some lawmakers want to give the job to a council of regulators. The administration has proposed creating such a group, but says it wouldn’t be an effective “first responder” in a financial emergency.

In testimony before the Senate Banking Committee, Geithner told lawmakers “you don’t convene a committee to put out a fire.”