Keating Five Senators Pressure FHLBB to Halt Lincoln Investigation

Timeline Eventconfirmed
systematic-corruptionregulatory-capturekeating-fivecampaign-contributionslincoln-savingsfhlbb
Legislative CaptureFinancial Capture
Actors:Alan Cranston, Dennis DeConcini, John Glenn, John McCain, Donald Riegle, Charles Keating, Edwin Gray, Federal Home Loan Bank Board
1987-04-01 · Washington DC · 1 min read

Five U.S. Senators—Alan Cranston (D-CA), Dennis DeConcini (D-AZ), John Glenn (D-OH), John McCain (R-AZ), and Donald Riegle (D-MI)—meet with Federal Home Loan Bank Board officials to pressure them to halt regulatory investigation of Charles Keating's Lincoln Savings and Loan. The senators had received $1.5 million in campaign contributions from Keating in exchange for regulatory intervention. Following the meeting, the FHLBB backs off enforcement action against Lincoln, demonstrating successful legislative capture of financial regulation. This coordination between industry money and senatorial pressure exemplifies systematic corruption across branches of government.

Sources

  1. WHERE IS THE KEATING FIVE REPORT?The Washington Post(1991-10-06)
  2. Scandal Shaped McCain's Sense of Honor in OfficeNPR(2007-12-13)
  3. Savings and Loan Senate Ethics InvestigationC-SPAN(1991-01-04)
  4. ETHICS PANEL HEARS 'KEATING 5' CHARGESThe Washington Post(1990-11-16)