WMATA

June 26, 2009 - 5:50pm
PRESS RELEASE

AS LEASE-BACK DEALS ARE RAISED AS ISSUE IN METRO CRASH, MENENDEZ SAYS LEGISLATION CAN HELP UNWIND DEALS

WASHINGTON – Yesterday, U.S. Senator Charles Grassley (R-IA) raised the issue of lease-back deals between banks and transit agencies with respect to the recent crash on Washington’s Metrorail system in a letter to House of Representatives Majority Leader Steny Hoyer (D-MD). Today, U.S. Senator Robert Menendez (D-NJ) wrote Rep. Hoyer to offer to suggest that the passage of Menendez’s Close the SILO/LILO Loophole Act (S.1341) would remove the ability of banks to seek windfalls off of these deals and increase the incentive for transit agencies and banks to unwind the deals.

Read More >
Syndicate content