Business

Week ahead: Dems to grill Trump Treasury pick

by Sylvan Lane - 01/17/17 6:00 AM ET

The Senate will hold a flurry of hearings for President-elect Donald Trump’s Cabinet picks ahead of Inauguration Day on Friday.

As the nomination hearings move into week two, the financial world will be paying close attention to the hearings for Steven Mnuchin, Trump’s pick for Treasury secretary, and Wilbur Ross, Trump’s pick for Commerce chief.

Ross will testify before the Senate Commerce Committee on Wednesday, Jan. 18. His hearing was initially delayed because he needed more time to complete his paperwork.

The pair are two of Trump’s wealthiest Cabinet picks, and lagged behind other future nominees in filing required financial and ethics disclosures.

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Mnuchin heads to the Capitol a day later for his hearing before the Senate Finance Committee on Thursday, Jan. 19, and Democrats are promising some tough questions.

Mnuchin, a former Goldman Sachs partner and Hollywood producer, has been a constant target for Senate Democrats since his selection for Treasury secretary. They’ve focused on his tenure at California-based OneWest Bank, where he oversaw more than 36,000 foreclosures as the bank’s chief.

OneWest was investigated by the California attorney general’s office for violating state foreclosure laws. It’s also the subject of legal complaints claiming the bank violated federal fair housing and discrimination laws.

A spokesman for Mnuchin says he is ready to defend his record before Congress, saying he helped reduce loans and worked to keep many American families in their homes. But Democrats have tried to make Republicans own Mnuchin’s foreclosure record, and Sen. Dean Heller (R-Nev.) is a key senator to watch.

Nevada was devastated by foreclosures during housing crisis, and Heller said he’d press Mnuchin on how he’d handle the issue as Treasury secretary.

“I looked at [Mnuchin] eye-to-eye and asked him what he was going to do about the housing issues, and we’ll wait until we get through the hearings to come to a conclusion,” Heller told The Hill last week, referencing a private meeting he had with Mnuchin.

Ross, a former steel company executive and private equity investor, has floated along with little Democratic resistance.

Trump said Ross would be heavily involved in the administration’s trade policy, which is likely to be one focus of the hearing.

Technology and internet access issues could also come up, after the Obama administration’s Commerce Department transferred the internet domain registry system to an international non-profit.

It’s a shortened, but busy week, for lawmakers ahead of Friday’s inauguration events.

Mnuchin and Ross are two of eight Trump picks scheduled to testify before Senate committees next week. The House will be in recess until the inauguration.

Trump will be sworn in Friday, and there’s a chance we could see major executive actions from the newly occupied White House soon after the ceremonies end.

Trump and senior aides have promised action on several issues, including the Affordable Care Act, at the start of his presidency.

Your week ahead:

Wednesday:

Senate Commerce Committee: Confirmation hearing for Wilbur Ross to be Commerce secretary, 10 a.m. http://bit.ly/2jgy6ku.

Thursday:

Senate Finance Committee: Confirmation hearing for Steven Mnuchin to be Treasury secretary, 10 a.m. http://bit.ly/2jNp8N1.

Friday:

Donald J. Trump and Michael R. Pence are sworn in as President and Vice President of the United States, 9 a.m. http://bit.ly/2jgEmIY.

Recap the week with Overnight Finance:

Monday: Ryan, Trump aides to huddle on taxes | GOP seeks consumer bureau shakeup | Dems keep after Treasury pick

Tuesday: GOP worries about ‘jam’ if ObamaCare repeal is delayed | Trump Commerce pick’s hearing postponed | ‘Wastebook’ highlights | California faces budget gap

Wednesday: Ethics chief blasts Trump business plan | Senate begins late-night marathon vote | Lawmakers look to rein in Trump on trade

Thursday: Carson, Warren battle at hearing | Rumored consumer bureau pick meets Trump | Trump takes credit for Amazon hirings | A big loss for Soros

More stories:

Senate panel announces hearing date for Trump Treasury pick, by Sylvan Lane

Dems push for outside witnesses at Mnuchin hearing, by Naomi Jagoda

GOP rep: Biz concerns about tax proposal ‘a little offensive’, by Naomi Jagoda

Pelosi: Dems won’t back tax breaks ‘disguised’ as infrastructure bill, Melanie Zanona

Trump health pick vows to sell off stocks to avoid conflicts, by Jessie Hellmann

Top Dem tax writer urges focus on the middle class, Naomi Jagoda

US launches trade case against China over aluminum subsidies, by Vicki Needham

Treasury sanctions top North Korean officials, by Sylvan Lane

GOP leader defends contentious provision in tax plan, by Naomi Jagoda

Watchdog urges customer-service focus for IRS, Naomi Jagoda

Trump: Public doesn’t care about my tax returns, By Lisa Hagen