National Association of Professional Background Screeners Joins Consortium To Oppose FTC Expansion

Hundreds of Thousands of Companies Will Be Affected By Proposed Federal Act

MORRISVILLE, N.C., May 4 /PRNewswire-USNewswire/ -- The National Association of Professional Background Screeners (NAPBS®) announced today they have joined 40 other organizations in formally opposing the expansion of the Federal Trade Commission's (FTC) power as the Senate prepares to begin debate on financial services reform.  The new provisions would significantly expand the FTC's rulemaking and enforcement authority over industries and sectors that had nothing to do with the financial crisis.

The proposed expansion of the FTC authority envisioned in the Wall Street Reform and Consumer Protection Act of 2009 (H.R. 4173), would reverse the considered decisions of two earlier Congresses, granting such sweeping powers that the FTC could essentially act as an unelected governing body, presiding over industries and sectors that had nothing to do with the financial crisis. The FTC would be allowed to issue regulations addressing "unfair or deceptive" practices more easily and would be allowed to seek civil penalties for such practices.

NAPBS and 40 other organizations submitted a letter of opposition to Senate leadership expressing concerns about provisions in the H.R. 4173 that would amend the FTC Act by removing existing procedural safeguards on the rulemaking and enforcement capabilities of the FTC. The Senate Commerce Committee was urged to discard the provisions as it progresses in its work toward FTC reauthorization.

"NAPBS wants to ensure that we remain aware of challenges posed by policy makers at the state and federal levels, and that we take adequate measures in response," said Tracy Seabrook, CAE, executive director of NAPBS. "We hope that this letter will prompt members of the Senate to take additional time to carefully consider changes that will have a significant impact across many sectors of the business community."

The organizations in opposition believe that the two issues, financial reform and FTC rulemaking and enforcement authority should be debated separately.  A copy of the letter opposing H.R. 4173 is available at: http://www.uschamber.com/NR/rdonlyres/ediiokekaxwcccl3haivq5zt4yj272teuxhaw2rznrd4jikmdrmlm7xms6nwwrvhvi4kye3wul645wkeq5hfbuydq6h/100422MultiIndustryFederalTradeCommissionReidMcConnell.pdf.

About NAPBS®

Founded in 2003 as a non-profit trade association, the National Association of Professional Background Screeners (NAPBS) represents the interests of more than 700 member companies around the world that offer tenant, employment and background screening. NAPBS provides relevant programs and training aimed at empowering members to better serve clients and maintain standards of excellence in the background screening industry, and presents a unified voice in the development of national, state and local regulations. For more information, visit http://www.napbs.com.

SOURCE National Association of Professional Background Screeners