Rep. who helped deregulate savings and loans dies
Aug. 18, 2014
PROVIDENCE, R.I. (AP) — A man who represented Rhode Island in Congress for 28 years and co-sponsored a 1982 bill that deregulated savings and loans has died. Fernand St Germain (SAINT' jer-MAYN') was 86. St Germain's daughter, Lisette, says the congressman died Saturday at his home in Newport. She said he suffered from kidney failure. St Germain rose to chair the House Banking Committee. The deregulation bill contributed to the 1980s savings and loan crisis by allowing institutions to expand their lending activities away from home mortgages into more risky commercial ventures. The crisis left U.S. taxpayers on the hook for billions of dollars. St Germain used his clout to shower the district with federal projects. He was first elected in 1960 and was close with President John F. Kennedy. He lost re-election in 1988 to Republican Ron Machtley.