A proposal by Senator Josh Hawley to ban stock trading by U.S. lawmakers is creating friction within the Republican Party and facing objections from the White House, Axios reported. The legislation, known as the PELOSI Act, seeks to prohibit members of Congress from owning or trading individual stocks and would also extend the restriction to the president and vice president.
The bill is scheduled for a committee vote on Wednesday, but the White House has raised constitutional concerns, particularly regarding the inclusion of the president and vice president in the ban. Sources indicated that the Office of Legislative Affairs flagged potential Article II issues, arguing the new provision was added too late in the process.
Hawley, aiming to secure bipartisan backing amid resistance from Senate Homeland Security Chair Rand Paul, adopted language from an earlier bipartisan proposal to include top executive officials. However, this change has intensified debates within the GOP, with Paul openly opposing the bill and suggesting procedural tactics are being used to advance unrelated measures.
To address concerns, Hawley plans to delay enforcement of the ban until the next congressional term. The PELOSI Act has gained attention amid growing public scrutiny over lawmakers’ stock trades, which critics argue present conflicts of interest and undermine public trust. The outcome of the upcoming committee vote could signal broader legislative momentum—or deepen divisions—over efforts to regulate financial activities of elected officials in Washington.
This development comes as bipartisan pressure mounts to reform stock trading rules for federal officials, with public support for stricter ethics standards at a record high.