US Treasury Secretary looking for power?

US Treasury Secretary Timothy Geithner calls for legislation to enable the government to wind down failing non-bank financial firms.

Speaking to the House of Representatives Financial Services Committee, Geithner said the law would help prevent unwanted incidents that have threatened the financial system. He referred to the bailed-out American International Group (AIG) whose bonus scandal sparked a furor earlier this month. 

The American insurance giant, bailed out by the US federal government in September, paid senior bosses a total of 165 million dollars in bonuses. 

The Secretary's remarks were welcomed by President Barack Obama and US Federal Reserve Chairman Ben Bernanke, who had come under sharp criticism for the AIG scandal. 

House Minority Leader John Boehner described the request as "an unprecedented power grab." 

"This is an unprecedented grab of power, and before that occurs, there ought to be a real debate about whether we should give that authority to the Treasury Secretary," the Ohio Republican told reporters. 

He said there were many unanswered questions, but did not directly voice opposition to the plan. Boehner expressed concern about the idea of giving Treasury even more power, "with everything that is going on, in terms of the government involvement in the private sector." 

"You need to look at insurance operations as an example, that are regulated by states. What interest would the Treasury Secretary have here, and why would he want this power?"