Elizabeth Warren (D-MA)
Stop Wall Street Looting Act
A Democratic bill with 5 Democratic cosponsors · See all 6 cosponsors
Last activity — Read twice and referred to the Committee on Finance.
In committee
Introduced and handed to a committee in the chamber it started in.
The committee holds it, and most bills are never heard from again. A hearing or a committee vote would be news; silence is the usual outcome, and it kills the bill without anyone voting against it.
Its path through Congress
- Introduced
- In Committee
What this bill would do
This bill, titled the Stop Wall Street Looting Act, aims to hold private equity funds more accountable for the financial actions and liabilities of the companies they buy and control. It makes controlling private funds and their active managers jointly and severally liable for all debts, penalties, and worker-related liabilities of their acquired target firms. The legislation places strict limits on post-acquisition dividends, stock buybacks, and outsourcing to prevent asset stripping. It reforms bankruptcy laws to give workers higher priority for unpaid wages, severance, and benefits, while restricting excessive executive compensation. Additionally, the bill closes various tax loopholes regarding carried interest and increases transparency by requiring private funds to publicly disclose fees, investment returns, and workforce data.
Yes· 3 of 5
- Scored +9
Would union members be better off under this?
Sections 301, 302, and 307 prioritize unpaid wages, severance, and benefit plan contributions for workers during bankruptcies, heavily benefiting union members.
- Scored +8
Does this raise taxes on the highest earners?
Section 403 recharacterizes certain investment management services income (carried interest) as ordinary income rather than capital gains.
- Scored +8
Does this strengthen the rights of workers to organise?
Section 209 amends the National Labor Relations Act to enhance protections for striking workers and prevent unfair labor practices.
The opposite· 3 of 4
- Scored -8
Would the very wealthiest people be better off under this?
Title IV and various anti-looting provisions directly curtail financial engineering strategies used by ultra-high-net-worth private equity managers.
- Scored -8
Would billionaires be better off under this?
The Stop Wall Street Looting Act targets the core wealth accumulation methods of private equity billionaires by eliminating tax loopholes and imposing strict liabilities.
- Scored -7
Would people with substantial wealth be better off under this?
The bill imposes strict joint and several liabilities and tax reforms on private fund owners and high-net-worth investors.
Who it would affect, and how
Potential Positive Impacts for People
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Worker Protections in Bankruptcy: Under Section 301, Section 302, and Section 307, workers are granted increased financial priority for unpaid wages, severance pay, and employee welfare benefit plans when a company goes bankrupt, ensuring employees are not sent to the back of the line behind other creditors.
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Protection Against Corporate Looting: Under Section 101 and Section 201, controlling private funds are made jointly and severally liable for the debts, civil penalties, and WARN Act violations of target firms, and companies are restricted from issuing large capital distributions or engaging in certain outsourcing for a four-year period following a buyout.
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Transparency and Disclosure: Under Section 501, controlling private funds are required to publicly disclose comprehensive information, including fees, gross performance, workforce demographics, workplace harassment incidents, health and safety incidents, and political expenditures, giving investors and the public a clearer view of fund activities.
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Executive Compensation Restrictions: Under Section 304, Section 305, and Section 306, the legislation places strict limits on executive bonuses and retention payments during bankruptcies, requiring clear and convincing evidence that such payments are essential to business survival and not disproportionate to losses suffered by the nonmanagement workforce.
Potential Negative Impacts for People
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Increased Investment Costs: Under Section 403, the bill treats certain investment management services income (carried interest) as ordinary income rather than capital gains, and Section 501 imposes extensive reporting requirements, which could potentially increase operational and compliance costs for investment funds that may be passed along to everyday investors and pension funds.
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Restrictions on Capital Access: Under Section 204, the bill limits the business interest deduction for certain businesses owned by private funds based on their debt-to-equity ratio, which could make it more difficult or expensive for certain acquired companies to secure business loans.
Groups and Interests Ranking
Every group the model scored this bill for, from -10 to +10. Tap or hover a score for the reason it gave.
- Economy And Finance
- Does this strengthen the rights of workers to organise? — Section 209 amends the National Labor Relations Act to enhance protections for striking workers and prevent unfair labor practices. Does this raise taxes on the highest earners? — Section 403 recharacterizes certain investment management services income (carried interest) as ordinary income rather than capital gains. Does this give people more protection from unfair business practices? — Section 501 increases transparency by requiring private funds to publicly disclose fees, returns, and workforce data for better market oversight.
- Demographic And Interest Groups
- Would union members be better off under this? — Sections 301, 302, and 307 prioritize unpaid wages, severance, and benefit plan contributions for workers during bankruptcies, heavily benefiting union members. Would billionaires be better off under this? — The Stop Wall Street Looting Act targets the core wealth accumulation methods of private equity billionaires by eliminating tax loopholes and imposing strict liabilities. Would the very wealthiest people be better off under this? — Title IV and various anti-looting provisions directly curtail financial engineering strategies used by ultra-high-net-worth private equity managers. Would people with substantial wealth be better off under this? — The bill imposes strict joint and several liabilities and tax reforms on private fund owners and high-net-worth investors. Would high-income households be better off under this? — Section 403 increases taxes on carried interest for investment managers and partners, impacting high-income earners in the private equity sector.
- Governance And Ideology
- Does this make what the government does easier for the public to see? — Section 501 mandates comprehensive public reporting of fees, returns, and expenditures by controlling private funds.
- 9/24/2026
- Read twice and referred to the Committee on Finance.
- 6 Cosponsors added.
- Introduced in Senate
7 bills Congress.gov lists as related to this one — companions in the other chamber, earlier versions, and bills this one absorbed or was folded into.
Tammy BaldwinDemocrat · Wisconsin
Richard BlumenthalDemocrat · Connecticut
Edward MarkeyDemocrat · Massachusetts
Jeff MerkleyDemocrat · Oregon
Bernie SandersIndependent · Vermont
Tina SmithDemocrat · Minnesota