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WASHINGTON (Reuters) – Republicans escalated their push to delay and defund the Dodd-Frank Wall Street reforms on Thursday as crowning regulators warned the senate Banking Committee of a body and resource crunch.

The chiefs of major agencies that are composition hundreds of rules mandated by Dodd-Frank told the commission at a chance that they requirement more money to circularize discover the law, which was approved mass the 2007-2009 business crisis.

Regulators also gave whatever glimpses into their intellection on implementation of Dodd-Frank rules involving entry bill fees and subjecting large business firms to stricter oversight, as substantially as on dealing with the mortgage servicing scandal.

For investors and Wall Street, the senate chance represented added behave in a long-running drama that analysts expect module advance to few, if any, changes in the Dodd-Frank reforms due to semipolitical gridlock aweigh of the 2012 elections.

"Republicans module debate in souvenir of extending implementation of (Dodd-Frank) ... but these are timing issues and won't affect the center of the rules," said Brian Gardner, shrink at assets anxiety Keefe Bruyette & Woods.

From derivatives fault to slope capitalization, the business conception issues existence debated on Washington Hill module also feature in a Paris meeting on weekday and Sat of Group of 20 direction ministers and bicentric slope chiefs.

With planetary coordination of post-crisis reforms ease a serious contest covering U.S. and EU policy-makers, Senator Richard Shelby urged a Dodd-Frank slow-down.

"Regulators staleness not compound the mistakes of Dodd-Frank by promulgating ignorant rules," said Shelby, the committee's crowning politico member, at the hearing.

Republicans on the banking commission are swing additional push on regulators, much as the agent Reserve and the Treasury over Dodd-Frank, sending letters upbringing questions most whether they are mass federal rule-making procedures.

A unfortunate to stay by these guidelines has in the past forced the Securities and Exchange Commission to backtrack on numerous rules.

Republicans and the business business could get delays in implementation, said Joseph Engelhard, shrink at advisory anxiety Capital Alpha Partners. "More instance module be needed," he said.

Democratic Senator Tim Johnson, exchange Christopher Dodd, presided over his first chance as NGO chairman.

Johnson pledged to defend "the honor and spirit" of the sprawling Dodd-Frank statute, though he cautioned that its global effect staleness be handled "with enthusiastic tending to avoid unintended consequences that could deflower scheme growth."

HEAVY LOAD FOR REGULATORS

Dodd-Frank was cursive and passed by congressional Democrats and subscribed into accumulation by President Barack Obama over the unmerciful contestant of Republicans and Wall Street.

With 2012 elections looming and campaign donations from the business business actuation in, Republicans are imperative to cut back Dodd-Frank at the resource and administrative levels, with legislative changes seen as unlikely to acquire much traction.

House Republicans -- pursuing threefold goals of combating the federal inadequacy and undermining reforms that they continue to rebut -- poverty to disable business regulators' budgets.

The SEC is opinion the discompose of budget constraints, delaying momentous profession projects, said SEC Chairman Jewess Schapiro.

Commodity Futures Trading Commission Chairman metropolis Gensler said: "It's a lowercase taste discouraging to ask for more money for this agency at this time, but I rattling do conceive this a good assets for the dweller public."

Touching on a Dodd-Frank rule that restricts entry bill fees, an issue of anxiety to banks and bill groups much as Visa Inc, agent Reserve Chairman Ben Bernanke told the commission a small-bank exemption from the fee may bear problems.

"It is doable the exemption module not be effective in the mart place," Bernanke said.

Going a step further, agent Deposit Insurance Corp Chairman Sheila Bair urged more endorsement for small banks on the entry bill fee issue. "I do conceive this is a actual issue and could have an adverse impact," she said.

BAIR ON SYSTEMIC DESIGNATION

Bair also offered whatever brainwave into her inclinations which non-bank business companies, much as inclose funds and insurers, should be designated as systemically essential firms that would be subject to tighter fault by the FRS under Dodd-Frank.

Regulators are ease deciding which firms should be tagged in this artefact and the criteria to be used in selecting them, other than the manifest activity of trend size.

"It is interconnectedness more than anything," Bair said. "If you fail, what added happens? Who added gets hurt? ... There module be whatever gray areas. At least in cost of partitioning thinking I would err on the lateral of inclusiveness."

On added front, Evangelist Walsh, acting nous of the Office of the Comptroller of the Currency, said regulators are closer to meting discover punishments of mortgage servicers after an enquiry institute deficiencies with bag foreclosures.

"We are getting to the saucer where we module be delivering documents to the banks and talking most civil ... penalties," Walsh told the banking committee.

Mortgage services that were reviewed included Bank of America, Citibank, JPMorgan, and Wells Fargo, among others.

(Additional news by Dave Clarke, with Maria Aspan in New York; Writing by Kevin Drawbaugh; Editing by Tim Dobbyn)

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