US 'wants more financial rules'

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The US is committed to the establishment of stricter rules against financial fraud and abuse, Treasury Secretary Timothy Geithner has said.

Speaking in Washington, Mr Geithner said such new regulation - both in the US and globally - would help to prevent a repeat of the credit crisis.

His comments come a week before the heads of the G20 group of leading countries meet in London.

G20 leaders have already pledged to try to agree new global financial rules.

"In the coming weeks, we will take additional steps, among them, proposing new and stronger rules to protect American consumers and investors," said Mr Geithner.

Extra control powers

His comments come a day after he said the US government wished to bring in a new law allowing it to take control of struggling non-bank financial firms.

At present, federal authorities can take over only US banks and not other financial companies, such as insurance firms.

President Barack Obama has said he hopes Congress will back the change, but Republican politicians have already said they are concerned that the change could give the government excessive powers.

The exact details of the scheme have yet to be released.