Bank Overhaul Is Held Up by Fight
                   Over Language for Interpreting Bill

                   By MICHAEL SCHROEDER
                   Staff Reporter of THE WALL STREET JOURNAL

                   WASHINGTON -- Lawmakers are still wrangling over language for
                   interpreting a White House-approved financial-modernization bill, delaying
                   action by the Senate and House at least until next week.

                                        The landmark legislation, which eliminates
                                        Depression-era barriers between banks,
                                        insurers and securities firms, is moving fitfully
                                        toward final approval because of
                   disagreements over wording of community-lending and privacy provisions.
                   The measure allowing cross-industry mergers would take effect
                   immediately after President Clinton signs it.

                   The path was cleared a week ago when House and Senate conferees and
                   the White House agreed on a final major sticking point: maintaining
                   satisfactory bank lending to low- and moderate-income neighborhoods.
                   Staff lawyers and lawmakers from important House and Senate
                   committees and administration officials began crafting language last
                   weekend on several provisions that conferees and the administration
                   negotiated last week.

                   While the language in the 400-plus-page legislation has been completed,
                   disagreements persist over wording in the accompanying summary report
                   that explains how the bill should be interpreted. Lawmakers had hoped to
                   complete the process this week to clear the way for House and Senate
                   approval.

                   Democrats are angry about changes Republicans have tried to make that
                   conflict with earlier agreements, particularly on language requiring banks
                   and holding companies to maintain a satisfactory record on community
                   lending in order to be allowed to get into other financial businesses. Other
                   problems stem from exemptions being inserted into the report. For
                   instance, the legislation prohibits banks, brokerage firms and insurers from
                   disclosing account numbers to nonaffiliated third parties for marketing
                   purposes.

                   But Senate Banking Chairman Phil Gramm of Texas inserted a change
                   allowing marketing companies to buy that information and use it, as long as
                   the data are encrypted beforehand and as long as they get the
                   accountholder's permission.

                   Sen. Gramm and GOP Reps. Jim Leach of Iowa and Thomas Bliley of
                   Virginia, chairmen of the House banking and commerce committees,
                   respectively, had planned to file the final bills Thursday night. They must
                   receive signatures from a majority of the conferees before the measure can
                   be sent to both chambers for votes.

                   --Dawn Kopecki contributed to this article.