Sen. Tim Johnson is questioning why the largest U.S. bank failed to have more risk controls in place, leading to more than $2 billion lost on risky trades.
Johnson is the chairman of the Senate Banking Committee. He opened a congressional hearing Wednesday in which lawmakers are questioning JPMorgan Chase CEO Jamie Dimon.
Johnson says he disagrees with the notion that Wall Street reforms micromanage the operations of a large bank and regulators can't keep up with bank innovation.
The South Dakota senator says less regulation and less supervision will not magically make the system less risky.
Johnson says Congress must demand that banks take risk management seriously and maintain strong controls, and regulators must do their job well.