US treasury outlines financial recovery plans

US Treasury Secretary Timothy Geithner has outlined far-reaching plans to strengthen government authority over the US financial system.



The measures are designed to prevent the kind of systemic risk-taking among banks that has contributed to the current financial crisis.



Mr Geithner told a US House Committee that a simpler, more effective regulatory system was needed.



He is quoted by the BBC as saying the government did not have adequate tools to handle the crisis.