Senator questions plans for greater Fed role

The top Republican on the US Senate Banking Committee has challenged plans to extend the Fed's regulatory power.

"I think, myself, that we should not give the Fed all the regulatory power," Richard Shelby, a US Senator for Alabama, told CNBC, a broadcaster. "They are our central bank and they are also our biggest bank regulator and they have other powers."

The Fed's rescue of Bear Stearns and its extension of eligibility of its discount window facility to investment banks has prompted calls f