UPDATE 2-US Treasury to roll out financial rescue plan

[obama democrat]

Recasts throughout, adds byline)

By Tabassum Zakaria and Glenn Somerville

WASHINGTON, Feb 2 (Reuters) - The U.S. Treasury Department will in the
next few days outline new requirements for Wall Street firms receiving
federal aid and further steps to rescue the financial system,
officials said on Monday.

The rules, expected to be announced in the next several days, will
include lending standards for banks and restrictions on executive pay,
a source familiar with administration thinking said.

Treasury Secretary Timothy Geithner will lay out the financial rescue
plan in its entirety in a speech planned for next week, another source
said.

Geithner is responding to President Barack Obama, who recently scolded
Wall Street executives for taking large bonuses while taking
government bailout money.

Obama, in an interview with NBC, said he had asked Geithner to "put
together a clear set of guidelines. If a bank or a financial
institution is getting relief, then they've got to abide by certain
conditions."

He would not say whether the administration intended to create a
government entity to take toxic assets off bank balance sheets.

Obama said some bad debts would be written down while the government
supported some banks and dealt with bad assets as "part of an overall
plan that not only strengthens credit markets, but, more importantly,
puts people back to work."