This scandal of 1992 involved not only hundreds of politicians but also their bank. It revealed that these politicians continued to overdraw money from their bank and were not penalized for it. It was also known as the Rubbergate.

The House Bank functioned under very loose regulations and did not use a computerized system to track its operations. A practice which being followed by the House Bank was, to permit the House members to overdraw their accounts by an amount equal to one month’s pay check.. The House Bank failed to keep a regular track of the over drawls and the politicians took advantage to draw huge sums as over draft.

The House banking scandal involved more than 450 representatives and was enquired into by the House Ethics Committee. Twenty-two congressmen and -women were indicted by the House Ethics Committee for overdrawing money for as long as 8 months.

Up to 77 representatives were either thrown out or defeated in elections as a fall out of this financial scandal. Former Rep. Donald Lukens (R-OH) was convicted on bribery and conspiracy charges. Former Rep. Carl C. Perkins (D-KY), Former Rep. Carroll Hubbard, Jr. (D-KY), Former Rep. Mary Rose Oakar (D-OH) and Delegate Walter E. Fauntroy (D-DC) pled guilty to felony.