SEC Commissioner Wants Investment Advisors Overseen by Group that Paid Her Millions

[The Straight Story]

SEC Commissioner Wants Investment Advisors Overseen by Group that Paid Her Millions

As part of the federal reform of Wall Street oversight, the Securities and Exchange Commission (SEC) is deciding whether it or an outside source should oversee investment advisers. One commissioner, Elisse Walter, wants an industry organization—that has paid her millions of dollars—to get the job.

The SEC issued a study this week on the subject of investment advisers oversight. In response to the report, Walter, who was appointed to the SEC by President George W. Bush in July 2008, argued for giving the duty to the Financial Industry Regulatory Authority (FINRA). What she failed to mention is that she used to work as a senior executive at FINRA or that it paid her more than $3.7 million in salary and bonuses in 2008.

SEC Chairman Mary Schapiro, another former FINRA executive, recused herself from voting on the study. Walter did not.

The Project on Government Oversight (POGO) criticized Walter for not recusing herself from this potential conflict of interest matter. “There is certainly a question whether she should be making recommendations that could affect her former employer and other self-regulatory organizations,” Michael Smallberg wrote on the POGO website.

http://www.allgov.com/Controversies/ViewNews/SEC_Commissioner_Wants_Investment_Advisors_Overseen_by_Group_that_Paid_Her_Millions_110122

[The Backlash Cometh]

1. This is precisely what we need to stop.

Cronyism is a known fly in the ointment.

[msongs]

2. government incest and prostitution, a total failure of ethics nt

[Common Sense Party]

3. FINRA already oversees much of what advisors and brokers do.

Anyone who thinks the industry is unregulated is seriously misinformed.