Fedblog FedblogFedblog
Government Executive Editor in Chief Tom Shoop, along with other editors and staff correspondents, look at the federal bureaucracy from the outside in.

Agency Chief Recusal

ARCHIVES

As one of the key agencies probing the recent bankruptcy of MF Global Holdings, the Commodity Futures Trading Commission is now pursuing the closely observed case without input from Chairman Gary Gensler.

The Wall Street Journal noted on Monday that Gensler last week recused himself because of his longtime personal ties to defrocked MF Global chief executive Jon Corzine, the former senator and New Jersey governor with whom Gensler worked when they were younger men at Goldman Sachs Group.

MF Global's demise, allegedly missing client funds and involvement with iffy European investments have raised new concerns about the effectiveness of regulations enacted after the 2008 financial meltdown.

The recusal was recommended by Sen. Chuck Grassley, R-Iowa, who said in a statement on Friday: "MF Global's case is a big collapse that requires a lot of work from the commission to try to figure out what went wrong and minimize further investor losses if possible. It's hard to see how the commission chairman could be completely objective in looking out for wronged investors when he has such strong ties to the principal of the failed firm."

Charlie Clark joined Government Executive in the fall of 2009. He has been on staff at The Washington Post, Congressional Quarterly, National Journal, Time-Life Books, Tax Analysts, the Association of Governing Boards of Universities and Colleges, and the National Center on Education and the Economy. He has written or edited online news, daily news stories, long features, wire copy, magazines, books and organizational media strategies.

FROM OUR SPONSORS
JOIN THE DISCUSSION
Close [ x ] More from GovExec
 
 

Thank you for subscribing to newsletters from GovExec.com.
We think these reports might interest you:

  • Sponsored by eSignLive by VASCO

    Mobile E-Signatures for Government

    Learn 5 key trends that accelerate government demand for mobile signing.

    Download
  • Sponsored by Management Concepts

    SPONSORED: Successful Change Management Practices in the Public Sector

    How governmental agencies implement organizational change management.

    Download
  • Sponsored by Kronos

    Solving the Workforce Compliance Challenge

    Download this eBook to learn how data and automation can help state and local agencies.

    Download

When you download a report, your information may be shared with the underwriters of that document.