House committee leaders want Biden to oust the acting Commerce IG

Updated at 11:47 a.m. ET

Lawmakers from both parties this week urged President Biden to replace the Commerce Department’s acting inspector general over allegations that most of the office’s senior leaders, were “entangled” in the scandal leading to the previous IG’s ouster in January.

Republican and Democratic leaders on the House Science, Space and Technology Committee penned a letter to Biden Monday requesting that he appoint a new acting Commerce inspector general, specifically from outside of the agency, based on the results of a 15-month congressional investigation into whistleblower retaliation and other misconduct.

The Project on Government Oversight reported last fall that in the midst of that investigation, then-Inspector General Peggy Gustafson exposed the identity of a whistleblower involved in the probe. Gustafson abruptly resigned in January.

In their letter, Committee Chairman Frank Lucas, R-Okla., and Ranking Member Zoe Lofgren, D-Calif., said their investigation found that most senior staffers in the inspector general’s office, including current acting Inspector General Roderick Anderson, either contributed to a hostile work environment, were victimized by it or both.

“The committee has reviewed credible evidence that some senior officials participated in alleged misconduct, other senior officials claimed to be the victims of it and some may have both furthered alleged misconduct and been subject to it themselves,” they wrote. “The muddled nature of the situation reflects the dysfunctional professional environment within the DOC OIG during IG Gustafson’s tenure . . . Given the committee’s preliminary investigatory findings, we do not believe that any senior official within the Department of Commerce OIG is able to lead the office.”

The lawmakers said that watchdog agencies must set an example for the rest of government, given their roles in investigating allegations of misconduct and shielding whistleblowers from interference and retaliation.

“Congress takes whistleblower retaliation seriously, especially when an inspector general is alleged to be the perpetrator,” they wrote. “The OIG serves an important purpose in protecting against waste, fraud and abuse. For this reason, allegations of misconduct within OIGs toward their own staff fundamentally undermine their credibility.”

The Commerce Department Office of the Inspector General on Thursday said it takes the committee's allegations seriously and argued that the office has improved its workplace culture in recent years.

"The Commerce Office of Inspector General is aware of the letter sent to the White House, takes seriously all allegations of reprisal, and looks forward to a full resolution with the facts with the committee in the near future," the office said in a statement. "It is important to note that in the last three years, and especially this past year, surveys indicate OIG employee satisfaction has risen significantly. OIG is producing excellent work that is having a strong impact on the operations across hte Department of Commerce."

The allegations of misconduct under Gustafson’s tenure mark the third federal inspector general’s office to be embattled by claims of malfeasance and retaliation in recent months. Homeland Security Inspector General Joseph Cuffari has been in a years-long fight to retain his job, despite congressional pressure and the award of a $1.2 million settlement to a former deputy, while Sen. Ron Wyden, D-Ore., called on Biden to remove Social Security Administration Inspector General Gail Ennis earlier this year over allegations that she had created a hostile work environment and retaliated against whistleblowers.

Ennis and Cuffari were both appointed by former President Trump, while Gustafson became inspector general in the waning days of the Obama administration.

This story has been updated to include comment from the Commerce Department's Office of the Inspector General.