Federal government resignation doesn’t slow calls for broader moral changes

Texas News Today

FILE PHOTO: The Federal Preparatory Commission building was taken on March 19, 2019 in Washington, USA. Reuters / Leah Millis / FILE PHOTO

September 27, 2021

by Howard Schneider

WASHINGTON (Reuters) – US consumer and public interest group Jerome Powell on Monday became the chairman of the federal government after two federal bank governors resigned over controversial investment activity last year. He continued to pressurize employees to enforce strict rules of ethics.

Powell appears to have been appointed to a second four-year term, so President Robert Kaplan of the Dallas Federal Reserve and President Robert Kaplan of the Boston Federal Reserve said, “The Federal Reserve system is legal after Powell. I consider it I’m desperate to end this investigation without having to see if it will affect me,” said Eric Rosengren, who is responsible for the Progressive Rotating Door project.

Hauser said Powell “should have made a referral” by the US Securities and Exchange Commission and the Justice Ministry to investigate Kaplan and Rosengren.

“These numbers cannot be resigned within the next six months and transferred to consulting and hedge funds or private equity.”

Kaplan and Rosengren on Monday [L1N2QT0ZZ] announced his imminent resignation following disclosure of his active trading activity during 2020, when the federal government was actively working to bolster the economy in steps that ultimately pushed the asset market to record highs . Down.

Federal critics say the US central bank needs stricter ethical standards, and both men have their investment activities approved by ethics authorities and the federal market for personal gain. He said he said he was in compliance with the rules for using a bunch of information to transfer.

Dennis Kelleher, head of the Better Markets financial regulation think tank, said the resignation was “grossly inadequate”. He called on Powell to “fully disclose all those in the federal government who did business during the pandemic while in possession of non-public information.”

Federal officials are subject to the same ethical rules as parliamentary members and other senior government officials. It also prohibits day-to-day transactions before and after the Federal Public Market Commission meeting, where the most sensitive information is distributed, and does not allow the ownership of shares or mutual funds in the financial sector.

They are also subjected to a variety of orders to avoid the emergence of conflicts of interest. Aggressive investing in 2020, which left millions jobless, touched vulnerable public and resigned less than three weeks after the Wall Street Journal’s September 7 report on investment activity.

Powell has launched a comprehensive review of the federal code of conduct and promised changes at a press conference last week. When asked if Kaplan and Rosengren are convinced, they casually replied, “No one is happy.”

Kaplan said he resigned because his activities pose a “distracting risk” to the federal government. Rosengren cited a longstanding rise in health problems that he wanted to better control lifestyle changes. He was accepted on the kidney transplant list in June 2020.

White House officials did not comment on the federal government’s resignation. President Joe Biden is still considering whether to appoint Powell for a second four-year term when his current term ends in February.

Whether this issue affects Powell’s ability may become clearer on Tuesday when he will have to come to the Senate Banking Commission for confirmation of his nomination. Senator Elizabeth Warren, a Democrat on the commission who has often criticized Powell’s financial oversight, also called for stricter federal ethical rules.

Investors believe Powell could be reappointed. Some of Biden’s most progressive supporters said the federal chief had set a successful monetary policy for the pandemic, and Republicans backed him as well.

(Reporting by Howard Schneider, Additional reporting by Trevor Hunnicutt, Editing by David Gregorio)

Federal government resignation doesn’t slow calls for broader moral changes

Source link Federal government resignation doesn’t slow calls for broader ethical changes


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