US lawmakers are pressuring FDIC chief over allegations of misconduct

Chicago
By Chicago 2 Min Read

CompaniesU.S. House of RepresentativesFollow

WASHINGTON, Nov 17 (Reuters) – Lawmakers on Capitol Hill renewed public calls on Friday for an investigation into allegations of sexual harassment and other workplace misconduct at the U.S. Federal Deposit Insurance Corporation.

The announcement came as FDIC Chairman Martin Gruenberg faced calls this week to resign following reporting by the Wall Street Journal that the agency had failed to eradicate widespread harassment in its workforce and highlight the Gruenberg’s personal role in cases of alleged harassment and discrimination.

Gruenberg said in testimony that he found the reports deeply troubling and vowed to take corrective action as a top priority.

Friday’s announcements suggest that lawmakers will continue to pressure Gruenberg over revelations about a key agency in the Biden administration’s financial reform agenda.

In a letter Friday, Republican members of the House Financial Services Committee publicly informed Gruenberg of an investigation announced earlier this week.

An FDIC spokesperson told Reuters the agency will be “fully transparent and cooperative” with the committee’s investigation.

Meanwhile, Democratic members of the Senate Banking Committee released a letter calling for an investigation by the FDIC’s Office of Inspector General (OIG), saying reports of misconduct were “nothing short of appalling.”

An FDIC OIG representative told Reuters on Friday that the office had received the Senate Democrats’ request and was reviewing it.

“Chairman Gruenberg, the sustainability of your leadership is in question,” wrote House Financial Services Committee Chairman Patrick McHenry and senior members Bill Huizenga and Andy Barr, all Republicans. “The Committee will use its full arsenal of supervisory and investigative tools, including mandatory mechanisms, to ensure that our banking system remains safe and sound.”

Reporting by Douglas Gillison in Washington Editing by Matthew Lewis

Our standards: Thomson Reuters Fiduciary Principles.

Acquire licensing rights, opens in new tab

Advertisements
Share This Article

It was Thursday night when we started to negotiate. Do we need to evacuate to the south or

It was Thursday night when we started to negotiate. Do we need

By Chicago

“Please go to a safer place. Your lives matter more than the news.” This is what a news a

“Please go to a safer place. Your lives matter more than the

By Chicago

“Botched” star @drdubrow took some time away from #BravoCon to fill us in on some of the h

“Botched” star @drdubrow took some time away from #BravoCon to fill us

By Chicago