Committee Republicans are Holding Chair Gensler’s SEC Accountable
Washington,
April 18, 2023 -
Ahead of today’s hearing with Securities and Exchange Commission (SEC) Chair Gary Gensler, Republicans on the House Financial Services Committee are holding the Commission accountable. From its reckless rulemaking agenda to regulation by enforcement of the digital asset ecosystem to ignoring the capital formation piece of its statutory mission, Chair Gensler’s SEC is threatening American competitiveness. Through a series of letters, Committee Republicans are working to prevent Chair Gensler from continuing to weaponize the SEC as he runs roughshod over process, precedent, and jurisdiction.
On February 10, House Financial Services Committee Chairman Patrick McHenry (NC-10) and Oversight and Investigations Subcommittee Chairman Bill Huizenga (MI-04) sent a letter to Securities and Exchange Commission (SEC) Chair Gary Gensler demanding records related to the timing of the charges filed against Bankman-Fried and his subsequent arrest prior to his scheduled testimony before Congress.
On February 22, Chairman McHenry, the Ranking Member of the Senate Committee on Banking, Housing, and Urban Affairs, Tim Scott (R-SC), and Subcommittee Chairman Huizenga, sent a letter to Chair Gensler demanding records related to the
Gensler’s disastrous proposed climate disclosure rule.
On April 12, Chairman McHenry and Subcommittee Chairman Huizenga sent letter to Chair Gensler reiterating the Committee’s request for a staff recommendation memo and other information related to the timing of charges filed by the agency against FTX founder Sam Bankman-Fried. The Chairmen noted that if Gensler continues to stonewall the Committee’s investigation, they will consider compulsory action to get needed documents and information.
On April 13, the Chairman of the Subcommittee on Capital Markets, Ann Wagner (MO-02), sent a letter to Chair Gensler requesting a thorough assessment of the effects of sweeping regulatory proposals on small and burgeoning companies that risk creating undue barriers to entry and stifling innovation in the marketplace.
On April 13, Chairman McHenry and Subcommittee Chairman Wagner sent a letter to Chair Gensler demanding that the SEC revise its rulemaking agenda by pursuing reforms that strengthen public markets, expand opportunities for underrepresented entrepreneurs, and allow small businesses to grow.
On April 17, Subcommittee Chairmen Wagner and Huizenga sent a letter to SEC General Counsel Megan Barbero reiterating their concern regarding the Commission’s legal authority to pursue its radical regulatory agenda, following the Supreme Court’s decision in West Virginia v. EPA.
On April 18, all Committee Republicans—led by Chairman McHenry and Chairman of the Subcommittee on Digital Assets, Financial Technology and Inclusion, French Hill (AR-02)—sent a letter to Chair Gensler criticizing Gensler’s calls for digital asset trading platforms to register under the ill-fitting national securities exchange (NSE) framework and urged the Chair to work with Congress to develop clear rules of the rad for digital assets to preserve innovation and protect investors.
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