(Washington) Joe Biden announced Thursday the appointment of a new chair for the FDIC, a banking regulator, as the current boss, Martin Gruenberg, announced his resignation after a report on the long-standing “toxic culture” within the agency.
The US president chose Christy Goldsmith Romero, who since March 2022 has been a leader of the CFTC, the regulator of US futures markets.
The Senate must now confirm his nomination.
The current head of the FDIC (Federal Deposit Insurance Corporation), Martin Gruenberg, announced his resignation on May 20, after the conclusions of an investigation which revealed a “misogynistic”, “patriarchal”, “insular” and “obsolete”” to the FDIC.
“Christy Goldsmith Romero has more than 20 years of experience as a federal lawyer and responsible for financial regulation, under four American presidents,” details the White House in a press release.
This law graduate had previously worked for six years at the SEC, the American stock market watchdog, notably as an advisor to two presidents during the financial crisis.
“Christy Goldsmith Romero, who was unanimously confirmed by the Senate twice, will bring decades of experience in financial services to the FDIC,” greeted Democratic Senator Sherrod Brown, chairman of the banking committee.
“She has proven that she is a strong, independent and fair regulator,” he added, calling on his Senate colleagues “to act quickly.”
The Republican chairman of the House Finance Committee, Patrick McHenry, stressed that, “if confirmed, Christy Goldsmith Romero must immediately begin taking steps to reverse the toxic culture overseen by Mr. Gruenberg and restore trust between FDIC employees and management.”
He also urged the Senate to “begin the confirmation process quickly to limit Chairman Gruenberg’s ability to further harm the agency and jeopardize financial stability.”
The FDIC report, supported by multiple testimonies, found sexist, racist and homophobic remarks, harassment and mockery toward employees with disabilities.
The survey also showed “a widespread fear of retaliation […] which has led to underreporting of professional misconduct over the years.”