Would-be SEC chairman Gary Gensler had a fairly sunny day of it at his Senate confirmation hearing, but there was a brief rumble that, for private funds, might sound like echoes of distant thunder.
Republican Sen. John Kennedy of Louisiana asked Gensler about his time as chairman of the CFTC under President Obama. Among Gensler’s labors was to sweep the Aegean stables after the Great Recession. Kennedy had some questions. “Why didn’t somebody go to jail?” he asked. “Who made the call?”
Gensler paused, a slight, wry smile opening a tiny crack in his stony facade. “Those are questions I share with you, sir,” he said (RCW, March 2, 2021).
Democrats and Republicans alike seem to share the premise that the lords of finance haven’t been brought low enough for their hubris. Everywhere private fund advisers care to look, dark clouds are gathering.
This story mentions Caroline Crenshaw, Allison Herren Lee, Janet Yellen, Donald Trump, Archegos Capital Management, Bill Hwang, Nomure, Credit Suisse, Goldman Sachs, Morgan Stanley, Sherrod Brown, Silicon Valley Bank, JES Global Capital, GPB Capital, GameStop, Infinity Q, and Senate Banking Committee. You can read it by registering here at Regulatory Compliance Watch.