Wednesday, June 16, 2010
Senator Chuck Grassley, the ranking minority member of the Senate Finance Committee, asked the SEC's Inspector General to review the recent departure of a top official in the Division of Trading and Markets to take a job with a high-frequency trading firm. The Inspector General stated that his office is already investigating allegations that a prominent law firm received favorable treatment for a client because many former SEC staffers worked at the firm. WSJ, SEC 'Revolving Door' Under Review.
The issue of the "revolving door" is not new and certainly is worthy of attention. Realistically, however, many motivated and ambitious attorneys go to the SEC because of the experience and opportunities it offers; we don't want working at the SEC to be the equivalent of working at the post office. Do we have the same concern about prosecutors in the Manhattan D.A.'s office or the Justice Dept. who leave to do defense work at white collar crime firms?