It had been two days since U.S. lawmakers negotiated all night to finish rules that would reshape the business of Wall Street. The 20-hour session left legislators, aides, lobbyists and regulators exhausted. Almost no one had a grip on all the details.
The former top lawyer of the U.S. Securities and Exchange Commission should be investigated by federal prosecutors for improperly working on policy related to Bernard Madoff’s fraud when he had a financial interest in the outcome, the SEC’s internal watchdog said.
Former U.S. Securities and Exchange Commission general counsel David Becker said he didn’t violate the law when he worked on policy about the Bernard Madoff case after inheriting money from the Ponzi scheme.
David Becker , who quit as Securities and Exchange Commission general counsel before he was sued over inherited profits from Bernard Madoff ’s fraud, has rejoined the law firm where he worked before taking the SEC post.
Lawmakers grilled U.S. Securities and Exchange Commission Chairman Mary Schapiro over what they called a breakdown in ethics that allowed the agency’s former top lawyer to work on policy related to the Bernard Madoff fraud after he inherited money from the Ponzi scheme.
David Becker, the former U.S. Securities and Exchange Commission general counsel accused of violating conflict of interest laws, said he had “no financial interest” in the agency’s position on how Bernard Madoff’s fraud victims should be compensated.
Senator Charles Grassley said he was troubled that the former top lawyer at the Securities and Exchange Commission was allowed to work on policy related to the Bernard Madoff fraud after inheriting profits from the Ponzi scheme.
The U.S. Securities and Exchange Commission’s inspector general plans to ask the Justice Department to review whether the agency’s former top lawyer violated conflict-of-interest laws, according to three people with knowledge of the watchdog’s findings.