Warren calls on the SEC to investigate the deal with the Federal Reserve

Elizabeth Warren, a Massachusetts Democratic filmmaker, has urged the Securities and Exchange Commission to investigate a number of “grave wrongdoing” acts by Federal Reserve officials last year and whether they “violated domestic trade laws”.

In a letter to Gary Gensler on Monday, SEC chairman Warren called on the commission to look into last year’s trade deficit by Richard Clarida, vice-chairman, and regional presidents Eric Rosengren and Robert Kaplan. The official release of the executives in 2020 revealed that they had sold out that year Feeding He moved hard to support the financial markets in the early stages of the coronavirus epidemic.

He also asked the SEC to monitor whether the transactions are regulated by what is not owned by others and are in violation of the laws prohibiting buying or selling.

“These financial reports by Fed officials raise serious questions about potential problems and show a lack of respect for the public,” Warren wrote in the letter. “They also reflect the harsh judgment of these officials, and the notion that profit is more important than the American people’s reliance on the Fed.”

Clarida left between $ 1m and $ 5m in a wallet and went into the wallet on February 27, yesterday Jay Powell, The Fed’s chief executive, has issued a statement in the midst of setting-off meetings that suggest the central bank is planning to take action to finance the economy. A few days later, the Fed announced a surprise reduction in interest rates.

Clarida’s actions were part of a “prearranged plan”, according to the Fed, and he was killed before taking part in any negotiations. It was also approved by Fed law enforcement officials, the man said.

Clarida’s sale, which Bloomberg first revealed, came to light shortly after Kaplan of Dallas Fed and Rosengren of Boston. he announced resigning from work following reports of their activities. Rosengren stepped down last week, with Kaplan due to resign over the weekend.

Their activities were also in line with Fed financial regulations, which prompted Powell to re-evaluate standards in September. At a parliamentary session last week, he promised that the legislation would be tightened and that any manifestations that would be contrary to interest would be “unacceptable”.

“If this was in line with what Fed Fed officials are informing non-consensual people about, what is going on in the market, they could be representing events that would be illegal,” Warren said in a letter.

Warren’s intervention comes just one week after he said he would challenge Powell’s reputation as Fed chair, explaining to him “A Man of Fear” for bank account writing.

Powell, who sees him as a runner-up in the second round, is facing an obvious challenge due to Warren’s and other developments, high inflation and commercial fraud at the central bank.

The SEC and The Federal Reserve Bank in Dallas declined to comment.

Additional reports of Stefania Palma

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