Obama to name SEC chief

Mary Schapiro, a longtime financial regulator, is the President-elect's nominee for chairwoman of the Securities and Exchange Commission.

EMAIL  |   PRINT  |   SHARE  |   RSS
 
google my aol my msn my yahoo! netvibes
Paste this link into your favorite RSS desktop reader
See all CNNMoney.com RSS FEEDS (close)
By Ben Rooney, CNNMoney.com staff writer

NEW YORK (CNNMoney.com) -- President-elect Barack Obama is set to name a veteran financial regulator to head the Securities and Exchange Commission, two Democratic officials told CNN on Wednesday.

Mary Schapiro is currently chief executive of the Financial Industry Regulatory Authority, the largest non-government regulator for securities firms that do business with the U.S. public.

As SEC head, she would replace Christopher Cox as chair of the nation's main watchdog over publicly traded companies when the new administration takes office in January.

The appointment is subject to approval by the Senate.

Schapiro is a former SEC commissioner who briefly served as the agency's acting chair in 1993. She served as chair of the Commodity Futures Trading Commission in 1994 during the Clinton administration.

The announcement comes amid criticism of the current SEC chairman for the agency's apparent failure to act on information that could have prevented one of the largest investment fraud cases in Wall Street history.

Cox said Wednesday that "credible information" had been brought to the SEC's attention over a period of nearly 10 years about the activities of Bernard Madoff, who has been charged by federal prosecutors with leading a $50 billion Ponzi scheme. However, no formal investigation was made.

Also on Wednesday, Cox reaffirmed his intention to retire when the Bush Administration leaves office at the end of this year.

Sen. John McCain, R-Arizona, lashed out at Cox during his presidential campaign, saying he "betrayed the public's trust" for not doing more to prevent the financial crisis.

Earlier this year, Treasury Secretary Henry Paulson put forward a plan that would have combined the nation's various financial regulatory offices, including the SEC. However, it remains to be seen if such steps will be implemented in the next administration.

CNN's Jessica Yellin contributed to this report. To top of page

Features
They're hiring!These Fortune 100 employers have at least 350 openings each. What are they looking for in a new hire? More
If the Fortune 500 were a country...It would be the world's second-biggest economy. See how big companies' sales stack up against GDP over the past decade. More
Sponsored By:
More Galleries
Tools to make your money grow You've started saving and built a financial base. Time for a few new strategies and tools to get your money to grow even more. From real estate to IRAs, here are some tips. More
Ready to start saving? Here's how to do it right When you are just starting out or finally starting to get serious about saving, the basics will get you far. Here are more than a dozen tips that will help you lay the base for building your net worth. More
Meet four kings of Alibaba's online retail empire Alibaba's shopping sites account for 80% of online retail in China. Meet four successful merchants. More
Sponsors

Market indexes are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer LIBOR Warning: Neither BBA Enterprises Limited, nor the BBA LIBOR Contributor Banks, nor Reuters, can be held liable for any irregularity or inaccuracy of BBA LIBOR. Disclaimer. Morningstar: © 2014 Morningstar, Inc. All Rights Reserved. Disclaimer The Dow Jones IndexesSM are proprietary to and distributed by Dow Jones & Company, Inc. and have been licensed for use. All content of the Dow Jones IndexesSM © 2014 is proprietary to Dow Jones & Company, Inc. Chicago Mercantile Association. The market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. FactSet Research Systems Inc. 2014. All rights reserved. Most stock quote data provided by BATS.