An example of the increasing amount of press critical of Warren. Not so long ago she walked on water, or is that her grasp extends beyond reach?
DID WARREN GO TOO FAR WITH MARY JO WHITE SLAM? - POLITICO’s Patrick Temple-West and Ben White: "Wall Street and the White House had a swift and furious reaction to Elizabeth Warren’s blazing attack on Securities and Exchange Commission Chair Mary Jo White: Senator, you’ve gone too far. … Defenders of White’s tenure at the regulatory agency said Warren’s 13-page letter attacking the SEC chair raised highly questionable points and badly mischaracterized the actions of a widely respected former federal prosecutor.
"'I don’t understand Sen. Warren’s criticism of White for recusing herself where there is a conflict of interest,; said Wayne Abernathy, a top lobbyist for the American Bankers Association, referring to Warren’s criticism that White isn’t involved in SEC actions when her husband’s law firm represents the companies involved. ‘Is it that she would prefer that the chairman go forward and participate in enforcement cases despite the conflict of interest?’
“When he nominated White two years ago, President Barack Obama said, 'You don’t mess with Mary Jo,” citing the diminutive former prosecutor’s record winning cases against terrorists and financial criminals during her 1993 to 2002 tenure as U.S. Attorney for the Southern District of New York, which many consider the most prominent prosecutorial position in the country. …
“But Warren clearly ‘messed with Mary Jo’ on Tuesday, and the White House was not happy about it. 'The president continues to believe that the reasons that he chose her, based on her experience and her values, continue to be important today,” press secretary Josh Earnest told reporters. “The president does continue to believe that she is the right person for the job.’”
WHITE DEFENDED -** "White defenders said the SEC was always clear that she would have to recuse herself on certain cases. And senators, including Warren, voted to confirm her anyway. ‘It is rather extraordinary for a U.S. Senator to send this kind of letter to one of our more distinguished public servants,’ said Robert Kelner of law firm Covington & Burling, an expert on political compliance. ‘The allegation concerning recusal seems to me especially unfair because the Senate was very much on notice that under existing law Mary Jo White would have to recuse herself form a variety of matters.’ Kelner added that ‘the criticism of agency inaction on corporate political disclosure also seems misplaced because corporate political disclosure has utterly nothing to do with the SEC. It’s a beef that should be taken up with the Federal Election Commission.’ politi.co/1JoiK3e
WARREN DEFENDED - A former SEC official emails:** 'I don’t often agree with Senator Warren’s views of the markets, but her view of the SEC’s leadership under Chair White seems spot on. … Despite an incredibly talented staff, the SEC has nothing to show for its last several years. Partisanship isn’t to blame. It’s leadership. The Chair’s autocratic style and refusal to compromise means that every issue is a fight - with battles at the staff and Commission levels. … Given that, and the Chair’s lack of securities regulation experience, it’s not surprising that she has made essentially no progress on finalizing rules that are now several years overdue. Forget about ever getting final derivatives rules, the Consolidated Audit Trail, or meaningful disclosure reforms.
“As for her enforcement record, that also speaks for itself. Large firms are still allowed to avoid the supposedly automatic consequences of their misconduct-even as the conduct has grown worse and more frequent. Criminal lying, cheating and stealing? No problem. Have your shareholders pay a lot of money and we’ll be fine. The Chair’s initially splashy revisions to the ‘no admit or deny’ policy have proven to be a joke. Oh, and smart folks facing SEC action may have now figured out that they can deadlock the Commission by hiring the Chair’s husband.” Full email: bit.ly/1dKshGp
ICBA’s Cam Fine: “We agree with Sen Warren on this issue. The SEC has been more of a lap dog than Doberman when it comes to Wall Street regulation and enforcement. I mean how many times do the Wall Street mega banks have to plead criminally guilty to law breaking before the SEC does anything real or hold even a single individual accountable?? Does a Wall Street Exec have to be standing over a body before the SEC will take action?”
ONE MORE VIEW - From a senior Wall Street Dem: "On the one hand, not remarkable at all. Senators, members of Congress, and their staffs love to write these long detailed polemics accusing nominees of not living up to their expectations and commitments they made at the time of their nominations. Of course, Warren’s letters receive disproportionate coverage (even relative to a note by HFSC Chair Hensarling) because they largely echo (reinforce?) views held by the (liberal) media.
“And while it’s pretty outrageous to basically call the President’s appointee to run the SEC an unprincipled liar, it’s not exactly the first time between her highly personalized attacks on Michael Froman, Tim Geithner (he’s on the side of the banks), Antonio Weiss (remember Paris?), and even Janet Yellen.”