The White House will nominate market regulator Christy Goldsmith Romero as the chairman of the Federal Deposit Insurance Corporation (FDIC), with her first hearing expected to take place during the week of July 8, sources familiar with the matter revealed on Wednesday.
Goldsmith Romero, a Democratic commissioner at the Commodity Futures Trading Commission (CFTC), will succeed Martin Gruenberg. This follows a rigorous investigation that uncovered widespread sexual harassment and other misconduct by the head of the top banking regulatory agency.
The White House is expediting the filling of this position to advance U.S. President Joe Biden's regulatory agenda, which includes increasing capital requirements for major banks six months before the presidential election.
Although government officials have expressed a desire to move swiftly, neither the White House nor Senate Banking Committee Chairman Sherrod Brown, who is responsible for advancing the FDIC nomination, have announced an expected hearing date.
Another Democratic CFTC commissioner, Kristin Johnson, was also a candidate for the FDIC chair and will be simultaneously nominated as Assistant Secretary for Financial Institutions at the Treasury Department, sources revealed.
The White House declined to comment. Spokespersons for Brown, the Treasury Department, and the FDIC did not immediately respond to requests for comment outside of working hours. A CFTC spokesperson also declined to comment.
Sources stated that Johnson's hearing will be held concurrently with Goldsmith Romero's hearing. Johnson was already slated for a role at the Treasury Department before Gruenberg resigned under political pressure last month.
