Warren Davidson, a member of the US House Financial Services Committee, has made headlines by announcing his intention to propose a bill that would change the way decisions are made at the SEC.
Specifically, he wants to eliminate the position of chairman and replace it with an executive director who would be accountable to the agency’s board of directors.
The move comes ahead of a keynote speech by SEC Chairman Gary Gensler to the extended membership of the US House of Representatives Committee on Financial Services on the topic of “SEC Supervision.”
However, Davidson has already made clear his dissatisfaction with Gensler’s leadership and intends to seek his removal from office for what he sees as disruptive actions.
In addition, Davidson plans to convince lawmakers to prevent future SEC leaders from making unilateral decisions.
He argues that the proposed executive director position would ensure greater accountability and prevent any one person from wielding too much power.
Interestingly, even some members of the agency itself have criticized Gensler’s recent political moves. SEC Commissioner Hester Peirce, for example, has been a vocal opponent of some of his regulatory efforts.
It remains to be seen whether Davidson’s proposed bill will gain traction in Congress, but it has certainly sparked a heated debate over the future of the SEC and its leadership structure.