Senate Dems blast Trump SEC nominee over 2008 recession

Several Democrats on the Senate Banking Committee on Thursday laid into President Donald Trump's choice to lead the Securities and Exchange Commission (SEC), questioning him about his past with the agency during the 2008 recession, and his plans for its future.

Trump nominated former SEC Commissioner Paul Atkins to lead the agency last November, highlighting his support for "digital assets" and claiming the nominee was a "proven leader for common sense regulations."

Atkins, who worked for the agency as a commissioner from 2002 through 2008, appeared in front of the committee alongside other nominees Trump has tapped to lead financial regulatory agencies. If confirmed, he will replace former SEC Chair Gary Gensler.

Senate Banking Ranking Member Elizabeth Warren pushed Atkins over his role with the agency leading into the 2008 financial crisis, which forced the country into a recession.

“Mr. Atkins has an almost perfect track record,” Warren said, according to The Hill. “He got pretty much everything wrong in the run-up to the biggest financial crash since the Great Depression. That is not a record that deserves promotion. Your job was to spot and head off risks that were building up in financial markets, but you showed staggeringly bad judgment."

Georgia Democratic Sen. Raphael Warnock also questioned Atkins for his role in the crisis, asking him what he would do differently this time as the leader of the agency. 

“There are communities in Atlanta, especially communities that I’m close to and folks that I know and people in my church that still haven’t recovered,” Warnock said. “The banks got bailed out. Wall Street got bailed out, but consumers didn’t get bailed out. And I’m asking because you are the nominee at the SEC, and I’m just trying to get an understanding of what you think we need to do differently?"

Aktins told Warnock that the agency was focused on the "wrong things" in 2008, and did not focus on things that were important to the market. 

“A top priority of my chairmanship will be to work with my fellow commissioners and Congress to provide a firm regulatory foundation for digital assets through a rational, coherent and principled approach,” Atkins also said. 

Republicans have lauded the nominee for his support of the cryptocurrency community.

Atkins has also committed to stepping down as CEO of Patomak Global Partners if he is confirmed by the Senate, and will divest his shares in the company.

Misty Severi is a news reporter for Just The News. You can follow her on X for more coverage.