You and I need to trust that the people we’re counting on to keep big banks in check are looking out for us.
But it’s clear there’s a revolving door at the highest levels of our government: José Manuel Barroso, former Portuguese prime minister and head of the European Commission for ten years, was just named chairman of Goldman Sachs International.
Yep, the same Goldman Sachs that infamously made half a billion dollars from crashing the Greek economy.
President Obama has barred presidential appointees from lobbying his administration after they leave their jobs. It’s time we had the same in Europe.
Tell EU regulators to prevent government appointees from lobbying their former administrations.
We have to stop former government officials with inside knowledge from jumping ship to big banks like Goldman Sachs -- it’s a recipe for corruption.
Just look at Rohit Bansal, who was caught milking information from his former colleagues at the Federal Reserve Bank of New York to hand over to his new employer, Goldman Sachs.
The Obama Administration is beginning to address the blurred lines between Wall Street and Washington. Besides barring leaders of regulatory bodies like the Securities and Exchange Commission from later lobbying the same administration they once worked for, the order also requires appointees to avoid any matter “directly and substantially related” to any former employer during their first two years of service.
Right now, we don’t have anything like this in Europe. But we need it -- badly.
Barroso isn’t the first and won’t be the last EU official to jump over to banking giants like Goldman Sachs. Together, we’ve been working on to hold big banks accountable to the law.
But in order to do that, we need to clamp down on this revolving door and the corruption it breeds.
Can you help put an end to this kind of corrupt practice in Europe?
Ask EU regulators to prevent government appointees from lobbying their former administrations.
More information
The Guardian. 8 July 2016.