The remaining members of the Biden administration vacated their positions on Monday as President Donald Trump and Vice President JD Vance were sworn into office. In accordance with Trump’s inauguration, Securities and Exchange Commission Chairman Gary Gensler departed from his post as the new administration stepped into power.
In light of this, clips have resurfaced on social media showing JD Vance as a senator grilling Gensler on charges of weaponizing his office against Trump, Biden’s chief political opponent at the time. During the hearing, Vance warned Gensler that weaponizing the SEC would backfire as he would eventually “be out of power.”
Vance substantiated his argument against Gensler by highlighting concerns about his leadership practices, such as hiring anti-Trump officials like former New Jersey Attorney General Gurber Grewal and General Counsel Megan Barbero. Vance also lambasted SEC investigations into special purpose acquisition companies (SPACs) related to Donald Trump’s Truth Social platform.
The Ohio senator called out Gensler’s conduct, stating, “The problem that I have, Chairman Gensler, is not with you investigating SPAC mergers. The problem is investigating a SPAC merger using a novel legal theory, against your boss, Joe Biden’s chief political rival, also against the social media company, which, of course, at the time, Twitter and Facebook and every social media company had banned the former president. So you can make a pretty good argument that the SEC was using its enforcement powers to silence the chief political rival of the former of the current president.”
Moreover, Vance raised concern that the perceived impartiality of the federal government is not exclusive to the Department of Justice and its numerous investigations into President Trump, but could also extend to agencies such as the SEC. He maintained that such institutions should be focused on serving the taxpayers and not targeting political opponents.
“We are rightfully concerned in this chamber, at least on my side of the aisle, about the weaponization of the Department of Justice, but I’m increasingly worried that we should be more worried about the weaponization of the Securities and Exchange Commission,” he said. “It looks more and more like not an impartial regulatory body protecting investors and consumers, but a regulatory body that it’s using its power to silence and immiserate political rivals of the current president of the United States.”
However, Vance sent a stark warning to Gensler that the apparent weaponization could entirely backfire. “So let me just offer one final observation I have. I have little hope that I could persuade you that hiring committed partisans and using the regulatory powers of the SEC in a way that looks, and I think is politically partisan, is a true threat to American democracy,” he said.
“But maybe I can appeal to your sense of self-interest if you guys use the SEC in such a politically motivated way, eventually you’re going to be out of power. And I have to say, Chairman Gensler, turnabout is fair play,” Vance concluded. Watch the tense interaction between Sen. Vance and Gensler below:
Note: The featured image is a screenshot from the embedded video below.
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