But he does have to explain himself to Senate banking committee, several members of which have taken issue with his 3-year internship under Chuck Prince at Citigroup.

“My three years at Citigroup were the most important element in my education that enabled me to be an effective supervisor of banks, which was one of my duties as Governor of the Bank of Israel,” Fischer told members of the Senate banking committee. “Without that experience I would have come to it largely with an academic background, without ever having seen the inside of a bank.” The fact that a top U.S. banking regulator would have ties to one of the big banks under the Fed’s oversight was expected to be a potential focus of the hearing. Fischer made the comments in response to a query from Senator Elizabeth Warren, who suggested that too many government employees are former Citigroup executives, potentially putting the government “under the grip of a tight-knit group” and making economic policy vulnerable to “groupthink.”

Fed vice chair nominee Fischer defends Citigroup stint [Reuters]

8 comments (hidden to protect delicate sensibilities)
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Comments (8)

  1. Posted by Guest | March 13, 2014 at 1:17 PM

    "..a top U.S. banking regulator would have ties to one of the big banks under the Fed’s oversight " is definitely crossing a red line. Unprecedented.

    – Redline watch.

  2. Posted by SAT College Board | March 13, 2014 at 1:36 PM

    Clearly the Citi employees at the Fed aren't creating synergies with the Goldman people.

  3. Posted by Guest | March 13, 2014 at 1:37 PM

    So Fischer was Prince's lunch gofer at Citi?

  4. Posted by Guest | March 13, 2014 at 3:54 PM

    I would think the downside of the Fed being run by Citi bankers is being vulnerable to… being run by Citi bankers.

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  6. Posted by WTF__k | March 13, 2014 at 4:06 PM

    +∞

  7. Posted by infowars.com | March 13, 2014 at 7:50 PM

    Nominating an ex- Bank of Israel official to the Fed….Obama is just rubbing the far right's face in it at this point

  8. Posted by محرر الصور للاندرويد | March 16, 2014 at 6:02 PM

    TGG aims at helping companies improve their cultures and use of technology,