Biden Picked Omarova to Protect Our Financial Systems for a Reason

Dr. Saule Omarova at Senate Banking, Housing and Urban Affairs Committee nomination hearing for Comptroller of the Currency in D.C., Nov. 18, 2021. Source: Source: U.S. Senate Banking Committee.

America loses powerful defender against concentrations of power in financial sector

WASHINGTON— Yesterday, it was reported that Professor Saule Omarova withdrew her nomination to head the Office of the Comptroller of the Currency. Professor Omarova is a leading expert in banking law, a former public servant in the George W. Bush administration, and a former attorney in private practice at Davis, Polk, & Wardwell. Her withdrawal is a loss for the economy and the nation as a whole.

Professor Omarova’s withdrawal follows what President Biden called “inappropriate personal attacks that were far beyond the pale,” that utilized McCarthy-era red baiting to undercut her long record of documenting the dangers of concentrations of power in the financial system and commodity markets.

Professor Omarova’s work has been of foundational importance for understanding how banking policy and competition policy intersect, and how Americans have used them to reinforce one another for the last 150 years.

In response, Barry Lynn, executive director at Open Markets Institute, issued the following statement:

“We are deeply disappointed to see Congress side with banking lobbyists and give in to egregious distortions of the truth and the worst and most dangerous forms of scaremongering. It is a true shame that the nation will not benefit from the leadership of Professor Omarova at the Office of Comptroller of the Currency.

“Professor Omarova is an unrivaled expert on prudential financial regulation, a strong champion of community banks, a pioneering protector of independent business, and a fearless champion of democracy and individual liberty. Indeed, at this moment when banking itself is being disrupted by Big Tech, Professor Omarova would have worked hard to ensure that America’s banking community is not simply another victim of the Silicon Valley steamroller.

“I have worked with Professor Omarova for more than a decade, and she has long served on the Open Market’s advisory board. I know through personal experience that Professor Omarova is a true patriot who has dedicated her life to protecting the American people against dangerous concentrations of power, at home and abroad. It is unfortunate that entrepreneurs, communities, families, and consumers across the United States will not have Professor Omarova to defend against reckless Big Banks.”

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