A last-minute postponement of a scheduled Senate Banking Committee hearing involving Securities and Exchange Commission (SEC) Chair Gary Gensler has prompted sharp criticism from Senator Tim Scott (R-SC) and fueled calls for increased oversight of the agency.
The hearing, originally set for Wednesday, was postponed just hours after Senate Republicans introduced new legislation aimed at increasing transparency at the SEC.
The proposed bill, titled the Empowering Main Street in America Act, would mandate that the SEC Chair testify before Congress on a semi-annual basis. Currently, the SEC is not subject to such regular oversight under the Dodd-Frank Act, which applies to other financial regulators. The postponement was a decision made in consultation with Senate Banking Committee Chairman Sherrod Brown (D-OH), with scheduling issues cited as the reason.
Senator Scott criticized both the delay and Gensler’s leadership at the SEC.
“A last-minute cancellation while still testifying before the House underscores what’s wrong with the SEC under Gensler’s leadership,” the Senator remarked.
He accused Gensler of pursuing an aggressive regulatory agenda that burdens businesses and restricts capital access, arguing that the Senate Banking Committee deserves a regular opportunity to hold the SEC accountable.
The postponed hearing follows a contentious appearance by Gensler before the House Financial Services Committee earlier this week, where he faced bipartisan criticism over the SEC’s approach to regulating digital assets. The debate centers on Gensler’s interpretation of securities law, which some lawmakers argue has created regulatory uncertainty for US businesses, particularly in the cryptocurrency sector.
Senate Republicans have framed their proposed legislation as a way to restore the SEC’s focus on fostering capital markets while avoiding what they describe as an increasingly hostile regulatory environment. They argue that more frequent oversight is necessary to ensure the SEC adheres to its core mission of protecting investors, maintaining fair markets, and promoting capital formation.
The new hearing date for Gensler’s testimony before the Senate Banking Committee has not yet been set.
FOX Business, Forbes, the Hill, and Congressman Tom Emmer contributed to this report.
