Scott Statement on FDIC Chairman Martin Gruenberg

November 19, 2024

Scott Statement on FDIC Chairman Martin Gruenberg

Washington, D.C. - In response to Federal Deposit Insurance Corporation (FDIC) Chairman Martin Gruenberg's announcement he will resign on January 19^th, Ranking Member Tim Scott (R-S.C.) released the following statement:

"I've called on Martin Gruenberg to resign from the agency for almost a year - yet he's continued to play politics at the expense of the FDIC's employees. This announcement is long overdue, but Chairman Gruenberg's decision to remain in office until the last minute demonstrates his failure to accept accountability for his actions. I look forward to new leadership at the FDIC who will support the agency's employees, hold bad actors accountable, and restore a respectable office culture. The FDIC's mission is too important not to," said Ranking Member Scott.

BACKGROUND:

Following the initial reports of sexual harassment and a toxic workplace culture at the Federal Deposit Insurance Corporation (FDIC), Ranking Member Scott released a statement promising to "continue to conduct rigorous oversight of the FDIC to ensure these problems are addressed, bad actors are held accountable, and a respectable office culture is restored at the agency."

In December, the Ranking Member led fellow Banking Committee Republicans in calling on Chairman Martin Gruenberg to provide detailed information regarding the allegations of a toxic workplace culture and to resign as Chairman and Board Member. In March, following months of silence despite Chairman Gruenberg promising transparency, Ranking Member Scott renewed his demands for information and again called for Gruenberg to step down.

After the recent release of an independent report investigating allegations of sexual harassment and a toxic work culture at the agency, Ranking Member Scott released a statement urging "Chairman Gruenberg to resign so the FDIC can move forward with the leadership it deserves and desperately needs to ensure employees and the important work of this agency are supported." During the Senate Banking Committee hearing with Chairman Gruenberg, Ranking Member Scott reiterated his call for Chairman Gruenberg to resign and formally requested the Senate Banking Committee to hold a separate hearing on the FDIC's independent report, citing the effects the pervasive toxic culture, racial discrimination, and sexual harassment could have on the agency's ability to carry out its important mission.

In August, following the FDIC Office of Inspector General (OIG) report detailing the agency's failure to implement an effective sexual assault prevention program, Ranking Member Scott once again called for Gruenberg to show respect for the agency's employees and resign.

FDIC employees may confidentially contact Ranking Member Scott's Committee staff if they desire to make a protected disclosure of information regarding waste, fraud, or abuse - including, but not limited to, sexual harassment or discrimination - or any other misconduct occurring at the FDIC. To share such information, FDIC employees may email [email protected] or call 202-224-4287.

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