Warren Presses Warsh on Divestment of More than $100 Million of Secret Investments Ahead of His Swearing In
“In addition to raising questions regarding your compliance with federal ethics laws, your failure to disclose your assets also raised concerns regarding your compliance with the Federal Reserve Act.”
Washington, D.C. – U.S. Senator Elizabeth Warren (D-Mass.), Ranking Member of the Senate Banking, Housing, and Urban Affairs Committee, sent a letter to Kevin Warsh ahead of his swearing in as Chair of the Federal Reserve, pressing Mr. Warsh on whether he has fulfilled his legal requirement to divest his financial holdings before taking office and to whom he has divested. Mr. Warsh has failed to respond to multiple requests from the Ranking Member about his secret $100 million of undisclosed assets, who he planned to divest them to, and what conflicts of interest might arise from these assets or their sale.
“The Ethics in Government Act of 1978 required you to disclose information about your assets and sources of income during your nomination process. These legal requirements help federal ethics officials, lawmakers, and nominees identify and remediate potential conflicts of interests…This requirement is particularly important for you, given that all Members of the Federal Reserve are held to an even higher standard,” wrote the Ranking Member.
“In addition to raising questions regarding your compliance with federal ethics laws, your failure to disclose your assets also raised concerns regarding your compliance with the Federal Reserve Act. Though you stated that you would comply with relevant federal laws, including the Federal Reserve Act’s prohibition on owning certain financial entities, your lack of transparency poses a problem: one or more of your dozens of funds and entities could hold stock in a prohibited financial institution, and the public would never know,” wrote the Ranking Member.
“I have previously asked you who you plan to sell your assets to, and on what terms. You did not meaningfully respond. Now that you have been officially confirmed as the Chair of the Federal Reserve, I write to request an update on the status of your divestments and to once again request information on which entities or individuals you sold your assets to,” the Ranking Member concluded.
The Senator requests answers no later than May 29, 2026.
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