House Republicans are demanding increased oversight of the Securities and Exchange Commission (SEC) following the deletion of text messages from former Chair Gary Gensler's government phone. An automated IT policy led to the erasure of messages from October 2022 to September 2023, according to the SEC Office of Inspector General (OIG). Financial Services Committee Chair French Hill and others have expressed concerns over transparency and internal controls at the SEC.
The OIG report cited poor change management, missed alerts, and backup failures as reasons for the data loss. This incident has sparked questions about the SEC's record-keeping practices, particularly in relation to its crypto enforcement actions. Additionally, the SEC experienced a security breach in January 2024 when its social media account was compromised.
House Republicans Call for SEC Oversight After Gensler's Texts Deleted
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