Pitt's Position As New SEC Chairman Assured

by Carla Johnson, Investors Offshore.com

07 August 2001

Last week, the Senate approved Harvey Pitt's nomination to a six year term as an SEC commissioner, which has effectively guaranteed his position as Chairman of the regulatory body. Mr Pitt, who received President Bush's guarantee earlier this year that he would designate him as chairman if he was confirmed as a commissioner, will be replacing acting chairman Laura S. Unger, who stepped in after Arthur Levitt, who served for the majority of the Clinton administration, left in February.

Mr Pitt made it clear at his confirmation hearing before the Senate Banking Committee last month that he favoured the Republican tradition of easing government regulation. 'I would like to see the SEC lead a review of the requirements it administers, and the regulations it imposes, to be certain that they are sound, reasonable, cost-effective, and that they promote competition,' he told the Committee. However, he added that he would vigilantly enforce rules protecting investors.

Mr Pitt, who was the Securities and Exchange Commission's general counsel between 1975 and 1978 before going into private law practice, seems to be a popular choice among Republicans and garnered warm praise from the chairman of the House Financial Services Committe, Michael Oxley: ' He brings unprecedented expertise to the office of chairman, and I'm certain he will share my desire to promote competition, efficiency and capital formation, and to bring the benefits of technolgy to investors,' he said.

Despite the appointment of the new chairman, there are still two seats on the SEC waiting to be filled by the Bush administration, which will bring the Commission up to its full complement of five.

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