Two Fed presidents should be fired for trading stocks while in office, advocacy groups say
presidents who traded stocks during their terms can continue trading, but they shouldn't keep their jobs at the central bank, advocacy groups said earlier this week.
The presidents have since said they will sell all their individual stock investments by the end of the month, and the Fed has indicatedfor its officials. And some maintain a harsher penalty should be levied. "How can the Fed insist that the financial industry 'raise standards' when its own standards are grossly deficient and enforcement, if any, appears highly questionable?" Kelleher said."It's time for the Fed to do what leaders are supposed to do: Lead by example."
Others say the situation should be handled with more nuance. Rosengren"should immediately resign or be removed from office," Andrew Levin, a professor at Dartmouth College and a former Fed staff member, told the Journal. Kaplan, however,"should take administrative leave" until an external investigation into his trades can be completed.
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