Former GOP chair of FDIC pushed out by Dem ‘hostile takeover’ returns to D.C. with law firm to fight federal regulators

Jelena McWilliams is the former chair of the Federal Deposit Insurance Corporation, an independent organization that ensures all deposits in U.S. banks, but she was compelled to resign that position she was first appointed to in 2018 before the expiration of her term in 2023 by a coordinated Democratic subversion of her leadership.

Now, after essentially being ousted by a “hostile takeover” of the FDIC by Democrats, McWilliams has joined forces with a powerful and prestigious law firm to wage lawfare against the abusive overreach of federal financial regulators, the Conservative Brief reported.

That potentially spells bad news for President Joe Biden and elected Democrats and their efforts to use government regulatory power to interfere with, intimidate, manipulate, and punish financial institutions that don’t fall in line with the ideological left’s agendas and narratives.

Pushed out by a Democratic “hostile takeover”

In December 2021, McWilliams published an op-ed in The Wall Street Journal about the ongoing “hostile takeover” of the FDIC by Democrat-appointed board members who had made covert and overt moves to bypass and undermine her authority and leadership as FDIC chair.

“This episode is an attempt to wrest control from an independent agency’s chairman with a change in the administration. More than that, it’s an example of the erosion of America’s democracy,” she wrote at that time. “Many government institutions are built on norms and practices that encourage parties to work together. This foundation depends on agency leaders who recognize that the long-term benefits of cooperation outweigh the short-term incentive to blow up institutions in pursuit of immediate partisan gains.”

Politico reported that McWilliams had apparently had enough of the concerted efforts to usurp her by Democratic board members and formally announced her resignation on December 31, with an effective date of February 4.

That resignation, unfortunately, allowed one of the Democratic conspirators against her to assume the role as interim chair and also prematurely opened up a position for President Biden to fill with an appointee of his choosing.

Returning to D.C. to fight the regulatory leviathan

However, while progressives cheered the apparent ouster of the Republican FDIC chair appointed by former President Donald Trump, according to Politico, that joy turned out to be short-lived.

A press release last week announced that McWilliams had joined the prestigious law firm of Cravath, Swain & Moore LLP, and would serve as the Managing Partner of a new branch the New York-based firm would open in Washington D.C.

“Building the Washington, D.C. office for a firm as venerable as Cravath — its second U.S. office in over 200 years — is an opportunity of a lifetime,” McWilliams said in the statement. “I am honored to be joining the Cravath partnership at this important moment for the Firm.”

Will provide “creative advice” to counter federal regulators

The release noted that McWilliams, along with two other former top federal regulators who had joined the firm, would “advise Cravath’s clients across a range of sectors, including financial services, fintech and emerging technology, on regulatory, corporate governance and investigation matters, as well as M&A, IPO and other capital markets transactions.”

“Our clients face an increasingly complex and active regulatory environment, and our move today enhances our ability to provide the most creative advice in addressing their most challenging matters,”  Cravath Presiding Partner Faiza J. Saeed said. “With nearly half a century of combined public service, Jelena, Elad and Jennifer will bring exceptional regulatory experience, legal acumen and leadership on critical issues. We are thrilled to welcome them to Cravath.”

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