FDIC Chair Appointed By President Trump Resigns Amid Democratic “Hostile Takeover”

The FDIC Chairman appointed by President Trump has resigned her position in a letter sent to President Biden on Friday. Jelena McWilliams recently warned of a “hostile takeover” of the agency by Democrats.

An immigrant from Serbia, McWilliams said in her letter that when she came to America 30 years ago, she believed firmly in the American system of government. Before administering the FDIC, she worked in law, finance, and banking regulation.

In her letter, she said that during her time at the FDIC, the U.S. Senate, and the Federal Reserve Board of Governors, she developed a “deep appreciation” for the traditions and integrity of those institutions.

McWilliams went on to say that during her time as Chair, the FDIC has focused on instilling confidence in the American banking system as its primary function. She said that the agency also promoted innovation and transparency. She hailed the creation of the Mission-Driven Bank Fund to support smaller community banks and minority financial institutions.

McWilliams’ resignation will be effective February 4, concluding her time as Chair that began with her nomination by President Trump in 2018. She did not give a specific reason for her decision to resign in her letter to Biden.

Her comments about the hostile takeover of the FDIC came in an op-ed she wrote last month for the Wall Street Journal about the Democratic Party’s activities about the agency. She wrote that of the 20 previous chairs of the FDIC, nine served with a board made up of a majority of members from the opposing political party. That included her immediate predecessor during the first part of the Trump administration. She said that there has never been a board before that has attempted to “circumvent the chairman to pursue their agenda.”

McWilliams said that her conflict with the board was not about bank mergers, and if it were, there would have been an opportunity to work together as a board with FDIC staff. Instead, she said the Democrats preferred to take over all of the agency’s internal processes, agendas, and staffing.