April 26, 2019

Sen. Warren Questions Presumptive Federal Reserve Nominee Stephen Moore on Financial Ties with Well-Financed Special Interests

Warren "Follow(s) the Money" and Raises Concerns About Moore's Deep Ties to Lobbying and Advocacy Groups Who Do Not Disclose Donors or Clients

Text of Letter (PDF)

Washington, DC - United States Senator Elizabeth Warren (D-Mass.) today sent a letter to Stephen Moore, who President Donald Trump has said he intends to nominate to the Board of Governors of the Federal Reserve System. Senator Warren expresses her concerns regarding Moore's extensive financial ties to well-financed special interests, and the potential effect of these ties on his decisions should he be nominated and approved as a Governor of the Federal Reserve. She questions whether Moore will make policy based on the interests of the American people, or on those of corporate advocacy and lobbying groups that have employed Moore for much of his career.

"Your deep ties to lobbying and advocacy organizations raise serious concerns about the Federal Reserve's independence from special interests, and your propensity to act only in the public interest, if you are confirmed," wrote Senator Warren. "Many of these influence-peddling groups with which you have affiliated keep their donors and clients secret while aggressively advocating for federal policies that would benefit them."

In a blog post late last year, Moore wrote that, "The first iron rule of American politics is: Follow the money. This explains, oh, about 80 percent of what goes on in Washington." In her letter, Senator Warren raised concerns about Moore's own deep ties to lobbying and advocacy organizations, including:

  • Club for Growth: In 2005, the Federal Election Commission (FEC) found that, while Moore was president of the Club for Growth, it violated multiple federal laws by knowingly accepting illegal contributions, making illegal political expenditures, and failing to register as a political committee despite its explicit intent to help elect Republicans. Additionally, while the Club for Growth does not publicly disclose its donors, many that have been reported appear to come from the fossil fuel and financial services sectors - industries that would be among the first to benefit from the group's hardline opposition to addressing climate change, taxes on corporations and wealthy shareholders, and regulations designed to protect consumers.
  • The Heritage Foundation: Moore has spent a significant portion of his career at The Heritage Foundation, which has pledged to represent the interests of its donors, but has not disclosed them to the public.
  • Political intelligence consultancy: In February 2017, Moore joined the "political intelligence consultancy" 32 Advisors where he reportedly advises "Wall Street banks, hedge fund managers, (and) investors" - all of which clearly have a strong interest in the Federal Reserve's policies.

Senator Warren asked for information on Moore's ties to these special interest groups and any potential conflicts of interest, or appearances of conflicts of interest that they could create if he is confirmed. She requests answers by May 10, 2019.

This is Senator Warren's second letter to Moore about his potential nomination to the Federal Reserve Board of Governors. On April 12, she wrote to Moore questioning his qualifications for the job given his history of making wildly inaccurate, inconsistent claims about economic policy.