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That revolving door spins one more time.

Submitted by Roanman on Sat, 01/14/2012 - 07:26


From Rolling Stone Magazine and Matt Taibbi where/whom the photo and excerpt below were taken and The Wall Street Journal, here's a prime example of the rotted stench that is our government and the people we employ at the top.

The photo below is that of Walter Lukken, who having done such a masterful job regulating the commodities futures trading industry as acting Chairman of the CFTC (The U.S. Commodity Futures Trading Commision) has been made head of the Futures Trading Association, that industry's government Lobby.

Click the gears above for the two stories.

As you would expect, being a magazine piece, Taibbi's is the better read as it offers more background including the now legendary Billy Tauzin example of this practice, although one need always be mindful of Rolling Stones Magazine's propensity for confusing reporting with editorializing.

Recommended anyway.


Revolving Door: From Top Futures Regulator to Top Futures Lobbyist



While America focused on New Hampshire, a classic example of revolving-door politics took place in Washington, going almost completely unnoticed.


In this case, the hire involves Walter Lukken, who toward the end of the Bush years was the acting head of the Commodity Futures Trading Commission. As the chief regulator of the commodities markets, it was Lukken’s job to spot and combat speculative abuses and manipulations that might have led to artificial price hikes and other disruptions.

In 2008, the last full year of his tenure, Lukken presided over some of the worst chaos in the commodities markets in recent history, with major disruptions in the markets for food products like wheat, cotton, soybeans, and rice, and energy commodities like oil.


The best line in The Wall Street Journal piece reads as follows.

When Mr. Lukken headed the CFTC, he backed a more flexible, "principles-based" approach to regulation, different from what was seen as the prescriptive and "rule-based" methods employed by the Securities and Exchange Commission, which polices stock markets.