Jordan Advances Oversight of FTC with Ethics Inquiry and Transcribed Interviews
June 28, 2023
WASHINGTON, D.C. – Today, Chairman Jim Jordan (R-OH) sent two letters to Federal Trade Commission (FTC) Chair Lina Khan advancing the House Judiciary Committee's oversight of the out-of-control agency.
In a letter, co-signed by House Committee on Energy and Commerce Chair Cathy McMorris Rodgers (R-WA), the Committees raise concerns about Khan's adherence to federal ethics guidance and whether she misled Congress about following ethics advice from the FTC's Designated Agency Ethics Official (DAEO).
On April 18, 2023, Khan testified before an Energy and Commerce subcommittee hearing regarding the Federal Trade Commission’s (FTC) budget. At that hearing, Chair Rodgers asked Khan: “Are there any instances where you’ve not followed the DAEO’s advice?” After pausing for a few seconds, Khan responded, “no,” and then attempted to explain her response by stating, “I have consulted with the DAEO and have taken actions that are consistent with the legal statements the DAEO has made.”
On June 16, 2023, a journalist published a nonpartisan ethics memorandum, dated August 31, 2022, and written by the FTC’s DAEO, analyzing Khan's ability to sit as a judge in a specific proceeding before the FTC. According to the ethics memorandum, the DAEO “recommend[ed] Chair Khan recuse to avoid an appearance of partiality concern pursuant” to federal ethics regulations. The relevant ethics regulations specify that even if there is no per se conflict of interest, “where the employee determines that the circumstances would cause a reasonable person with knowledge of the relevant facts to question his impartiality in the matter, the employee should not participate in the matter . . . .” The DAEO concluded that a reasonable person would question Khan's partiality in the matter at hand, noting her “strong reservations with Chair Khan participating as an adjudicator in this proceeding.”
The recent disclosure of the DAEO’s memorandum suggests that Khan's response to Chair Rodgers during the recent subcommittee hearing omitted an important recommendation by the DAEO and raises serious questions about her commitment to the fair and impartial administration of the FTC’s authorities.
In another letter, Chairman Jordan requested transcribed interviews of several FTC employees to advance the Committee's oversight and inform legislative reforms to the Commission. The employees include:
In a letter, co-signed by House Committee on Energy and Commerce Chair Cathy McMorris Rodgers (R-WA), the Committees raise concerns about Khan's adherence to federal ethics guidance and whether she misled Congress about following ethics advice from the FTC's Designated Agency Ethics Official (DAEO).
On April 18, 2023, Khan testified before an Energy and Commerce subcommittee hearing regarding the Federal Trade Commission’s (FTC) budget. At that hearing, Chair Rodgers asked Khan: “Are there any instances where you’ve not followed the DAEO’s advice?” After pausing for a few seconds, Khan responded, “no,” and then attempted to explain her response by stating, “I have consulted with the DAEO and have taken actions that are consistent with the legal statements the DAEO has made.”
On June 16, 2023, a journalist published a nonpartisan ethics memorandum, dated August 31, 2022, and written by the FTC’s DAEO, analyzing Khan's ability to sit as a judge in a specific proceeding before the FTC. According to the ethics memorandum, the DAEO “recommend[ed] Chair Khan recuse to avoid an appearance of partiality concern pursuant” to federal ethics regulations. The relevant ethics regulations specify that even if there is no per se conflict of interest, “where the employee determines that the circumstances would cause a reasonable person with knowledge of the relevant facts to question his impartiality in the matter, the employee should not participate in the matter . . . .” The DAEO concluded that a reasonable person would question Khan's partiality in the matter at hand, noting her “strong reservations with Chair Khan participating as an adjudicator in this proceeding.”
The recent disclosure of the DAEO’s memorandum suggests that Khan's response to Chair Rodgers during the recent subcommittee hearing omitted an important recommendation by the DAEO and raises serious questions about her commitment to the fair and impartial administration of the FTC’s authorities.
In another letter, Chairman Jordan requested transcribed interviews of several FTC employees to advance the Committee's oversight and inform legislative reforms to the Commission. The employees include:
- Mr. Stephen Mohr, Assistant Director, Mergers I;
- Mr. Jordan Andrew, Deputy Assistant Director, Mergers I;
- Mr. James Weiss, Deputy Assistant Director, Mergers I;
- Ms. Sarah Wohl, Deputy Assistant Director, Mergers I;
- Mr. Peggy Bayer Femenella, Assistant Director, Mergers II;
- Mr. James Abell, Deputy Assistant Director, Mergers II;
- Mr. Joshua Goodman, Deputy Assistant Director, Mergers II;
- Mr. Peter Richman, Assistant Director, Mergers III;
- Ms. Jessica Drake, Deputy Assistant Director, Mergers III;
- Mr. Brian Telpner, Deputy Assistant Director, Mergers III;
- Mr. Mark Seidman, Assistant Director, Mergers IV;
- Mr. Rohan Pai, Deputy Assistant Director, Mergers IV;
- Mr. Stephen Rodger, Deputy Assistant Director, Mergers IV;
- Ms. Tara Isa Koslov, Deputy Director, Bureau of Competition;
- Ms. Patricia Galvan, Assistant Director, Technology Enforcement Division;
- Ms. Krisha Cerilli, Deputy Assistant Director, Technology Enforcement Division;
- Ms. Jeanne Bumpus, Director, Office of Congressional Relations;
- Ms. Kim Vandecar, Congressional Specialist, Office of Congressional Relations;
- Ms. Robin Moore, Office of the General Counsel;
- Ms. Elizabeth Tucci, Deputy General Counsel for Legal Counsel, Office of the General Counsel;
- Ms. Lorielle Pankey, Associate General Counsel for Ethics, Office of the General Counsel;
- Ms. April Tabor, Secretary of the Commission; and
- Mr. James Kohm, Associate Director, Division of Enforcement.
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