Tom Emmer Slams Gary Gensler, Calls Him “Worst SEC Chair in History” Amid Text Scandal

Republican House Majority Whip Tom Emmer has sharply criticized former SEC Chair Gary Gensler, claiming he could be remembered as the most ineffective leader in the agency’s history.

The remarks follow a recent report from the SEC’s Office of Inspector General (OIG), which revealed that a year’s worth of text messages from Gensler’s government-issued phone were lost. The deleted communications reportedly included records tied to enforcement decisions and crypto-related cases, raising serious transparency concerns.

According to the OIG, the data loss stemmed from a series of failures, including poor change management, inadequate backup protocols, and ignored alerts, compounded by vendor software issues. Although some 1,500 messages were eventually recovered, nearly 40% of them contained discussions on high-profile enforcement actions, including lawsuits against digital asset platforms.

Emmer argued that the revelations suggest Gensler was operating with little accountability, undermining the SEC’s stated goal of maintaining openness. He said the controversy reflects a broader pattern of questionable behavior within the Biden administration, while contrasting it with the current leadership’s promise to “reverse the damage” of the last four years.

Adding to the criticism are allegations of double standards. While Gensler’s messages went missing between October 2022 and September 2023, the SEC simultaneously penalized major banks and financial firms for their own failures to properly record and store communications. Institutions such as Barclays, Bank of America, Citigroup, Goldman Sachs, and Morgan Stanley were fined for violating record-keeping rules — a stark contradiction to the SEC’s internal lapses.

For Emmer and other pro-crypto lawmakers, the episode underscores not just failures in record-keeping, but also broader concerns about the SEC’s handling of digital asset regulation under Gensler’s tenure.