An independent review is needed after Bloomberg‘s admission that its reporters had access to some proprietary client information on its data terminals, former SEC Chairman Harvey Pitt told CNBC on Monday.
Matthew Belvedere, a producer for CNBC’s “Squawk Box,” writes, “The admission indicates an oversight failure at the company, said Pitt, who was chairman of the Securities and Exchange Commission under President George W. Bush.
“‘All we know is what the people who put all of this terrible activity in place are now telling us,’ Pitt said in a ‘Squawk Box‘ interview. ‘We just have Bloomberg’s denials. And at this point, those aren’t very credible.'”
Belvedere later writes, “Bart Chilton, commissioner at the Commodities Futures Trading Commission, told CNBC, ‘There’s something of a void here in that there is no regulator that really looks after new information providers.’
“But he said that the CFTC plans to pass a rule later this week that could allow the agency an oversight role.”
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