Mr. Gallagher is a partner in the securities department of the law firm Wilmer Cutler Pickering Hale and Dorr.
He previously served as a deputy director of the SEC’s division of trading and markets, and was co-acting director of that division from April 2009 to January 2010.
Tighter rules sought for agencies rating debt
Federal regulators advanced tighter rules Wednesday for agencies that rate the debt of companies and governments.
Credit ratings can affect a company’s ability to raise or borrow money and also influence how much investors pay for securities.
The big three rating agencies — Moody’s, Standard & Poor’s and Fitch Ratings — were criticized for helping fuel the 2008 financial crisis by giving low-risk ratings to high-risk mortgage securities. Those investments later soured when the housing market went bust. Critics say the agencies have conflicts of interest because they are paid by the same companies they rate.
The new rules, which were required under last year’s financial overhaul, would force agencies to provide more details about how they determine each rating. They also would bar the agencies’ sales people from participating in the ratings process, and agencies would be required to review and potentially revise their ratings in cases where an employee was later hired by a company he or she rated.
Minutes: Most want rate hikes before asset sales
Most Federal Reserve officials prefer to raise rock-bottom interest rates before selling assets when the time comes to tighten policy, according to minutes of their April meeting.
The minutes, released Wednesday, showed worries about inflation rising among Fed officials last month before a big surge in oil prices subsided. At the same time, the minutes stressed the April discussion did not indicate the Fed was ready to start tightening policy any time soon.