SEC watchdog will investigate Goldman charges, after House Republicans questioned timing

SEC watchdog to investigate timing of Goldman suit

WASHINGTON — The Securities and Exchange Commission’s internal watchdog said Friday he is heeding Republican calls to investigate the timing of the charges against Goldman Sachs.

SEC Inspector General David Kotz said he needs to understand what led to the SEC’s decision to announce the case when it did and “see if there was any undue influence involved.”

He was responding to a letter from Republican members on the House Committee on Oversight and Government Reform that suggests SEC employees might have leaked information to influence debate in Congress on financial regulation.

The lawmakers question the timing of disclosures about the agency’s actions and suggest officials may have disclosed their plans before they became public.

An SEC spokesman denied that there was anything improper about the charges.

“We’ve made clear we don’t coordinate our enforcement actions with political organizations and look forward to cooperating with the inspector general’s investigation,” spokesman John Nester said in a statement.

Kotz spoke on Fox News on Friday.