FDIC Chairman Resigns After Agency Rocked By Workplace Harassment Report

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Martin Gruenberg, the chairman of the Federal Deposit Insurance Corporation (FDIC), announced Monday he would resign following an external probe into workplace harassment and misconduct.

Gruenberg tendered his resignation Monday after the release of the report, according to the New York Post. The report from Cleary, Gottlieb, Steen & Hamilton, LLP cited an alleged rape reported in 2017 at an Arlington, Virginia, hotel owned by the agency, among other allegations of harassment and misconduct from at least 500 people. (RELATED: ‘Do You Also Believe In Bigfoot?’: John Kennedy Grills Head Of Federal Agency Rocked By Sex Scandal)

“In light of recent events, I am prepared to step down from my responsibilities once a successor is confirmed,” Gruenberg said in a Monday statement, according to CNN. “Until that time, I will continue to fulfill my responsibilities as Chairman of the FDIC, including the transformation of the FDIC’s workplace culture.”

The alleged rape was reported to Arlington County Police Department on February 17, 2017, according to a March Daily Caller News Foundation exclusive, which was cited on page 111 of the report.

“FDIC employees at all levels care deeply about and take great pride in its mission of maintaining stability and public confidence in our nation’s financial system,” the report said. “They deserve and demand a workplace free of sexual harassment, discrimination, and interpersonal misconduct. But for too many, they do not have it. Over 500 individuals bravely reported into our hotline, often painfully and emotionally recounting experiences of sexual harassment, discrimination, and other interpersonal misconduct that they have suffered at the FDIC.”

The report detailed numerous incidents of sexual harassment of employees, as well as stalking, homophobic statements, claims that members of “underrepresented groups” were told they were “token” hires and the mocking of an employee with a disability. The report also stated that a “fear of retaliation” prevalent in the agency meant that additional incidents may not have been reported.

Gruenberg received criticism in the report for some of his interactions with employees at the agency.

“A number of FDIC employees, including senior executives, recognized the reputation and also reported instances of Chairman Gruenberg losing his temper and interacting with staff in a demeaning and inappropriate manner,” the report said.

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