Press Release

POGO Letter to White House: Don’t Let CEO Feinberg Profit from Role as White House Advisor

WASHINGTON—The Project On Government Oversight POGO today sent a letter to the Office of White House Counsel urging the administration to ensure that Stephen A. Feinberg is subject to conflict-of-interest laws if he is chosen for an advisory role to the President.

Reports indicate the White House is considering Feinberg for a position looking at inefficiencies in defense spending; however, as CEO of Cerberus Capital Management, Mr. Feinberg owns a financial stake in a companies with national security-related contracts, notably Dyncorp International, which could benefit from Mr. Feinberg’s recommendations and actions.

POGO Executive Director Danielle Brian said:

“By making Feinberg a special government employee subject to conflict of interest laws, the American people will be better assured that he won’t be acting in his own private interests.

Unfortunately, the White House already made this mistake by not making billionaire investor Carl Icahn a special government employee when he was appointed as the President’s Special Advisor on Regulatory Reform. Now Icahn operates in an ethical gray zone that will continue to be a lightning rod for critics.

We urge the administration not to repeat this mistake with Mr. Feinberg, which would send a strong signal that this administration only gives lip service to the principle of ethics in government.