President BidenJoe BidenFighter escorts plane that entered restricted airspace at UN rally Julian Castro hits out at Biden administration over refugee policy FBI investigates alleged assault on soldier from Fort Bliss in an Afghan refugee camp MOREChoosing to head a powerful banking regulator will certainly spark a partisan battle in the Senate.

Biden announced Thursday that he would appoint Cornell University law professor Saule Omarova to head the Office of the Comptroller of the Currency (OCC), appealing to a fierce critic of big banks for a position with broad power. on the industry.

Omarova argued that the big banks have failed to meet the needs of the wider public and that the Federal Reserve should replace private companies in consumer banking services.

In an article published last year, she proposed “a series of structural reforms that would radically redefine the role of a central bank” and “fundamentally change the operations and systemic footprints of private banks, funds, commodity brokers. derivatives and other financial institutions “. She also expressed deep doubts about the benefits of cryptocurrencies amid their growing importance.

While many of Omarova’s transformative ideas would require legislation or the involvement of other agencies, liberal Democrats and financial industry skeptics are eager for her to tighten screws on big banks and reverse the era’s regulatory setbacks. Trump.

“They are not there to make life easier for the banks,” said Gregg Gelzinis, senior policy analyst at the OCC’s Liberal Center for American Progress.

“They are there to uphold the law and ensure that the banking system is safe and sound and provides the financial services that businesses and households need to thrive,” he added.

Omarova’s supporters also touted the revolutionary nature of her appointment, as she would be the first woman and the first person of color to lead the OCC as a full-time controller.

“The appointment of Saule Omarova as head of the OCC is excellent news,” said the senator. Elizabeth warrenElizabeth WarrenTreasury Says More Rent Aid Reaches Tenants, Stopping Evictions 11 Senators Urge House To Pass .5T Package Before Infrastructure Bill (D-Mass.), One of many leading progressives to endorse Biden’s choice. “She is an excellent choice to oversee and regulate the operations of our country’s largest banks and I have no doubt that she will be a fearless champion for consumers.”

But Omarova’s controversial positions have drawn an intense backlash from Republican lawmakers, meaning she will likely need the unanimous support of Democrats to be confirmed in an equally divided Senate.

Senator Pat ToomeyPatrick (Pat) Joseph Toomey Black Women Seek To Build On Gains In Upcoming Election Watch Live: GOP Senators Introduce New Infrastructure Proposal Sasse Rebuilt By Nebraska Republican Party For Impeachment Vote MORE (Pennsylvania), a senior Republican on the Senate Banking Committee, said Thursday he had “serious reservations” about Omarova’s appointment given his support for “far-left ideas.”

While Toomey is among the more conservative members of the Republican Conference, his views are widely shared by GOP senators and may alienate some moderate Democrats.

Bank lobbyists are also rallying to defeat her nomination, raising concerns about the impact of Omarova’s “radical” views as the industry faces increasing competition.

Rebeca Romero Rainey, president and CEO of the Independent Community Bankers of America (ICBA), expressed fears that Omarova “will displace local community banking services and restrict the economic growth of local communities.”

“Given these and other policy prescriptions, the ICBA has questions about Omarova’s ability to objectively oversee the national banking system and looks forward to working with policymakers as Congress approaches her appointment,” he said. Rainey said in a statement Thursday.

Omarova has been a professor of law since 2007, joining Cornell and serving as director of its financial institutions and markets law program after stints at the University of North Carolina at Chapel Hill and Georgetown University.

She also practiced law with Davis Polk & Wardwell, a law firm owned by a group of leading financial institutions, and was special advisor to Randal Quarles, now vice president of oversight of the Reserve federal, when he was the former treasurer of President George W. Bush under secretary of internal finances. Quarles has spearheaded several efforts to streamline and loosen Fed regulations, in stark contrast to the views Omarova has advanced after working together.

“Willow Omarova has spent her career working with Republicans and Democrats on systemic financial stability issues and is well versed in new financial technologies,” the senator said. Sherrod BrownSherrod Campbell Brown Biden Calls on Big Bank Skeptical for Senior Regulatory Position Schumer Announces Senate-House Agreement on Tax “Framework” for .5T Package Senate Democrats seek information from PSPCs, questioning “incentives misaligned »MORE (D-Ohio), chairman of the Senate Banking Committee, in a statement Thursday.

“Her experience as a policymaker, in the private sector and in academia will allow her to work with stakeholders in our financial system to ensure that the economy works for everyone and to protect our economic recovery from risky activities. of Wall Street and other bad actors, ”he added.

While Brown has pointed out Omarova’s bipartisan experience, it is unmistakably aligned with Biden’s past fiercely progressive financial regulatory contenders, including the chairman of the Securities and Exchange Commission. Gary GenslerGary Gensler Laws that deter companies from going public are costing our economy dearly Overnight On The Money – Presented by Wells Fargo – GOP Senator: It ‘s “insane” to buy Treasuries Gensler compares the market to the cryptocurrency, regulations in the “Wild West” MORE and Rohit ChopraRohit ChopraSenate Advances Biden Consumer Bureau Choice After Overnight Hillicon Valley Panel Deadlock – Apple Releases Spyware Vulnerability Security Update Privacy Advocate To Be Named For Federal Trade Seat PLUS Commission, which Biden asked to head the Office of Consumer Financial Protection.

Like Gensler and Chopra, who have pledged to tighten regulations and crack down on them when violated, Omarova would bring a clear break from her Trump-era predecessors.

Former Comptroller of the Currency Joseph Otting, a former banker, focused on streamlining regulation during his time at the OCC and viewed banks as “clients” of the agency. His successor, former Acting Controller Brian Brooks, granted national banking charters to three cryptocurrency trading and custody companies, a major victory for the emerging industry as it faces intense skepticism at Washington, DC

“It is not only important in my opinion to prepare the damage caused over the last four years to the financial regulatory framework,” said Gelzinis. “We will also need to meet the present moment on these new and emerging risks, and tackling emerging risks has been at the forefront of its stock market.”

Even so, it remains unclear whether moderate Democrats will be willing to ignore some of Omarova’s sweeping proposals as they contemplate her nomination. A single Democratic dissent could derail her chances, giving Omarova’s opponents a low bar to overcome to defeat her nomination.

“We believe the fighting over Omarova will begin immediately,” said Ian Katz, director of the research consultancy at Washington Capital Alpha Partners.

“Republicans will see her as beyond pallor for this job, and we suspect that more quietly a small number of Democrats will agree,” Katz added.