- A DOGE aide, Gavin Kliger, may be violating federal securities laws by holding prohibited assets while dismantling the CFPB.
- Kliger owns up to $365,000 in assets including Tesla, Apple, Bitcoin, and Solana, all of which are on the CFPB’s prohibited holdings list.
- The White House has denied allegations about Kliger’s role in the mass layoffs at CFPB, which have since been reversed.
A top aide from the Department of Government Efficiency (DOGE) faces scrutiny for potentially violating federal securities laws by maintaining substantial cryptocurrency and stock holdings while working to dismantle the Consumer Financial Protection Bureau (CFPB). According to ProPublica’s report, 25-year-old Gavin Kliger publicly disclosed owning up to $365,000 in assets that are explicitly prohibited for CFPB officials.
Kliger’s holdings include up to $250,000 in Tesla stock, $50,000 each in Bitcoin (BTC) and Apple stock, and $15,000 in Solana (SOL). Ethics experts consulted by ProPublica indicate these investments represent potential conflicts of interest, as both Tesla and Apple appear on the CFPB’s prohibited holdings list, while BTC and SOL are forbidden under agency guidance regarding cryptocurrency investments.
Controversial Role in CFPB Layoffs
Kliger reportedly helped orchestrate the attempted layoff of over 1,400 CFPB employees. One employee from the layoff team claimed Kliger was responsible for firing 90% of the agency’s staff this month, while another anonymous CFPB staffer accused him of “screaming at people he did not believe were working fast enough” and keeping employees working for 36 hours straight to execute the layoffs.
An ethics expert from St. Louis Washington University told ProPublica that Kliger “destroying the CFPB is likely to have, I believe, a direct and predictable effect on his financial stock.” This assessment suggests potential legal implications for maintaining investments in companies that could benefit from reduced regulatory oversight.
White House Response and Divestment Timeline
The White House has firmly denied the allegations, calling the narrative about Kliger managing the layoffs “an outright lie” and dismissing the claims as “another attempt to diminish DOGE’s critical mission.” When questioned about Kliger’s potentially problematic investments, a spokesperson stated, “You have 90 days from the start date to divest, which is May 8 — it is only April 28.”
Notably, after legal action by unionized employees, the CFPB has since reversed course and cancelled the termination of the 1,400 staff members. ProPublica indicated that it remains unclear what specific regulation or policy the White House spokesperson was referencing regarding the divestment timeline.
The controversy highlights growing tensions between the Trump administration’s government efficiency initiatives and established federal ethics requirements for government officials overseeing regulatory agencies.
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