Senate Dems Call For House Office Of Congressional Ethics To Investigate Rep. Price’s Stock Trades – Senators Demand Answers To Serious Questions Raised By Wall Street Journal & CQ Reports Before Nomination For HHS Secretary Moves Forward

WASHINGTON, D.C. – U.S. Senate Democratic Leader Charles E. Schumer, Senator Patty Murray, Ranking Member of the Senate Committee on Health, Education, Labor & Pensions, and Senator Ron Wyden, Ranking Member of the Senate Committee on Finance, today called on the House Office of Congressional Ethics (OCE) to investigate Representative Tom Price’s, President-elect Trump’s pick for Health and Human Services (HHS) Secretary, stock trades as a member of Congress. According to the Wall Street Journal and CQ, over the last four years, Price has reportedly traded more than $300,000 in shares of roughly 40 healthcare companies while simultaneously pushing and advocating for legislation in Congress that could impact those companies’ stock prices. Senate Democrats demanded answers to questions on Rep. Price’s stock trading as a part of the vetting process for his nomination to Secretary of HHS – and urged that his nomination not move forward until they are adequately answered. These requests follow a new letter released today by government watchdog Public Citizen calling for an investigation by the OCE and the Securities and Exchange Commission (SEC).

“These reports that Congressman Price traded hundreds of thousands of dollars in health-related stock while, as a senior member of Congress, advocating for legislation that impacted those very companies’ stock prices should shock and appall every American. That’s why Senate Democrats today are calling on the House Office of Congressional Ethics – the very office Republicans moved to gut behind closed doors as their first order of business in the new Congress – to investigate Price for these potentially serious violations. In the spirit of ‘draining the swamp,’ we need to ensure that our nominees for top cabinet posts prioritize the welfare of all Americans over their own financial gain,” said Leader Chuck Schumer.

“When you serve in the United States government—whether you are a Congressman, a Senator, a Cabinet Secretary, or the President of the United States—you are there to serve the people, not yourself,” said Senator Patty Murray. “I hope that partisan politics don’t keep Republicans from insisting on a thorough investigation of Congressman Price’s financial investments. And I urge them to work with us to ensure that we have all the facts in front of us and that they are fully reviewed before his nomination advances.” 

“If you are not a public official, making smart investments is just that – smart. But if you are a public official, you have to be sensitive to appearances of conflicts of interest. And if you used your position as an official to get inside information, that could be a serious ethical breach. In this instance, there are reports about Congressman Tom Price that warrant a close look, particularly with regard to investments in industries he will directly regulate if he is confirmed to lead the Department of Health and Human Services. There’s enough here that if you’re serious about oversight, you can’t simply say it’s a coincidence and move on. It’s paramount that these questions are answered and the American public is assured that no one has abused their official position for personal profit,” said Senator Ron Wyden.

“These are very serious questions and the American people deserve answers,” said Senator Sherrod Brown. “People need to have confidence that our top cabinet officials are focused on serving American families, not boosting their own stock portfolios.”

According to the Wall Street Journal and CQ reports, Price traded stocks from dozens of health-care, pharmaceutical and biomedical companies since 2012. In August of 2016, Price reportedly made his single largest stock buy, purchasing between $50,000 and $100,000 of an Australian biomedical firm. Since then, the company’s stock has more than doubled. However, during this time, Price has also continued serving as chair of the House Budget Committee, which plays a significant role in shaping health legislation. The Senators said this means President-elect Trump’s pick for HHS Secretary traded hundreds of thousands of dollars in health-related stock while, as a senior member of Congress, introducing federal legislation that could impact those very companies’ stock prices. Price reportedly sponsored nine pieces of health-related bills and co-sponsored 35 during this time.

Schumer, Murray and Wyden are calling on the OCE to investigate whether Price violated the Stop Trading on Congressional Knowledge (STOCK) Act, which prohibits members of Congress and their employees from trading for personal benefit with the aid of any non-public information derived from the individual’s position. The Senators said these recent media reports have raised serious concerns and questions about Price’s share trading while simultaneously advocating for federal legislation that would impact those healthcare companies’ stock prices.

Moreover, these reports came out just days before Republicans met behind closed doors and unsuccessfully attempted to gut the OCE itself as a part of their first order of business in the new Congress. The Senators said it is no coincidence that, just as hearings for President-elect Trump’s cabinet nominations – like Price – were set to begin, the House Republicans moved first and foremost to try and destroy the independent Ethics committee tasked with looking at potential violations like that of Rep. Price.

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