Elizabeth Warren Calls for SEC Insider Probe of Navient Trades
The Trump administration decision to end cooperation with the CFPB led to suspicious trading in the student loan company, the senator says.
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The U.S. Securities and Exchange Commission should investigate possible insider trading of shares of student loan company Navient Corp., Senator Elizabeth Warren of Massachusetts and Representative Suzanne Bonamici of Oregon, said Monday in a letter to the agency chairman, Jay Clayton.
The trades occurred just before public disclosure of a letter from the Department of Education to the Consumer Financial Protection Bureau that marked an important shift in Trump administration policy. The change—that the Education Department would no longer share information on the student loan market with the CFPB—was significant enough that it later prompted one analyst to upgrade Navient shares to a “buy” rating.