Multiple investigations and last-minute political donations related to Sec. Ashcroft’s controversial hire are cause for concern, Democratic Chairman says
JEFFERSON CITY, Mo. – Missouri Democratic Party Chairman Stephen Webber today called into question Secretary of State Jay Ashcroft’s handpicked hire for Missouri Securities Commissioner, David Minnick, a person steeped in controversy involving multiple investigations of the company he led, including an ongoing investigation by the Missouri Secretary of State’s securities division.
“Despite both state and federal investigations of the company Mr. Minnick was leading, Secretary Ashcroft seems content with looking the other way after pocketing $1,750 in political contributions from Minnick’s family,” said Stephen Webber, Missouri Democratic Party Chairman. “Secretary Ashcroft should withdraw this appointment immediately and institute a strict policy against appointing individuals with clear conflicts of interest before the people’s trust in his office is eroded any further.”
According to a 2011 report in the St. Louis Post-Dispatch, the federal Securities and Exchange Commission filed suit in federal court against Stifel Nicolaus and Co. for allegedly defrauding five Wisconsin school districts in 2006. During this time, Minnick was serving as the company’s general counsel and senior vice president.
Late last week, the Kansas City Star reported that during Minnick’s time at Stifel Financial Corp., the company was investigated multiple times by the Missouri Secretary of State’s Office and is currently under investigation by the division. The Secretary of State’s investigative division is the same division that Minnick will now lead as Commissioner of Securities.
In the Dec. 7, 2016 press release from then-Secretary of State-Elect Ashcroft, Minnick’s ties to Stifel Financial were not included, despite his decade-plus career with the company.
Disclosures filed with the Missouri Ethics Commission show a total of $1,750 in political contributions made to Ashcroft for Missouri through David Minnick’s wife, Nancy, including two donations a month before the election.
According to the Missouri Secretary of State’s website, ‘the enforcement unit of the Securities Division of the Secretary of State receives and investigates complaints from Missouri investors. These investigations involve alleged violations of the registration and antifraud provisions of the securities law. Each year the staff receives more than 300 complaints from investors.’
