Richmond Federal Reserve President Jeffrey Lacker finds himself embroiled in a scandal after admitting to being the source of a “leak” to Medley Global Advisors back in 2012.
Lacker said he helped to provide information to Medley, which used the intelligence to craft a report about the U.S. central bank’s strategy five years ago, when the Fed was conducting a round of third-quarter asset purchases to help bolster the economy. Lacker resigned on Tuesday.
Read: Richmond Fed president quits after disclosing he leaked sensitive information
But to many inside and outside Wall Street, another question may be, who is Medley Global Advisors?
Here’s how a spokesman answered a question when asked about Lacker’s resignation: “Medley Global Advisors is a journalistic organization that publishes in-depth macro policy coverage and analysis. Like all other journalistic organizations, reporting necessarily requires working with sources.”
Here’s more on Medley:
- Medley Global Advisors was founded in New York back in 1997 by Richard Medley, former chief political strategist to billionaire George Soros. Medley, who was a speechwriter for vice presidential candidate Geraldine Ferraro, died in 2011 at 60. He sold Medley Global in 2005
- Medley Global was acquired by the Financial Times in 2010 for an undisclosed sum. The FT is now owned by Nikkei Inc., which bought the financial publication in 2015
- Medley is described by some as an “expert network,” which are firms that provide research, analysis and information, to hedge funds, asset managers and other investors for a fee
- So-called expert networks had come into sharp focus about six years ago related to a series of insider-trading cases tied to Raj Rajaratnam, the Sri Lankan founder of Galleon Group, who was sentenced to 11 years in prison back in 2011
- Earlier reports indicate that Regina Schleiger, a senior managing director at Medley, spoke to Lacker