Ex-Fed Governor Kugler Violated Trading Rules Ahead of Resignation
Former Federal Reserve Governor Adriana Kugler breached multiple central bank trading regulations prior to her abrupt resignation in August, according to filings from the Office of Government Ethics. Fed Chair Jerome Powell denied Kugler's request for a waiver in July to clear violations tied to individual stock trades and financial transactions during Federal Open Market Committee blackout periods.
The infractions stemmed from her spouse's purchases of Apple (AAPL) and Cava (CAVA) stocks in 2024—a direct violation of Fed policies prohibiting officials and their families from trading individual securities. Kugler claimed the trades were executed without her knowledge and promptly initiated divestiture upon discovery.
The incident follows the Fed's 2022 ban on individual stock, bond, and cryptocurrency trading by officials after similar controversies involving former regional presidents Eric Rosengren and Robert Kaplan. The policy shift underscores mounting scrutiny over financial ethics in central banking circles.