ICYMI Jeffrey MacIntosh: Conflict at the OSC — Why the regulator needs to make room for dissent
on June 25 that relayed many pious and unflattering incantations related to Zordel’s allegedly questionable behaviour in her previous incarnation as a part-time commissioner at the OSC. Two former part-time commissioners who served with Zordel — Lorie Haber and Craig Hayman — were said to have resigned in protest of her appointment. Readers learned that five of eight part-time commissioners opposed the renewal of Zordel’s place among their ranks.
This is indeed a truly extraordinary statistic, but not for the reason put forward by her critics. As one who has taught securities regulation for several decades, I know very well there is scarcely a square inch of the securities regulatory terrain that is not fraught with conflicting policies and textual ambiguities that create a rich potential for disagreement. The virtual absence of dissent in OSC decisions raises a troubling question about the intellectual vitality of the institution.
The critical issue is not whether one agrees or disagrees with Zordel’s views on this or that. Rather, the central issue is the health and vitality of our securities regulatory apparatus. As a general matter, intellectual progress is born not of stasis, but of the dialectical opposition of competing ideas. This is the very essence, for example, of Socrates’ truth-seeking heuristics .
The Globe story quotes a number of respected sources who asserted that Zordel is soft on investor protection. This criticism is typically uttered as if we all share a common view of what we mean by “investor protection,” and that you’re either for it or against it. This is just plain silly.Article content