WASHINGTON – A hearing about oversight of the U.S. financial system devolved into insults several times Wednesday as Treasury Secretary Scott Bessent clashed with Democratic lawmakers over fiscal policy, the business dealings of the Trump family and other issues.
Appearances by treasury secretaries on Capitol Hill are more typically known for staid exchanges over economic policy than for political theater, but Wednesday's hearing of the House Financial Services Committee hearing featured several fiery exchanges between the Republican Cabinet member and Democrats, with Bessent even lobbing insults back to the lawmakers.
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Bessent called Rep. Sylvia Garcia “confused” when she questioned how undocumented immigrants could affect housing affordability across the country, prompting the Texas Democrat to snap back, “Don’t be demeaning to me, alright?"
Bessent later mocked a question from Rep. Stephen Lynch, D-Mass., about shuttered investigations into cryptocurrency firms. Lynch expressed frustration with Bessent's interruptions, saying, "Mister Chairman, the answers have to be responsive if we are going to have a serious hearing.”
Bessent replied, “Well, the questions have to be serious.”
After a back-and-forth over whether tariffs cause inflation or one-time price increases for consumers, California Democratic Rep. Maxine Waters asked committee leaders to intervene with Bessent: “Can someone shut him up?”
And in a fiery exchange with Rep. Gregory Meeks over the Abu Dhabi royal family’s investment into the Trump family’s World Liberty Financial cryptocurrency firm last year, the New York Democrat dropped an F-bomb as he shouted at Bessent: “Stop covering for the president! Stop being a flunky!”
The Treasury Department did not immediately respond to a request for comment on the fireworks.
Bessent’s performance was “not a role you typically see a treasury secretary play," said Graham Steele, a former assistant secretary for financial institutions under Biden-era Treasury Secretary Janet Yellen. The department has traditionally “been removed from some of the day-to-day, hand-to-hand political combat,” Steele said in an interview.
He recalled his former boss having tense exchanges over climate change and policy issues with Republican lawmakers during committee hearings, but the exchanges were not personal, he said, noting treasury secretaries have to strike a “delicate balance" of working with the White House while safeguarding the “economic stature” of the country internationally.
In recent months, Bessent has ratcheted up his insults when it comes to Democratic leaders.
He has called California Gov. Gavin Newsom “economically illiterate," compared him to the fictional serial killer Patrick Bateman, and called him “a brontosaurus with a brain the size of a walnut.” He has on several occasions called Massachusetts Sen. Elizabeth Warren an “American Peronist" after she told American financial institutions not to finance the Trump administration's massive support package for Argentina.
Bessent's combativeness is, in part, a sign of the times, said David Lublin, chair of the Department of Government at American University's School of Public Affairs.
“President Trump has shown he likes belligerence and he likes nominees and others who defend him vociferously,” Lublin told The Associated Press.
"It's hard to say that this is unusual for this political environment. What used to be the normal modicum of respect for Congress has frayed to the point of vanishing,” Lublin said.
What was unusual, in Lublin's view, was for Bessent to reveal his thoughts on monetary policy — normally the purview of the Federal Reserve — and his insistence that Trump has the right to interfere with the decision-making of the central bank. “You have a cabinet secretary defending the president's efforts to erode institutions,” Lublin said.
On Thursday, Bessent will get another opportunity to spar with lawmakers. He is scheduled to appear before the Senate Banking, Housing and Urban Affairs Committee on the same topic: the annual report by the Financial Stability Oversight Council, which Bessent leads.