Craig Stobo has resigned as Financial Markets Authority chairman, having voiced too many political views for someone in an apolitical public sector role.

King’s Counsel Wendy Aldred led an investigation into Stobo after concerns were raised about him with Commerce and Consumer Affairs Minister at the time, Scott Simpson.

Stobo agreed to temporarily stand down from the role in December.

The new Commerce and Consumer Affairs Minister Cameron Brewer today announced Stobo had resigned.

“Aspects of Mr Stobo’s public commentary did not meet the standards of political neutrality expected of the chair of an independent Crown entity and financial markets regulator,” Brewer said.

Last year he was criticised by Green Party co-leader Marama Davidson for making a personal submission to Parliament in support of Act’s controversial Treaty Principles Bill.

Aldred noted Stobo’s comments contradicted the FMA’s board-approved Māori strategy and said his conduct fell well below the expectations of a Crown entity board member.

She pulled Stobo up for questioning, in an external forum, whether there needed to be a mandatory Climate Related Disclosures regime without discussing this with the FMA board first. The FMA oversees this regime.

Aldred described commentary he made in the media on various political and economic matters as being “laudatory” of the current government.

Brewer said Stobo’s resignation was appropriate.

“The FMA’s primary role is promoting and facilitating the development of fair, efficient and transparent financial markets in New Zealand,” he said.

“Confidence in the independence and integrity of the regulator, and in its leadership, is fundamental.”

Steven Bardy will continue as the FMA’s acting chairman while a process is undertaken to appoint someone permanently.

Last year, Stobo also stood down from his role as chairman of the Local Government Funding Agency.

The Herald is enquiring whether Stobo will resume chairing the agency, which issues debt on behalf of local councils.

More to come ...

Jenée Tibshraeny is the Herald’s Wellington business editor, based in the parliamentary press gallery. She specialises in government and Reserve Bank policymaking, economics and banking.