“The top lawyer of Goldman Sachs Group Inc.’s asset management unit is leaving the bank to become the top aide to U.S. Securities and Exchange Commission Chair Mary Jo White, the agency said Thursday.

“Andrew “Buddy” Donohue returns from Wall Street to the agency where he previously served as head of investment management regulation from 2006 to 2010. His appointment adds an industry veteran to White’s staff as the agency fends off questions from other regulators about whether it’s oversight of the asset management industry is sufficient.”

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“The tendency for senior regulators to move back and forth between Washington and Wall Street has drawn critics, who say it gives the financial industry undo sway over regulation.

“The revolving door and the pernicious outsized influence Wall Street has over elected officials, policy makers and regulators are seriously eroding confidence of the American people in its own government and democracy itself,” Dennis Kelleher, president of Better Markets, a group that argues for stricter regulation, said in a statement. “This hire will only feed that cynicism.”

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Read the full Bloomberg article by Dave Michaels here.