"Congress and federal regulatory agencies and the courts have created gaps and therefore the state securities regulators had to step up to the plate and fill that void. That's not the kind of thing I want to be doing on a daily basis."
Crawford ac knowledges the financial crisis was the result of many failures, but says state regulators should not be taking the heat. She told a 10-member bipartisan panel that if anything federal officials should follow their examples to target abusive sales practices and restore confidence.
"It is a really a beautiful business model for regulation on the regional level for SEC. It is only in Washington that we've had this problem."
The Financial Crisis Inquiry Commission wants to know more about the role state regulators played in the financial meltdown so they can decide how to better combat fraud.