President Donald Trump's nominee for the No. 2 spot at the Federal Emergency Management Agency withdrew from consideration on Wednesday after NBC News raised questions about a federal investigation that found he had falsified government travel and timekeeping records when he served in the Bush administration in 2005, NBC News reported.
The former nominee, Daniel A. Craig, came under scrutiny by the Inspector General in 2011 for allegedly exploiting his position as FEMA’s director of recovery for personal gain. At the time, the agency was giving $100 million contracts to private firms for temporary housing of Katrina victims, and a 2011 report that has never been made public said that Craig was seeking employment with those firms.
The investigation, jointly conducted by the FBI and the Department of Homeland Security’s Office of Inspector General, concluded there was insufficient evidence that Craig had violated conflict-of-interest laws in the awarding of huge FEMA contracts in the aftermath of Hurricane Katrina, according to the report.
"Given the distraction this will cause the Agency in a time when they cannot afford to lose focus, I have withdrawn from my nomination," Craig, said in an email to NBC News.