The National Association of Securities Dealers has named Merrill Lynch & Co. Chairman Daniel P. Tully as board chairman.
Tully will lead a search committee to find a successor to chief executive Joseph Hardiman, who is retiring, the NASD said.
Tully was among 21 new directors who joined the revamped NASD in April, and was handpicked by Securities and Exchange Commission Chairman Arthur Levitt. The NASD has been under fire since the U.S. Justice Department and the Securities and Exchange Commission began investigating trading practices on the Nasdaq in 1994.
The NASD has since announced a restructuring to separate its regulatory and market-making functions.