Thermodynamics and Regulating the Financial Regulators

It is commonly assumed that the government will regulate Wall Street.  But who will regulate the regulators?  To have any chance of success the G-Men have to be magically more virtuous than those of us in the private sector. Yet the reason most people go into government is that they are incompetents yearning for virtually total job security.  Does that sound like a recipe for trueness of character?   Thermodynamics says there is no informational free lunch and it applies here.