This is a phenomenon that is common to many democratic nations. It is called “capture”. Industry regulators and whole departments become captured by the industry that they are supposed to control. Possibly it happens mostly because administrations think it wise to appoint directors from eminent persons within the industry.

Thus doctors come to control health; teachers, education; broadcasters the media; ex military and contractors, defense, etc. Lawyers are deemed to be capable in every area of policy, whether they have any experience or not. Naturally these people are still loyal to their profession and former colleagues, and will probably return there some day, so they feather their nests

A funny UK TV show called “Yes Minister” satirized this very effectively.