The Draft Report shows that discussions between staff and FDIC Board users in the RAL programs had been uncommon and improper.
Nonetheless, as discussed below, such conversations are anticipated and appropriate. No person in the FDIC Board directed FDIC staff to purchase any banking institutions to discontinue offering RAL items or to simply simply simply take any action which was maybe not sustained by supervisory findings.
The FDIC bylaws established the organizational framework of this FDIC as well as the foundation for communications and workout of authority of both the FDIC Board and its own Officers. The FDIC Board has general duty for handling the FDIC, while day-to-day responsibility for handling the FDIC and supervising its Officers is delegated towards the FDIC Chairman. FDIC Officers have responsibility to help keep the Chairman informed of these actions and also other Board users as appropriate, and additionally they meet this duty through regular briefings associated with the Chairman and updates to many other Board people concerning the activities that are ongoing their companies. Continue reading “Communications Between FDIC Board Customers and Staff Had Been Appropriate”