The American Bankers Association and the Bank Policy Institute jointly backed the FDIC’s proposed new independent Office of Supervisory Appeals in a letter to the agency today. The FDIC’s proposal would replace its existing Supervision Appeals Review Committee, which ABA and BPI called a “seldom-used formal appeals process that is in need of refinement.”
The letter outlines both support and suggestions to enhance this new office. Among other things, the letter argues for a fair and balanced hiring process, structural independence from the FDIC Board, a more favorable standard of review for bank appeals, and authorization for a bank’s management to initiate an appeal instead of a bank’s board of directors.
“If finalized, these welcome changes would bolster the banking industry’s confidence in the intra-agency appeals process,” the groups wrote.