The Federal Deposit Insurance Corporation (FDIC) is facing its most important regulatory moment since the 2008 financial crisis, pushing for a sweeping overhaul of how banks are regulated in the wake of last spring’s regional bank crisis.
But a Wall Street Journal report detailing a toxic work environment at the Washington agency has thrown the regulator into turmoil.
FDIC Chair Martin Gruenberg found himself in the hot seat this week, fielding multiple questions about his organization’s culture from members of the Senate Banking Committee and House Financial Services Committee, derailing what was supposed to be a wide-ranging discussion about proper oversight of the banking industry.
