Regulator in IndyMac case gets reassigned

[DogPoundPup]

Source: Yahoo

WASHINGTON (AP) -- A key senator on Monday questioned regulators' approval of a backdated cash infusion for IndyMac, a big thrift that failed in July and cost the federal insurance fund for banks nearly $9 billion.

The official at the Office of Thrift Supervision who approved the action has been reassigned within the Treasury Department agency that oversees savings and loans.

Sen. Charles Grassley of Iowa, the senior Republican on the Senate Finance Committee, said the "backdating" to March 31 of the $18 million capital injection into IndyMac by its parent company was done in May so the bank could meet first-quarter government requirements for reserves held against possible losses.

Its approval by the Office of Thrift Supervision raises concerns about the agency's role as an overseer, Grassley said in a statement.

Read more: http://finance.yahoo.com/news/Regulator-in-IndyMac-case-apf-13900712.html

[dixiegrrrrl]

1. Grassley asked, "What does that mean about the real financial condition of other banks?"

And Dochow was part of the Keating 5 bank failures !

"Dochow was the top supervisory official at the agency in the late 1980s, during the savings and loan crisis. He was demoted in March 1990 and transferred to the OTS office in Indianapolis, but later rose through the agency again to become the head of the Western region -- where numerous large thrifts were located."


Nothing seems to be true about our current fnancial stability.