Spend some time and read the OCC and the FedRes job descriptions, seriously.
John Dugan, head of OCC
2005 speech:
Dugan recognizes, for example, that the industry is at the top of the credit cycle, and that risks are lurking that both banks and their regulators must stay on top of. “We will be watching–and watching closely–and we will not hesitate to act,” he said in an early speech to bankers.
Dugan believes both banks and regulators learned a great deal from past crises, and he sees a big part of his job being to make sure the industry doesn’t return to a time of widespread failures.
John Dugan comes to the OCC job with credentials as substantial as predecessor Jerry Hawke. He is a repository of a great deal of modern banking history that he not only lived through, but had a hand in shaping.
“I suppose the more risks you have, the more complicated risk management can become,” says Dugan. “But we wouldn’t want to be in a situation where we were ignoring something that could be a substantial risk to institutions.“
Dugan has been knee deep in every banking problems since the S & L, an expert on regulation and operating procedures and a Harvard lawyer. Of course, his solution is to create another federal agency.
The Fed and OCC are in charge of monitoring these things. That is there job.
Interesting thing about the OCC is it gets paid by the banks to regulate. It does not take appropriations from congress.
