With OCC Reorg, Hsu Takes Agency Back To The Future
Financial Services attorney Travis Nelson was quoted in a Law360 article about the Office of the Comptroller of the Currency’s (OCC) plans for an organizational restructuring under new acting Comptroller Michael Hsu. Hsu's reorganization efforts are aimed at bringing him closer to the agency's core supervision work, and hints that the Biden Administration isn't in a hurry to replace him. The article draws comparisons between Hsu and his predecessor Comptroller Joseph Otting, highlighting their differing approaches. Otting instituted a more corporate organizational model, whereas Hsu will be removing a layer of management and incorporating a new supervisory unit.
Mr. Nelson said Hsu's elimination of the chief operating officer position "definitely sends a signal" that he expects to play a much more active role in that work than Otting did. "It's going to mean that the regular supervision of banks will more closely match macro policy," said Mr. Nelson. "Rather than having routine bank supervision directed solely by your frontline examiners, the supervisory process will be expected to follow the comptroller's policy decisions."