Bank Examinations. www.fdic.gov/regulations/examinations/index.html [Accessed February 18, 2010].
The courts recognize that the report of a bank examiners (80) is protected by a qualified privilege, known as a
bank examination privilege.
Suppose that a single government entity provides deposit insurance and performs
bank examinations. This agency chooses a policy ([pi], [phi]) subject to the incentive and budget constraints in the problem above.
The results of
bank examinations are intended for bank directors and management only.
Comparison of Traditional
Bank Examinations with Risk-Focused Supervision for LCBOs Traditional
Bank Examinations Risk-Focused Supervision for LCBOs Supervisory process is focused on Supervisory process is continuous a single point in time and is and is more tuned to market rarely continuous unless there developments.
In carrying out
bank examinations, examiners must balance several considerations.
Although such information can be obtained in part from regulatory reports and public disclosures, a key source is the on-site
bank examination.
Bank examinations enable supervisors to confirm the accuracy of information in regulatory reports.
To listen to them whine about
bank examinations, one would think they were being subjected to physical torture.
This legislation reduces the discretion that federal bank supervisors once had in scheduling
bank examinations.(2)
Toward this end,
bank examinations must be more frequent and more thorough than has been generally the case in recent years.
While AT supports the bill's intent, which is to promote consistency of
bank examinations and enhance consistency in the interpretation and understanding of
bank examination guidelines and regulations, there is concern about parts of the legislation that state a new appraisal is not required on a commercial loan unless an advance of new funds is involved.
We have placed an increasing reliance on automation to provide a more flexible approach to
bank examinations - an approach that is risk-oriented, cost-effective, and sensitive to the burden placed on banks.