The Office of the Comptroller of the Currency (OCC) said Wednesday (April 16) that it will combine some of its supervision activities; blend its risk identification, analysis and policy efforts; and elevate its Information Technology and Security (ITS) function.
These organizational changes will be effective June 2, the OCC said in a Wednesday press release.
In one move, the OCC will combine two functions — Midsize and Community Bank Supervision and Large Bank Supervision — to create a line of business called Bank Supervision and Examination.
“Blending the large, midsize and community bank supervision activities will allow for the seamless sharing of expertise and resources to address bank-specific issues or novel needs and provides opportunities for career development and progression for the agency’s entire examination workforce,” the release said.
In another change, the OCC will blend two divisions — Bank Supervision Policy and Supervision Risk and Analysis — within a reinstated Chief National Bank Examiner office.
“Organizing risk identification, analysis and policy efforts will ensure a seamless approach to knowledge sharing and supervision,” the release said.
In a third move, the OCC said it is “elevating its Information Technology and Security (ITS) function to be led by a new Senior Deputy Comptroller for ITS, who will serve as a member of the Executive Committee.”
This announcement came about a week after the OCC said it notified Congress of a “major security incident” in which there was unauthorized access to OCC emails and email attachments.
“The OCC discovered that the unauthorized access to a number of its executives’ and employees’ emails included highly sensitive information relating to the financial condition of federally regulated financial institutions used in its examinations and supervisory oversight processes,” the agency said in an April 8 press release.
It was reported Monday (April 14) that following that breach of the regulator’s email system, JPMorgan Chase and Bank of New York Mellon scaled back their electronic information sharing with the OCC due to concerns about potential security risks to their own computer networks.
The announcement of the organizational changes also came on the same day that Acting Comptroller of the Currency Rodney E. Hood said that he is focused on reducing regulatory burden; promoting financial inclusion; embracing bank-FinTech partnerships; and expanding responsible bank activities involving digital assets.
In remarks delivered Wednesday at the Exchequer Club Luncheon in Washington, D.C., Hood said: “Our regulatory framework should safeguard the public interest while enabling banks — especially community institutions — to thrive and innovate.”
