By Lisa M. Goolik, J.D.
The
Federal Deposit Insurance Corporation is serious about addressing Operation Choke Point, the program created by the Justice Department to “ out” companies the administration
considers “high risk” by denying them access
to the banking system. In addition to releasing a statement to its supervised institutions intended to
counteract the broad-based risk assessments previously made under the program, the FDIC tasked its Office of Inspector General with conducting a formal investigation of the
program and any staff who may have played a part.
The FDIC has also establised a new, dedicated toll-free number and an email address that allows institutions to confidentially report FDIC personnel that are
not following FDIC policies on providing banking services.
According to Rep. Blaine Luetkemeyer (R-Mo), one of the program's most vocal critics, FDIC Chairman
Martin Gruenberg and Vice Chairman Tom Hoenig acknowledged the "wrongdoing" within the FDIC during a meeting with Luetkemeyer on Wednesday.
