FDIC Votes 3-2 to Limit Banker Compensation

A source in Washington just emailed the following:

Today, the FDIC voted 3-2 to accept comments on a proposed rule to link FDIC insurance premiums to executive compensation practices. The two no votes were Comptroller John Dugan and OTS Chief John Bowman. The yes votes were Sheila Bair, Martin Gruenberg, and Thomas Curry.

3-2 votes at the FDIC are uncommon, which means that this is a significant split in the regulatory community. ..

The FDIC memo on the proposed change is here: http://www.fdic.gov/news/board/2010Jan12Memo.pdf

Dugan dissenting argument is here: http://www.occ.gov/ftp/release/2010-3a.pdf

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