New York Times: Senator Criticizes Lack of Supervision for Banks’ Consultants

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New York Times: Senator Criticizes Lack of Supervision for Banks’ Consultants

When federal regulators told Congress in April that they lacked basic plans for the oversight of consulting firms that advise big banks, one lawmaker had blunt advice: start adopting guidelines “this afternoon.”

With changes yet to materialize, the lawmaker, Senator Sherrod Brown, plans to ratchet up the pressure on Friday in a letter to the nation’s top banking regulators.

In the letter — a draft of which was reviewed by The New York Times — Mr. Brown will urge the Federal Reserve and the Office of the Comptroller of the Currency to keep a closer watch on the multibillion-dollar consulting industry, which has become something of a shadow regulatory force on Wall Street.

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