Lawmakers call for more bank oversight
By Hannah Nesich
Sen. Tony Avella announced new legislation to provide stricter oversight of federally chartered banks by the State Department of Financial Services.
Bill S.7610, announced by Avella in Hollis, Queens, allows the New York State Department of Financial Services to oversee the closing of federally-chartered banks to determine the impact on local communities.
The legislation was spurred by the October 2013 closure of a Capital One bank in Queens which, according to Avella's office, occurred without the consideration of input from local community members or a presentation of statistics on the economic aftermath that would result from the closure.
"State-chartered banks, under current law, have a much more complicated review process that they must undergo when planning to close a branch. Unfortunately, the same rules do not apply to federally-chartered banks, such as Capital One, which dismissed the community's opposition to the closure. That's unacceptable," said Avella, D-Bayside. "If any bank settles into a community, establishes relationships and takes their money, there should be more accountability when that branch decides to close."
http://www.legislativegazette.com/Articles-Top-Stories-c-2014-07-21-88657.113122-Lawmakers-call-for-more-bank-oversight.html
