Allegations of misconduct not reported promptly | Wilnesh News

FDIC failed to promptly report allegations of misconduct by senior officials new memo from the agency’s internal regulators.

The letter, sent by Inspector General Jennifer Fain to Chairman Martin Gruenberg, is the latest development in the FDIC’s months-long investigation into sexual abuse and harassment. Grunberg announced Monday He plans to resign Once his successor is determined.

The letter, dated Thursday, said the Office of the Inspector General “became aware of several allegations of misconduct by senior FDIC officials but failed to promptly report them to the Office of the Inspector General.” “The OIG is now reviewing these allegations to determine how to incorporate them into the OIG’s work plan.”

The regulator is following up with the FDIC’s Office of Minority and Women’s Inclusion and other employee relations units “to determine whether there are additional allegations that have not been reported to the OIG,” Fein wrote in the letter.

In its response to the memo, the FDIC said it “welcomes coordination with the OIG to develop and implement a process for notifying OIG of allegations of misconduct, including the OIG hotline as a reporting option for misconduct, and reminds FDIC employees of their obligation to report to the OIG.”

severe independent reporting A report published in April found a pervasive culture of harassment and discrimination within the FDIC, citing allegations from more than 500 FDIC employees.

“The FDIC failed to provide a workplace free from sexual harassment, discrimination, and other interpersonal misconduct,” the report concluded.

The investigation also said Grunberg — a Democrat nominated by President Joe Biden in 2022 — had a short temper that left employees feeling “upset, uncomfortable and belittled.”

Republican lawmakers quickly called for Grunberg’s resignation and are still urging him to step down immediately before naming a successor.

On Thursday, the Republican-led House Financial Services Committee Sent letter A request was issued to Grunberg and two other FDIC officials to appear before the committee on June 12 to discuss the findings.

Grunberg testified before the same committee on May 15.

If Grunberg’s position becomes vacant, FDIC Vice Chairman Travis Hill, a Republican, will assume the chairman’s duties, leaving the agency’s board of directors in a deadlock.

After Grunberg announced his resignation, a White House spokesman said Biden would propose a nominee for the position “soon.”