FDIC Pledges Update to Congress on Plans to Address ‘Horrendous Treatment’ of Employees at Agency

Federal Deposit Insurance Corp. Chairman Martin Gruenberg faced a second consecutive day of lawmakers demanding to know his planned actions in response to allegations of a toxic workplace at the agency, prompting him to pledge an update to Congress within 30 days.

Rep. Maxine Waters of California, the top Democrat on the House Financial Services Committee, said she was “very troubled” by a Wall Street Journal report that surfaced allegations of harassment and discrimination at the agency stretching back a decade. She asked Gruenberg to provide a detailed written plan on steps the FDIC would take to address the problems within a month.