New York State banking regulators are required to inspect all financial institutions chartered in the state. “The state banking department would come in, and they’d be doing the exam in one room, and the N.C.U.A. would be in another room,” said Larry Fisher, who was then the medallion lending supervisor at Melrose Credit Union, one of the biggest lenders. “And you could catch the state banking department snoozing and napping and going on the internet and not doing much at all.”The state banking department, which is now called the New York Department of Financial Services, disputed that characterization and said it had acted consistently and appropriately. A spokesman for the Federal Reserve said the agency was not a primary regulator of the taxi lending industry.

Source: New York Times May 19, 2019 06:56 UTC