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The office did not lower the rating to 3 ("exhibits some degree of supervisory concern") until February 2008, and to 4 ("unsafe and unsound") until September 2008, days before WaMu collapsed.
We are now better able to identify and devote attention to items of supervisory concern in individual large banks and significant practices emerging in the large bank population as a whole.
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The comptroller's office said in June 2011 that the loans increased "operational and credit risks and supervisory concerns".
A report last month by the agency overseeing the companies said that they pose "significant supervisory concerns" and that Freddie Mac suffers "internal control weaknesses".
The Office of the Comptroller of the Currency, which oversees the nation's largest banks, said in June 2011 that the loans raised "operational and credit risks and supervisory concerns".
The Office of the Comptroller of the Currency, which oversees the nation's largest banks, said in June that the loans raised "operational and credit risks and supervisory concerns".
Rather, in the future, if issues arise during processing of an application, the Board expects that a banking organization will withdraw its application pending resolution of any supervisory concerns.
In a four-page letter to Senator Charles E. Schumer, Democrat of New York, that it made public, the regulator also noted that both Fannie Mae and Freddie Mac, its smaller corporate cousin, remain "significant supervisory concerns". Both companies are still getting their financial statements in order after Ofheo investigators found lax internal controls and accounting errors totaling $11.3 billion.
"Although we have identified some areas for improvement, they are not issues that cause significant supervisory concerns, " it said in a statement.
The Authority may, if necessary, liaise with the national supervisory authority concerned.
To alleviate these concerns, supervisory staff scheduled periodic educational sessions with the case managers to ensure they had a thorough understanding of the linkage program and explain that smaller caseloads were needed due to the short-term, intensive nature of the intervention.
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