Trump taps former OneWest CEO Joseph Otting for powerful regulatory position

Nomination needs confirmation from Senate Banking Committee

TRD LOS ANGELES /
Jun.June 07, 2017 05:30 PM
OneWest Bank headquarters, Donald Trump (Google Maps/Getty Images)

Joseph Otting, former CEO of Pasadena-based OneWest Bank, has been nominated by President Trump to be the comptroller of the currency, a regulator who oversees federally chartered banks.

Trump’s Tuesday announcement of the nomination has drawn sharp criticism from consumer advocates and Democrats.

Opponents argue that Otting will be in a position to oversee banks even though his previous company, OneWest, has faced trouble with regulators over its foreclosure practices, the Los Angeles Times reported. Opponents had similar complaints against Steve Mnuchin, former chairman of OneWest, who is now Trump’s Treasury Secretary.

The Office of the Comptroller of the Curreny is an independent bureau of the Treasury Department. It was a major player in last year’s $185 million settlement with Wells Fargo over the bank’s creation of unauthorized accounts.

Otting has spent his career in commercial banking with no record of government service. If approved by the Senate Banking Committee, he would be the first former top bank executive to lead the Comptroller’s office in nearly a century, according to the L.A. Times.

Otting would replace Keith Noreika, whom Trump appointed last month as acting comptroller, replacing Thomas Curry after his five-year term expired.

CIT Group acquired OneWest in 2015 and subsequently fired Otting as it reshuffled executives. He received a severance of more than $12 million.

Since then, he has been spending most of his time in Las Vegas, where he co-owns the private Southern Highlands Golf Club. [LAT]Subrina Hudson


Related Articles

arrow_forward_ios
2201 Rosecrans Ave in El Segundo

Continental snags $55M refi on El Segundo office portfolio

From left: Gavin Newsom and David Chiu (Credit: Getty Images and iStock)

Will rent control dent the multifamily market? Lenders, investors weigh in

From left: Jose Huizar, Huang Wei, Mohamed Hadid, Robert Herscu, Raymond Chan, and Arman Gabay, with Los Angeles City Hall (Credit: iStock and Getty Images)

Real estate’s role in LA corruption scandals

From left: Governor Gavin Newsom, Assemblymember David Chiu, Senator Holly Mitchell, and Senator Nancy Skinner (Credit: Getty Images)

Here are the key housing and rent control bills state lawmakers are debating

East LA Community Corporation President Isela Gracian, CIT Bank President Robert Rubino and the two projects

East LA Community Corp. lands $55M in loans for affordable housing projects

Acres Capital CEO Mark Fogel with a rendering of project

Chateau Group scores $44M bridge loan to build Marriott-branded hotel in Arcadia

Colony Capital's Thomas Barrack

Tom Barrack’s Colony Capital snags $1.7B refi on healthcare properties

Assemblymember Phil Ting

Statewide pot shop bill gets smoked

arrow_forward_ios