November 17, 2023

Warren, Banking Committee Democrats Call for Independent Investigation of FDIC Culture

Text of Letter (PDF) 

Washington, D.C. — Today, U.S. Senator Elizabeth Warren (D-Mass.) joined her Democratic colleagues in the U.S. Senate Committee on Banking, Housing, and Urban Affairs sent a letter to Acting Inspector General Tyler Smith of the Federal Deposit Insurance Corporation (FDIC), expressing outrage over allegations of a toxic workplace culture and calling for an independent investigation to make sure the agency addresses these issues and to restore public trust. The letter follows reports that the agency has failed to fix a culture of sexual harassment and misconduct, discrimination, and misogyny.

“The FDIC is charged with protecting the stability and public confidence of our banking system. The FDIC’s employees play a critical role in ensuring our financial system operates in a safe and sound manner,” wrote the senators. “It is imperative that the FDIC recruit and retain talented public servants and create a safe and professional work environment. Allowing employees that have engaged in misconduct to stay on the job, while losing talented employees because of the failure to meaningfully address these systemic issues, compromises public trust in the FDIC. The issues raised in these reports require immediate attention,”

“Your office’s investigation into this matter is vital to fully understanding the longstanding failings at the FDIC and will be important in helping the FDIC make the necessary changes to the culture of this agency,” the senators concluded. 

In addition to Senator Warren, the letter was signed by Senators Sherrod Brown (D-Ohio), Jack Reed (D-R.I.), Bob Menendez (D-N.J.), Jon Tester (D-Mont.), Mark Warner (D-Va.), Chris Van Hollen (D-Md.), Catherine Cortez Masto (D-Nev.), Tina Smith (D-Minn.), Raphael Warnock (D-Ga.), John Fetterman (D-Pa.), and Laphonza Butler (D-Calif.).