The leaders of some of the top banks in the country may be replaced in the wake of last week’s stress tests, Federal Deposit Insurance Corporation (FDIC) Chairwoman Sheila Bair said Friday.
“Management needs to be evaluated,” Bair told Bloomberg’s Al Hunt in an interview to be broadcast this weekend. “Have they been doing a good job? Are there people who can do a better job?”
Bair’s words signal a sustained interest by the Obama administration in cleaning house at some of the various companies in which the government has taken a financial interest after last fall’s bailouts.
The administration most notably asked for — and received — the resignation of General Motors CEO Rick Wagoner.
“There will be an evaluation process,” Bair said. “We’re requesting it as part of the capital plan.”
When asked about whether chief executives would be replaced, Bair said “yes.”