Following the announcement that President Trump will nominate Joseph Otting, former OneWest Bank chief executive, to lead the Office of the Comptroller of the Currency (OCC), Congresswoman Maxine Waters (D-CA), Ranking Member of the Committee on Financial Services, released the following statement:
“The mission of the OCC is to ensure that financial institutions operate in a safe and sound manner, provide fair access to financial services, and treat customers fairly. With Mnuchin at Treasury and Otting at OCC, we should all be concerned that the mission of the OCC will be at risk.
“Though OneWest Bank was recently fined $89 million for defrauding the Federal Housing Administration, the bank is still being investigated for its fraudulent behavior. For Otting to be nominated in the midst of an ongoing investigation into OneWest raises concerns about how seriously the Trump Administration is taking this investigation.
“Otting has no business leading the OCC. I urge my Senate colleagues to reject his nomination."
In January, Ranking Member Waters wrote a letter to former Attorney General Loretta E. Lynch and former Secretary of the Department of Housing & Urban Development (HUD) Julián Castro asking them to immediately release documents pertaining to investigations into any fraudulent or discriminatory activities committed by OneWest Bank. In November 2016, two nonprofit organizations filed a complaint with HUD requesting an investigation into OneWest due to alleged redlining practices such as declining to build branches in minority neighborhoods and failing to market and originate mortgages for multiple years. The complaint is currently being investigated.