Lawmakers, including Senate Banking Committee Chairman Sherrod Brown and the Congressional Black Caucus, backed the nomination of another top candidate: law professor Mehrsa Baradaran, who is an expert on racial inequalities in the system financial.
The OCC has meanwhile been headed by Blake Paulson, a career civil servant seen as an ally of former Acting Controller Brian Brooks, who has been appointed by President Donald Trump.
Hsu heads an internal committee at the Fed that is responsible for all supervisory matters related to the largest US banks. His appointment as interim controller has been underway for weeks and the goal is for him to start at the OCC this week, sources said.
The Wall Street Journal reported the news of his date scheduled for earlier Monday.
Hsu is charged with the national banking system at a time of technological upheaval, with traditional lenders facing both competition and business opportunities from online lenders and cutting edge financial applications – an innovation that could lead to more efficient delivery. and fair financial services, but also more consumer abuse.
Financial technology has become a flashpoint between Paulson and the Democrats. A spokesperson for Brown called it “scandalous” that Paulson sent a letter of support for a Trump-era ruler that critics say could increase predatory lending.
Paulson also continued the work of Brooks, who is now CEO of the U.S. arm of the Binance cryptocurrency exchange, in approving requests from crypto companies to become trusted national banks, an expansion of the institution type. which can be granted a banking charter.