Bank failures (61 - 70 of 84 items)
Resolution Trust Corporation: Update on Funding and Performance
T-GGD-91-43: Published: Jun 11, 1991. Publicly Released: Jun 11, 1991.
GAO discussed: (1) the Resolution Trust Corporation's (RTC) estimates for future funding; (2) the status of RTC current operations and initiatives; and (3) reconstructing RTC. GAO noted that: (1) the $80-billion RTC appropriation would not be sufficient to resolve all expected thrift failures; (2) due to slow RTC sales of troubled assets, resolution costs are likely to exceed RTC and Oversight Boa...
Disclosures About Market Value of Financial Instruments
T-AFMD-91-6: Published: May 30, 1991. Publicly Released: May 30, 1991.
GAO discussed the Financial Accounting Standards Board (FASB) exposure draft entitled "Disclosures about Market Value of Financial Instruments." In a series of reports, GAO identified accounting, auditing, and internal control weaknesses, which continue to be a significant cause of bank failures. These breakdowns in corporate governance led to bank failures and highlighted a seriously flawed warni...
[Comments on an Exposure Draft on Disclosures About Market Value of Financial Instruments]
164335: May 20, 1991
GAO commented on the Financial Accounting Standards Board's (FASB) exposure draft entitled "Disclosures about Market Value of Financial Instruments." GAO supports the adoption of this exposure draft as a Statement of Financial Accounting Standards. The guidance provided by this exposure draft would enable government regulatory agencies to identify troubled financial institutions before they fail....
Lessons Learned From Recent U.S. Banking Experience
143801: May 3, 1991
GAO discussed the lessons Europeans could learn from recent U.S. banking experience to help prepare them for a more deregulated financial services market. GAO noted that: (1) since banks were likely to engage in more risky activities to make up for limited profits, the quality of supervision must be high to control excessive bank risk-taking and to reduce costly failures; (2) accurate information...
Failed Banks: Accounting and Auditing Reforms Urgently Needed
AFMD-91-43: Published: Apr 22, 1991. Publicly Released: Apr 22, 1991.
GAO analyzed the financial reports prepared by managers and regulators' examination reports for 39 banks that failed in 1988 and 1989 to identify: (1) the impact of accounting and internal control weaknesses on those failures; and (2) reforms that could minimize future losses to the Bank Insurance Fund.GAO found that: (1) examination of the call reports banks prepared an average 6 months prior to...
Bank Supervision: Prompt and Forceful Regulatory Actions Needed
GGD-91-69: Published: Apr 15, 1991. Publicly Released: Apr 15, 1991.
Pursuant to a congressional request, GAO reviewed the effectiveness of federal bank regulators' enforcement activities in ensuring that banks operated in a safe and sound manner to preserve the banking industry and the Bank Insurance Fund.GAO found that: (1) in about half of the 72 cases it sampled of banks having difficulty in meeting minimum capital standards, the federal regulatory process did...
Financial Audit: Resolution Trust Corporation's 1989 Financial Statements
AFMD-91-57: Published: Apr 4, 1991. Publicly Released: Apr 4, 1991.
GAO reviewed the Resolution Trust Corporation's (RTC) financial statements for August 9, 1989 through December 31, 1989, focusing on: (1) uncertainties related to RTC cost estimates for resolving institutions; and (2) RTC internal controls and compliance with laws and regulations.GAO found that: (1) RTC was provided with $50 billion under the Financial Institutions Reform, Recovery, and Enforcemen...
Deposit Insurance: A Strategy for Reform
GGD-91-26: Published: Mar 4, 1991. Publicly Released: Mar 4, 1991.
Pursuant to a legislative requirement, GAO reviewed issues associated with reforming the federal deposit insurance system, focusing on whether such reforms will result in a more safe, sound, and stable banking industry.GAO presented a comprehensive three-part reform program that could change the way banks are regulated and supervised, as well as the way the deposit insurance system functions, focu...
Obligations Limitation: Resolution Trust Corporation's Compliance as of June 30, 1990
AFMD-91-41: Published: Dec 21, 1990. Publicly Released: Jan 23, 1991.
Pursuant to a congressional request, GAO assessed the Resolution Trust Corporation's (RTC) compliance with the maximum RTC obligation limit that the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (FIRREA) set forth.GAO found that: (1) RTC did not omit any of the FIRREA-required formulas from its calculations; (2) RTC was working to correct several minor errors and miscalculat...
Keeping an Eye on Government-Sponsored Enterprises
144267: Jan 1, 1991
This article, which appeared in the GAO Journal, No. 12, Spring 1991, discusses the type of oversight and regulation needed for government-sponsored enterprises (GSE), noting that: (1) GSE stand behind a huge amount of private debt, with 3 GSE guaranteeing over half a trillion dollars; (2) assessments of GSE financial condition typically assume that the government will bail out failing GSE, even t...