Florida's Bank Regulator Giving Up the Fight for Independent Oversight

By Rhoads, Christopher | American Banker, March 28, 1996 | Go to article overview
Save to active project

Florida's Bank Regulator Giving Up the Fight for Independent Oversight


Rhoads, Christopher, American Banker


Florida state banks will continue to be regulated by the state's elected comptroller, despite a yearlong effort by that office to cede regulatory powers to another body.

Comptroller Robert F. Milligan - who vowed to depoliticize the state's regulatory structure in his successful campaign to unseat 20-year incumbent Gerald Lewis in the fall of 1994 - said last week he would abandon the attempt for the current legislative session, and would not try again next year.

"The simple fact is that they (state banks) like the system, and they've been able to influence this process because of its politicized nature," said Art Simon, the state's director of the Division of Banking.

A task force assembled by Mr. Milligan shortly after he took office last winter had proposed that regulatory duties be handled by an independent seven-member board made up of people nominated by the comptroller, approved by the governor, and confirmed by the state Senate.

State banks, however, rose up against the idea in recent months, prompting several revisions and, finally, its withdrawal.

"We felt that this wouldn't depoliticize it but actually make it more political," said Rudy E. Schupp, chief executive of Republic Security Bank in West Palm Beach. "We also felt that if it's not broken then what are we trying to fix?"

Florida is the only state whose bank commissioner - in this case called the comptroller - is elected. Mr. Milligan has criticized the structure for giving at least the appearance that its regulator can be influenced by those he regulates through campaign contributions.

Mr. Milligan, a retired Marine Corps lieutenant general, lambasted his predecessor during the campaign, saying Mr. Lewis was too close to the banks he was in charge of regulating. A political unknown, Mr. Milligan surprised many when he defeated the popular Mr. Lewis, though by a slim margin, 50.

The rest of this article is only available to active members of Questia

Sign up now for a free, 1-day trial and receive full access to:

  • Questia's entire collection
  • Automatic bibliography creation
  • More helpful research tools like notes, citations, and highlights
  • Ad-free environment

Already a member? Log in now.

Notes for this article

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
Loading One moment ...
Project items
Notes
Cite this article

Cited article

Style
Citations are available only to our active members.
Sign up now to cite pages or passages in MLA, APA and Chicago citation styles.

Cited article

Florida's Bank Regulator Giving Up the Fight for Independent Oversight
Settings

Settings

Typeface
Text size Smaller Larger
Search within

Search within this article

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

While we understand printed pages are helpful to our users, this limitation is necessary to help protect our publishers' copyrighted material and prevent its unlawful distribution. We are sorry for any inconvenience.
Full screen

matching results for page

Cited passage

Style
Citations are available only to our active members.
Sign up now to cite pages or passages in MLA, APA and Chicago citation styles.

Cited passage

Welcome to the new Questia Reader

The Questia Reader has been updated to provide you with an even better online reading experience.  It is now 100% Responsive, which means you can read our books and articles on any sized device you wish.  All of your favorite tools like notes, highlights, and citations are still here, but the way you select text has been updated to be easier to use, especially on touchscreen devices.  Here's how:

1. Click or tap the first word you want to select.
2. Click or tap the last word you want to select.

OK, got it!

Thanks for trying Questia!

Please continue trying out our research tools, but please note, full functionality is available only to our active members.

Your work will be lost once you leave this Web page.

For full access in an ad-free environment, sign up now for a FREE, 1-day trial.

Already a member? Log in now.

Are you sure you want to delete this highlight?