GREENBELT, Md. (CU Times - May 10, 2011) — Saying that the NCUA and other regulators are marching toward “regulatory extremism,” the leader of a movement aimed at pressuring Congress to make changes to the NCUA last night outlined the extent of his frustrations with the status quo.
“We are pleading with members of the [congressional] committees to place curbs on unregulated regulators who issue unreasonable regulations,” said Alcoa Tenn FCU President/CEO David Proffitt, the coordinator of the Committee on the Declaration of Grievances, during a speech at the Metropolitan Area Credit Union Management Association.
“Credit unions are being regulated into mediocrity, or regulated into mergers, or regulated out of existence,” Proffitt said. “We need regulators who have a business sense, who are member-oriented and understand marketing.”
Proffitt said the major purpose of the effort is to get lawmakers to provide greater oversight of and direction to the NCUA. He said the agency, and the regulators who promulgate rules such as the Bank Secrecy Act, need to be subject to greater checks and balances.