Editorial Board

America’s Bank Regulator Needs a Lesson in Management

Reports of rampant sexual misconduct at the FDIC are symptomatic of broader organizational dysfunction.

The wrong kind of attention.

Photographer: Tierney L. Cross/Bloomberg

For most of its 90-year history, the Federal Deposit Insurance Corp. has been a dull but reliable government agency tasked with closing failing banks and ensuring customer money is protected. But this year, in the words of one Republican senator, it’s been revealed as a “Gomorrah of carnal abuse.”

That’s a problem for the FDIC, its leadership and perhaps even the banking industry.