Phewee. Impressive stuff from the FSA.
As part of our review work we interviewed 65 FSA staff and former staff. We also reviewed 129 files (lever arch or equivalent) and a similar number of electronic files.
So just to be clear. We’re not talking just any lightweight document wallets or flimsy cardboard holders. This was the heavy duty, lever-arch variety. That is just how seriously the regulator is taking the review of its supervision of Northern Rock in the run up to last year’s crisis.
The FSA’s summary raises more questions than it answers though. Just how many post-it notes gave their lives in the tireless pursuit of clarity into the demise of the Crock? Did the internal audit create an unforeseen run on paper clips within the FSA’s offices, the devastating fallout from which is only just becoming clear? How many highlighters have been laid on for those wading through the results of the FSA’s machinations, and how much will the authority’s stationery budget need to grow to cope with the increased rigour promised in its supervision of “high impact” companies?
The full report will be available by the end of April.
Related links
Summary of the FSA’s review
FSA admits failings over Northern Rock - FT.com
Northern Rock handling to keep FSA in the spotlight - Lombard
FSA plans closer City scrutiny - FT.com
