Deal closer on power to fire EU bank executives

European Union lawmakers and national officials have reached a tentative agreement on plans to give regulators the power to fire executives of ailing banks.

Regulators would be handed sweeping powers to parachute in “temporary administrators” in a last-ditch bid to bring a bank back from the brink of collapse, according to a document obtained by Bloomberg News.

Authorities would have discretion to fire individuals or the “management body of the institution, in its entirety” when there is “a significant deterioration” in the bank’s financial situation and other steps have failed to turn the situation around, according to the document.