Groups blamed for crisis dominate bank overseer agencies

NEW agencies designed to oversee the banking sector and prevent crisis are top-heavy with bankers to the detriment of customers, according to the European consumers’ body, BEUC.

Only three of the 30 seats on the stakeholder groups of the newly created European Banking Authority (EBA) are filled by consumer representatives, while the “users of banking services” are represented by the rating agencies and auditors, blamed for much of the crisis.

BEUC and the European Federation of Investors have complained to the European Ombudsman, saying that the London-based EBA and Frankfurt-based European Insurance and Occupational Pensions Authority (EIOPA) are in breach of EU regulations requiring balance between interests.