NU Online News Service, April 12, 1:53 p.m. – U.S. House Financial Services Committee Chairman Michael Oxley, R-Findlay, Ohio, blasted the Office of the Comptroller of the Currency earlier this week at an insurance industry gathering.
Oxley attacked the OCC for recent rulings that preempted state bank insurance sales laws in Massachusetts and West Virginia.
The Gramm-Leach-Bliley Financial Services Modernization Act gives states the ability to regulate bank insurance sales, but the OCC contends that the Massachusetts and West Virginia laws went beyond the limits set by Gramm-Leach-Bliley.
Congress had no intention of letting the OCC preempt state insurance laws when it passed Gramm-Leach-Bliley, Oxley told 800 brokers and agents in Washington for an Independent Insurance Agents of America legislative conference, according to a summary of his remarks provided by IIAA.
“If we have to have an oversight meeting, we will do so,” Oxley said.