REGULATION · US
Senator Warren demands OCC, Fed, FDIC revoke Morgan Stanley restructuring exemption
Sen. Elizabeth Warren asked three US bank regulators to withdraw approval of a Morgan Stanley organizational restructuring, citing parallels to JPMorgan Chase and Citi governance failures. Signals tightening of exemptions for large banks.
WHY IT MATTERS
Large bank exemptions from standard resolution planning (living wills) now face political headwind; expect stricter OCC/Fed scrutiny of complex bank org charts and AI control frameworks embedded in them.
Source: Banking Dive · 2026-05-22