At least three banks failed in the past year after qualifying for lighter-supervision...

|By:, SA News Editor

At least three banks failed in the past year after qualifying for lighter-supervision examinations under the FDIC's "Merit" program (ended in March 2008). More than 40% of 2004-2007 exams were Merit reviews - 20% shorter than standard - and the FDIC deputy inspector general says more of this year's 120 failed banks may have gotten them.