Ombudsman at OTS Finds Sometimes Just Listening Helps

As ombudsman for the Office of Thrift Supervision, A. Lee Lassiter says he feels that he bridges a gap between the agency and the industry.

Mr. Lassiter's mission is to be the ally of last resort for thrifts aggrieved by agency employees or rules. Responding to inquiries, resolving complaints, and ensuring that regulations are understood, he helps thrifts solve problems and walk away satisfied.

"I like the idea of bridge-building," said Mr. Lassiter in a recent interview. "Bringing parties together at odds over one issue or another is very rewarding."

Mr. Lassiter retold an anecdote that perhaps best illustrates what he does: A thrift executive called to complain, Mr. Lassiter said, talking nonstop for 20 minutes. After discussing the options, the ombudsman said: "Here are some things I can do, but I need your authority to move forward."

The caller said, "No, I just really needed to talk to someone in Washington. Now that I have, I feel better, so please don't do anything more."

Mr. Lassiter, 50, said executives often just need an opportunity to get things off their chests.

Named ombudsman in August 1995, Mr. Lassiter reports directly to OTS Director Nicolas Retsinas. The Riegle Community Development and Regulatory Improvement Act of 1994 required all federal banking agencies to hire ombudsmen.

Mr. Lassiter has fielded 148 complaints so far this year covering a wide range of issues. The bulk of his calls, 35%, concerned the special assessment to shore up the Savings Association Insurance Fund.

Compliance issues such as adhering to the Community Reinvestment and Truth-in-Lending acts made up another 12% of his workload, while 11% of the complaints concerned capital-raising strategies for inner-city and disaster-stricken institutions.

Mr. Lassiter also fields calls on specific applications and the fees OTS charges.

Depending on what stage a thrift's beef has reached, Mr. Lassiter may speak with an examiner, regional director, or the executive director of supervision, John Downey, to iron out the problem. Mr. Lassiter has power to create an ad hoc unit to investigate a complaint.

In addition, the ombudsman can require the attendance of anyone within OTS at a meeting. Though Mr. Lassiter has never used this privilege, it ensures that he can make people listen to an issue in dispute.

Before assuming his post, Mr. Lassiter had spent more than a decade as a thrift regulator. In 1982 he started work as a lawyer for the Federal Home Loan Bank Board, which was dissolved in 1989 when OTS was formed. He moved to the agency's Cincinnati office in 1984, returning to Washington in 1990.

Mr. Lassiter practiced law at Karsman & Brooks in Savannah, Ga., and taught law at Georgia Southern University before joining the government. He holds a law degree from Rutgers University and a master's degree in business administration from Georgia Southern.

As a reminder of his job's purpose, Mr. Lassiter carries around some words of wisdom from the poet Robert Frost: "Education is the ability to listen to almost anything without getting angry."

Mr. Ketelaar is a student in the Washington Semester Program at American University.

For reprint and licensing requests for this article, click here.
MORE FROM AMERICAN BANKER