The Federal Deposit Insurance Corp. announced a reorganization on Wednesday, creating a new insurance division and consolidating power in three agency staffers.
FDIC Chairman Ricki Helfer said in a memo to the agency's staff that she decided to create the division to identify and assess the risks facing the deposit insurance funds.
Ms. Helfer also essentially demoted all the agency's division directors by forcing everyone who now reports directly to the chairman's office to deal with one of her three deputies.
"These changes will streamline existing reporting and decision-making processes and permit more effective day-to-day oversight," Ms. Helfer told her staff.
The big loser in the shake-up is agency veteran John Stone, who had been executive director for banking supervision and resolution. Mr. Stone's position is being eliminated; Ms. Helfer's memo said he will work with her deputies "to ensure an orderly transition." No new position was stated for Mr. Stone, and he did not return a call for comment.
Stan Poling, director of supervision, also lost his job. Mr. Poling will stay on as an assistant to William Longbrake, Ms. Helfer's deputy in charge of finance. As of June 18, the director of the FDIC's New York region, Nick Ketcha, will be acting director of supervision.
In addition to Mr. Longbrake, Ms. Helfer's deputies are Leslie Woolley, who handles policy issues, and Dennis Geer, in charge of operations.