In an unusual twist, the Federal Reserve Bank of New York has hired the former chief risk officer of the company it was forced to save, Bear Stearns & Co.

The New York Fed said it hired Michael Alix as a senior vice president in the bank supervision group under William Rutledge, executive vice president in that group.

Mr. Alix was Bear Stearns' chief risk officer from 2006 through 2008 and its global head of credit risk management from 1996 to 2006, the New York Fed said Friday. He has also worked at Merrill Lynch.

Bear Stearns was heavily involved in fixed-income securities and suffered was the first major casualty of the credit crisis.

The Fed brokered Bear's sale to JPMorgan Chase & Co. in March.

The New York Fed declined to comment on the hire.

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