WASHINGTON -- The investigative watchdog of Congress said Wednesday that a Bush administration policy aimed at easing the credit crunch could undermine examiners in their efforts to require adequate loan-loss reserves.

Comptroller General Charles A. Bowsher said the regulatory guidelines issued Nov. 7 to implement the administration policy "may seriously add to the problem of unreliable financial data by allowing real estate evaluations that hide loan losses."

Limited Time Offer

Save $400 off your subscription. Special offer ends April 30, 2017.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.