Unitary thrift holding companies - one-thrift parents that can affiliate with commercial and industrial companies - are under attack from House Banking Committee Chairman Jim Leach. On Tuesday, Patrick Forte, president of the Association of Financial Services Holding Companies, defended the unitaries. (See accompanying article.) Here are excerpts from his testimony.
The history of the affiliation issue is inextricably tied up with the history of the thrift industry, which can best be seen as a compact between the government and the industry.