FDIC Failed to Sustain Anti-Harassment Efforts, Watchdog Finds

The Federal Deposit Insurance Corp. failed to implement an effective sexual harassment reporting process but has taken steps to improve its response to such claims following revelations of severe misconduct at the agency, a watchdog report said.

The FDIC established reporting mechanisms to make it easier for victims to report and for the agency to investigate sexual harassment claims following a 2020 inspector general’s report highlighting shortcomings at the regulator.

But the FDIC failed to sustain those efforts, the inspector general said in a new report released Thursday.

“As a result, the FDIC is experiencing an environment of distrust, and ...