NEW YORK: Bank mergers face a tougher and potentially longer road to approval under a proposal released by a top industry watchdog.

       The US Office of the Comptroller of the Currency (OCC) is seeking to remove a decades-old requirement that certain merger applications get automatic approval on the 15th day after the close of the public comment period if the OCC fails to act by that deadline.

       “Merger applications exist along a spectrum,” Michael Hsu, the agency’s acting comptroller, said in a speech on Monday at the University of Michigan’s School of Business.

       “Some have significant deficiencies. Others are straightforward because the acquiring bank is a model of safety and soundness and has earned the trust of the community and its supervisors.

       The majority lie somewhere in between and require varying degrees of scrutiny and multiple rounds of inquiry.” — Bloomberg