Fed Tightens Regulations on Its Regional Directors

The Fed tightened its restrictions on so-called public directors of Fed’s 12 regional banks, who are not supposed to hold posts or own stock in banks or bank holding companies, The New York Times Edmund L. Andrews reported.

The rule itself is narrow, a response to an embarrassment earlier this year involving Stephen Friedman, a director and former top executive at Goldman Sachs who was also serving as a public board member of the New York Fed.