Trump appoints Travis Hill as FDIC acting chair, White House says

By Pete Schroeder

WASHINGTON (Reuters) -Newly sworn-in President Donald Trump on Monday appointed Federal Deposit Insurance Corporation vice chair Travis Hill to lead the agency on an acting basis, the White House said.

Hill, who is also widely seen as the top contender for the job permanently, has worked in banking policy and regulation in Washington for over a decade. He has served as the FDIC's vice chair since 2023. He previously was a senior adviser to then-FDIC Chairman Jelena McWilliams, who led the agency during Trump's first term.

Hill takes over from FDIC Chairman Martin Gruenberg. A spokesperson for Hill declined to comment.

Prior to the FDIC, Hill served as counsel on the Senate Banking Committee, where he helped the panel advance legislation that eased post-crisis rules for regional banks, establishing a new "tailored" regulatory system for all but the nation's largest lenders.

At the FDIC, Hill has criticized efforts by Democratic regulators to impose strict new capital rules on bigger banks, commonly known as "Basel III endgame." He also challenged efforts to create a new framework requiring large asset managers to prove they were not influencing banks where they hold large stakes.

Hill will lead an agency undergoing a significant overhaul, following revelations of widespread sexual harassment and employee mistreatment at the watchdog.

Hill has called for a comprehensive overhaul of the FDIC's culture and policies, including identifying and holding employees who engaged in misconduct accountable.

(Reporting by Pete Schroeder; Editing by Michelle Price, Mark Porter and Deepa Babington)