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Resolution Trust Corporation: Efforts Under Way to Address Management Weaknesses

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Report Type Reports and Testimonies
Report Date May 12, 1995
Report No. GGD-95-109
Subject
Summary:

As part of GAO's 1992 series of reports on federal programs at high risk for waste, fraud, and abuse, GAO discussed the cleanup of the thrift industry and steps that the Resolution Trust Corporation (RTC) could take to minimize the risks involved. This report analyzes RTC's efforts to address the weaknesses that GAO identified in 1992 and during subsequent reviews. RTC efforts reflect a significant commitment to implement the needed management improvements, and coupled with intervening legislation, they have addressed many of the identified shortcomings. Therefore, GAO has removed the high-risk designation. Despite this progress, however, some risks related to the thrift industry cleanup still require attention. Chief among these are (1) the long-term viability of the thrift insurance fund and (2) the winding down of RTC and the disposition of its remaining operations and workload.

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