Bank wins right to sue regulator over Camels rating
By Lalita Clozel
After undergoing an exam in summer 2016, Builders Bank in Chicago received some bad news: Its Camels rating had reached a 4, the threshold at which an institution is considered a “problem bank” by regulators. …“The Seventh Circuit established a principle here — that other than capital, there is grounds for appeal even to the courts on the other criteria in the Camels rating,” said Karen Shaw Petrou, a managing partner at Federal Financial Analytics. “It’s a fascinating precedent.”