where judicial review based on the agency record is also possible, ex parte intercession should be viewed as inappropriate. Where an agency is exercising rulemaking powers conferred upon it by Congress, it must follow procedures for the formulation of rules set forth in the Administrative Procedure Act. Efforts to influence the rulemaking process outside the scope of those procedures may also be viewed as inconsistent with the scheme Congress itself established. Issues arising out of the process of bank examination may be viewed as especially inappropriate for congressional intercession. If bank examiners are to do their job properly, they cannot be subject to challenge by individual members of Congress acting on behalf of the institution being examined, while the examination process is going on. The procedure affords due-process protections to the institutions involved, and the responsible committees of Congress have ample oversight jurisdiction to assess the quality of supervision after the fact. To tolerate ex parte interference in the process by members of Congress and their staffs would ultimately weaken not only the process itself, but, more importantly, public confidence in the examination and oversight process. There are, to be sure, occasions on which representations from members of Congress to the financial regulatory agencies may be perfectly appropriate. Routine "status" inquiries, when not intended to communicate a coercive intent, are certainly within the realm of acceptable conduct, as are formal comments on proposed rulemaking actions. In all such cases, however, the agencies should make such communications a matter of public record indeed, Congress itself should insist on such a procedure. Such a disclosure rule would not only Inhibit improper communication, but would bolster public confidence in the integrity of the regulatory process. Benk Board's Henkel Proposed a Rule By Josce & TAMS WASHINGTON - 4 ruje proponed by Federsi riame Loan Banz Board member Lee Henzel cœud have helped a 'Amft VILA wines Str. Mannet has had LELEREVE BASnew dealing A grovision of the proposal might have et:actively uTvmunized Liacoin Savings & LA Association in Irvine. Caill.. from any enforcement actions in a dispute with the agency ever investments worating at feast 3613.0 muition. The propmal died at the Bank Beard meeting lam Thursday tar tack of a scand Bank Board avereas said the every kammt been able to idenaty any other unfts that might have benefited from the provision, but if some are found, the pou ual benefit is likely to N smaller than the benefit to u AJLDNgh Mr. Henzel diarum eral provistons of his proj ere at the agency in the we MOTLINE, BOILher the section have helped Lincoln or the tremed was raised, scoring sourcen it first surfaced when Mr. Henkel read his motion in the open merang, the yourem aud As reported previously, deed records in the Atlanta ares show thar Uncola Aida at least 141.3 million ta leans to corporeCons and partnerships in whicâ Mr. Henast had an interest. The records indicia that Lacets was by far the largest angle source of Anancing for a clapety baid real atate development company of which Mr.. Henzel was chairman, a shareholder and ene of three dritors. Lincoin & parent company is contraried by Claries Keating, an outspoken crite of und gusco. Mr. Menzel & former Adanta attorney, ♥ ippmated to the carve-member BANE Bears by Premdent Reagan Nov. 7. He bas Put all his busem vitert that had trasacions mu unns-including the with leans from Lincoln-into a Wind trust, He has time said he intends to recuse NiSTY self from Banz Board votes specifically ta volving cariña de has dealt with, including Mr. Henkel was asked through an uide for comment on this story yesterday, but didn't return telephone calls before leaving Washington yuterday afternom As the Beak Board grappied with ther to extend its controvermal ruje ro Arcting Investments taníts may make u mamag ventures during Thursday's se-hour moving. Mr. Henkel murved to cify the rule and extend it through the of LIFE. The currant raje, vhich vas aded the regulation through ve directed |