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"We want nontraditional investors," FDIC Chairman Sheila Bair said at a board meeting to approve the rules. "There is a significant need for capital, and there is capital out there." But if you ask Ross, the new rules are more likely to ensure that the sources of nontraditional capital don't include private equity firms. "It may be well intentioned, but I think it could guarantee that there will be no more private equity coming into banks," Ross said in reaction to the guidelines this past weekend. And Ross is not the only one who feels this way. "We believe that the FDIC's proposed guidance would deter future private investments in banks that need fresh capital," Douglas Lowenstein, president of the Private Equity Council, said in a statement last week. The FDIC proposal is subject to a 30-day period for comment. "We hope that the comment period yields changes that facilitate the flow of private capital into the banking system, consistent with the administration's other efforts to address the financial crisis," Lowenstein said. - Gerald Magpily
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Back in January billionaire investor Wilbur Ross said it was only a matter of time before he would end up with a bank. Now that he's fulfilled his ambition as part of the consortium that acquired Bank United FSB from the Federal Deposit Insurance Corp. in May for $900 million, any more bank deals by Ross may seem a million miles away, especially after the FDIC's 
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